This isn’t the cheery message you wanna hear if you have a mortgage coming up for renewal soon. But, hold on. What does this really mean? It’s a great attention grabber. And now that you’re reading, let’s cut through the bull!
It’s true. Wholesale fixed mortgage rates have gone up.. around 0.15%. Yup, that’s it. Yet, reading all the media headlines would make you believe mortgage rates went up 1.00% or something like that!! This just isn’t the case. And Variable rates haven’t changed as of yet.. Mind you, we could see an increase of 0.25% on July 12.. That’s still putting most Variable rate borrowers at 2.25% and 2.40%.. That’s a ridiculously low rate.
Here’s what’s happening…We’ve seen the media take little snippets of the Bank of Canada Governor, Mr. Stephen Poloz’s comments and turn them into front page headlines. Great for headlines but short of full disclosure. Here’s a more complete picture. Read the rest of this entry »