Rates on the Rise
Fears over the COVID-19 pandemic and plummeting oil prices have caused mortgage rates to plummet to multi-year lows over the past couple of weeks. But now mortgage lenders have been frantically rising fixed rates since last week due to liquidity concerns and heightened credit risk. Variable rates are also on the rise as discounts from prime rate are quickly evaporating.
Bank of Canada Qualifying Rate Reduced
The benchmark qualifying rate used to qualify borrowers under the stress test has been reduced from 5.19% to 5.04% to make it easier for those to qualify.
If you are in need of some advice, please do not hesitate to reach out. I’m more than happy to provide you with your options and help give you peace of mind.
Tatum Neufeld, BComm
Mortgage Broker • Mortgage Tailors