GTA homebuyers are facing increased fixed mortgage rates following recent global events. Since late February, the conflict in the Middle East has sent bond yields on a “roller coaster,” pushing insured five-year fixed mortgage rates from approximately 3.9% to 4.2%, according to True North Mortgage CEO Dan Eisner. This increase is attributed to a rise in the Bank of Canada’s five-year bond yield, influenced by rising oil prices and inflation concerns. While variable rates remain steady for now, experts advise potential homebuyers and those facing renewals to carefully consider their options, with some suggesting locking in a fixed rate to mitigate potential risks. Factors like unemployment and sluggish economic growth are also influencing the Bank of Canada’s decisions. For a deeper dive into the factors influencing GTA mortgage rates, read the full article on thestar.com.
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