Harpreet currently provides his services to all of Southern Ontario whether you are a first time homebuyer, sophisticated real estate investor, or any step in between.


(416) 795-1919

Search Mortgage Corp. 100-50 Village Centre Place Mississauga, Ontario, L4Z 1V9 License #: 12652


May 29th, 2024 Mortgage Industry Update

The Bank of Canada announced on April 10th that its overnight lending rate will remain at 5.00%. The Bank expects CPI inflation to be close to 3% during the first half of this year, move below 2½% in the second half, and reach the 2% inflation target in 2025. The prime rate remains at 7.20%.

Additionally this week:

– Teranet-National Bank composite house price index which tracks home prices in 11 of Canada’s largest cities remained stable from March to April. Home prices in seven of the 11 cities included in the index rose in April compared with March, after adjusting for seasonal effects.

– Statistics Canada: Annual inflation rate fell again in April, dropping to 2.7% compared with 2.9% in March. Rate has declined for fourth consecutive month. Mortgage interest costs up by 24.5% yearly. Rents up 8.2% and gasoline prices seeing a further rise – increasing by 6.1%.

– BMO poll by Ipsos shows 72 per cent of Canadians prefer not to buy real estate until rates come down.

– Bank of Canada’s latest quarterly Market Participants Survey: Based on the median of results, the respondents believe there is a 35% chance of the economy being in recession in the next six months, down from 48% in the previous quarter.

– CREA: Ontario home prices were stable in April, continuing a trend set in March that ended a five-month fall that began last summer. On a yearly basis, the average single-family home in the province sold for $950,800 in April, up 1.8% from the average of $934,300 in April 2023.

– Statistics Canada study has revealed that in Thunder Bay, 47% of homeowners (or 17,745 out of 37,700 households) are mortgage-free, the highest rate among major Canadian cities and towns. Peterborough came second at 45.2%, while St. Catharines-Niagara followed in third at 43.5%.

– CREA: Total number of properties on the market rose 6.5% in April from March, the second-fastest monthly gain ever. Pushed total stock of homes for sale to its highest level since before pandemic. Home sales fell 1.7% in April from month earlier. Newly listed for sale rose 2.8%.

Stay tuned for the next update!

For any questions and concerns please do not hesitate to call Harpreet Singh The Mortgage King at (416) 795-1919.


Harpreet Singh