Big news is shaking up the Canadian housing market! The Bank of Canada has just slashed its key rate by 50 basis points, bringing it down to 3.75%. Lower borrowing costs could mean a surge of new buyers entering the market either heading into the Winter season but more likely we will see a surge of home-buying activity in what many think will be an “early” spring homebuying market.

Here’s what you need to know:

  1. Increased Demand on the Horizon With lower rates, homeownership is becoming more affordable, which could drive a wave of buyers into the market. This heightened demand may put upward pressure on home prices, especially as buyers rush to secure properties before rates potentially shift again.
  2. There may not be a better time than now to be in a position to access the lower rates while still enjoying a slow market where prices are stable and there is a change to negotiate on the purchase price.
  3. Don’t be misinformed – lower rates do not equate to lower home prices.
  4. Reach out if you have any questions on what this new news can mean for your situation.