Bank of Canada holds rate steady
Yesterday, the Bank of Canada announced that they would not be adjusting their prime lending rate and that the prime lending rate would remain at 3%. This will have a direct impact on any variable rate mortgage(s), secured line(s) of credit, or personal line(s) of credit that you may have.
The reasoning behind the Bank’s decision was pretty straight forward:
-Global economic growth is expanding as predicted – at a relatively modest rate. While some emerging economies have somewhat slowed down, growth in the US made up for this by being stronger than expected.
-In Canada, real GDP growth in the third quarter outperformed the Bank’s predictions by growing at a rate of 2.7%. The composition of this growth, however, was weighted more towards the housing sector and less towards exports and investments -this indicates that we have a ways to go before it is properly balanced.
With rates staying low, we are continuing to recommend that clients stay in their variable rate mortgages. The date of the Bank of Canada’s next announcement is scheduled for January 22, 2014.
Remember to always call me first before renewing as I can help get the best rate even if you are staying with your current lender. My services are free and I might be able to put some cash in your pocket instead of the bank.
If you have questions or if I can help you obtain financing for your property please call me.
Thank you so much for your support!
We would be delighted with the opportunity to work with your friends and family!
Axiom Mortgage Solutions
Toll Free: 1-877-839-9424