Sep 10th, 2026 Mortgage Industry Update
The Bank of Canada announced on September 2nd that its overnight rate will remain at 2.25%. Uncertainty remains high and new US tariffs and threats of further action pose continued risks. The war in the Middle East remains a strong concern as well. The prime rate remains 4.45%.
Additionally this week:
– TRREB: 5,057 transactions recorded in August, a 2.1% decline yearly and a 1.3% drop from July. Ends a positive rebound that had held since March. Average selling price fell 2.7% annually to $993,410. New listings totalled 12,075, a steep 14.1% decline from a year earlier.
– BILD: Total new home sales across GTA reached 1,018 units in July, a sharp recovery from the record-low 395 sales recorded in July 2025 but still 40% below the historical 10-year average of 1,707 units for the month.
– Plenty of homeowners have adjusted to the reality of renewals at higher interest rates, with 99.7% of all mortgage holders continuing to make payments on time, according to new data from TransUnion Canada.
– RBC Economics projects national home resales to fall 3.6% to 453,200 units this year and benchmark price to slip 2.3% to $794,200. Promising window arrives in 2027, when RBC forecasts transactions rising 6.7% to 483,600 units and benchmark values edging 0.8% higher to $800,700.
– Statistics Canada: Economy posted its strongest quarterly expansion in more than three years in Q2 (at 3.3% annualized), erasing recession fears. Moved the first-quarter figure from an initial contraction to a modest 0.3% gain, effectively ruling out a technical recession.
– Equifax: Consumer debt climbed to $2.68T in Q2 2026, 4.18% increase yearly. Non-mortgage debt reached $712.2B, up 4.8% yearly and 2.09% from Q1. National 90+ day non-mortgage balance delinquency rate edged down to 1.76% from 1.79% in Q1, but remained above 1.70% recorded in 2025.
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.
