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March 2025 Rate Cut from Bank of Canada
Latest News Trish Pigott 12 Mar
Latest News Trish Pigott 12 Mar
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General Trish Pigott 6 Mar
UPDATE 3/6/25: Just as I was about to send this apparently Trump has paused the tariffs to Mexico and now Canada until April 2. Good grief….how does anyone keep up with this…either way here are some tips below if he is back at it next month on how to handle your mortgage and potentially take advantage of falling rates.
On Tuesday, March 4, 2025 Trump has imposed tariffs of 25% on goods coming from Mexico and Canada, 10% on Canadian energy, and an additional 10% on goods from China and has since already scaled back on 3 automotive suppliers. Canada has come back with retaliatory tariffs and now we end up in a trade war with the US. There is so much debacle with the entire Trump administration, it’s mind blowing that this is where we are in todays day and age.
Over the last few days we’ve seen a wild ride in the stock markets and as a result the bond market has fallen which directly affects fixed mortgage rates. We have not seen the bond market this low since mid 2022. We have also had multiple economists report yesterday and today that the Bank of Canada will respond with additional rate cuts to the overnight target rate (which affects the Prime rate) and now expected that we will see 4 more cuts by July of this year with the first one next week.
How does this affect mortgage holders;
So in summary, while we may see lower rates over the course of this year, be very diligent with your spending habits right now as we see how everything will unfold with our borders and overall economy.
Now more than ever is the time to get your finances in order to prepare and plan. To get started and put a plan in place, contact me directly at 604-729-7940.
We are watching this daily and I will have an update out next week with the Bank of Canada’s next rate announcement on March 12, 2025.