Mortgage Discounts to Last Through Summer's Dog Days
TORONTO, Aug. 11, 2014 - Summer may be winding to a close, but Canadians can expect to savour record-low mortgage rate pricing along with lingering plus temperatures and long daylight hours according to RateSupermarket.ca, a Canadian rate comparison site.
This month's panel members of the website had a consus on mortgage rates trend for both fixed and variable rate mortgages will remain unchanged. According to the press release issued today by the website, "Fixed-rate mortgages will remain on their discounted trend, as low bond yield levels give lenders the ability to competitively price their offerings. Variable mortgage rate borrowers can also sleep tight, as the Bank of Canadamaintains the Prime rate will not be changed until 2016."
Fixed Mortgage Rates: Unchanged: Government of Canada bond yields are trending at a 2014-record low, between the 1.40 and 1.50 per cent range, leaving lenders the slack they need to continue the sub-three per cent discounting trend.
Variable Mortgage Rates: Unchanged: A surprisingly high $1.8-billion trade surplus has sparked speculation thatCanada may be on the path to achieving growth benchmarks - however, raising rates now would only reverse the economic leeway provided by the low loonie. It appears the Bank of Canada is adhering to its 2016 growth forecasts, leaving variable rates untouched for the summer.
Click here to read the full Mortgage Rate Outlook Panel.