Market Update: Bank of Canada Drops Key Rate By 50 Basis Points
Thursday Mar 05th, 2020Share
The Bank of Canada recently announced that it is lowering the benchmark rate by 50 basis points. What does this mean? Essentially, the typically hot spring real estate market is about to get even hotter. As a result, there is no better time to contact Sue Heddle Homes to find out what your home is worth and to get your listing on the market. If you are thinking of selling in the near future, know that the just announced interest rate drop means people can afford more and housing prices will go up.
The Bank of Canada lowered rates in an effort to help Canadians combat the negativity in the economy. The coronavirus has delivered a material negative shock to both the Canadian and global economies. In addition, the rail blockades, Ontario teacher strikes, and winter storms in some regions have also dampened economic activity. The Bank also indicated they are ready to further adjust monetary policy going forward if required. The next rate-setting day is Wednesday, April 15th.
Be Ready For An Accelerated Active Real Estate Market In Oakville
Oakville realtors and realtors across the GTA have seen an active market in January and February due to a shortage of home listings and thanks to growing demand. Interestingly, many have compared the climate to that of 2017, when prices were increasing rapidly and frantic buyers were making offers well over asking. Getting back to the current year, we’ve already seen a 17-per-cent increase compared to the same period last year.
What does this mean for those looking to buy or sell in the near future? You can expect multiple offers and competition to be rampant. The lower interest rate makes it easier for home buyers to get a bigger mortgage and take out lines of credit. However, buyers should contact Sue Heddle Homes for professional knowledge and advice on where they can afford to buy. Our team can also recommend a mortgage professional who can advise and give a personal assessment of your situation. It’s very important to know exactly what you can afford before you start shopping for your dream home.
Work With Sue Heddle Homes This Spring
Whether you are looking to buy or sell your home, Sue Heddle Homes can help. Our extensive experience and proven track record means that you’ll get the support and service you need to make your real estate transactions a success. There really is no time to waste, it’s time to act now! Call us at (416) 906-7998 and let’s get started.