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Bank of Canada holds Prime steady as expected...
...no change to their language, so many of the economists who were looking for a signal for increases coming sooner were let down. The Bank seems to think that a high Canadian dollar, high oil prices and a slow US economy are going to be enough to keep the Canadian economy from growing too fast.
Prime remains at 3.00%, with home equity lines of credit running in the Prime + 1.00% (though we have specials from some lenders at Prime +.25% - .50% for well qualified borrowers) range, closed variables at Prime - .75% (once again, lenders have some specials below that for well qualifed borrowers). 5 year discounted fixed rates are currently in the 4.25% range.
With these types of rates, the variable play seems a good one for many...as Prime would have to increase 2.00% before hitting the current fixed rate range.
As always, having a mortgage plan makes the most sense...call us to review yours today.
Mike |
