Déjà vu: Mortgage Rates Go Up…Again
Mortgage rates have gone up yet again. This is starting to sound a little too familiar, isn’t it? As of the last week of April, RBC upped their five-year closed fixed rate mortgage to 6.25 per cent. As per usual, expect the other banks to follow suit.
Recently, the Canada Mortgage and Housing Corporation released a survey that found four in five Canadians were comfortable with their debt levels. That may have been true when consumers were surveyed in February, but it may not be entirely accurate now that rates have gone up three times in the span of a month.
In the meantime, variable interest rates, which are tied to the overnight lending rate (unlike fixed rates that are tied to bond yields), are still looking attractive. Although, expect variable rates to rise in June or July.
I feel like we’re on a rollercoaster and it’s only going up. Hold on tight, it might get a little bumpy!
