NO INCREASE IN BANK OF CANADA RATES
As of October 25, 2011, The Bank of Canada kept its trend-setting Bank Rate at 1.25% The reason for the this being the global economy has slowed considerably, with particular concern over the European economy. The Bank of Canada said it now expects a “brief recession” in the Eurozone.
As a result of this and other factors, The Bank of Canada has also downgraded its forecasted Canadian economic growth this year.
The good news about the decision by The Bank of Canada is that interest rates for mortgages, will likely be on hold even longer. Expectations as to how long it would be before the Bank of Canada hikes rates had previously centered around the fall of 2012, although it will now more likely be into 2013.
As of October 25, 2011, the advertised five-year lending rate stood at 5.29 per cent. This is down 0.1 percentage points from 5.39 per cent on September 7, when the Bank made its last policy interest rate announcement.
The mortgage rates as of October 28, 2011 from Mortgage Alliance of Canada are:
Rates Last Updated : October 28, 2011 TERM | POSTED | OUR RATES* |
6 Month | 4.45% | 4.45% |
1 Year | 3.6% | 2.75% |
2 Year | 3.95% | 3.04% |
3 Year | 4.35% | 2.99% |
4 Year | 5.04% | 2.99% |
5 Year | 5.54% | 3.29% |
7 Year | 6.44% | 4.49% |
10 Year | 6.8% | 4.79% |
Variable Rate | 2.8% |
Prime Rate | 3% |
- * Rates may vary provincially and are subject to change without notice.
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This is still a great time to be purchasing a home. No Down Payment mortgages are also available at a rate of 4.9%
If your thinking of buying please give me a call at 519-464-7219.
George Carr
Sales Rep.
Century 21 Results ASAP Realty Ltd.
Sarnia, ON