Mortgage rates are dropping!

In case you aren’t aware, there is an unprecedented amount of doom & gloom in the news, but amidst all this chaos is mortgage rates are getting cheaper.

As you may know, the stock market has been declining since Monday. While this may not be good for our investments (ugh!), this is excellent for cheap mortgage rates.

Over the last 3-weeks Canada’s 5-year bond rates dropped to similar levels seen in August 2019.

Since it usually takes 2-weeks of depressed bond prices before wholesale lenders decrease their mortgage rates, we are finally starting to see those rates adjust. The big banks typically wait a full month before they adjust their rates, so we are still waiting for those to come down.

In August 2019, 5-year fixed mortgages were priced as low as 2.49%, so be on the lookout for similar rates as long as these bond prices stay depressed.

If you have any clients that are thinking about purchasing, now is the time to beat everyone to the punch and jump on these abnormally low-interest rates.

I will keep you updated with how things transpire.