GTA homebuyers are facing a new wave of uncertainty as mortgage rate risks tick upward. According to mortgage strategist Robert McLister, a combination of rising oil prices and a firming economy is keeping bond yields stubbornly elevated, directly impacting the cost of fixed-rate mortgages. While headline inflation may show temporary relief due to June’s dip in gas prices, the recent rebound in energy futures suggests that July’s data could prove more challenging for borrowers.
In response to this shifting landscape, many savvy borrowers are opting for the stability of three- and five-year fixed-rate terms to hedge against further volatility. Meanwhile, regional providers continue to dominate the competitive landscape, with some offering variable rates as low as 3.25 per cent for insured borrowers. As market conditions evolve, navigating these rate fluctuations is essential for anyone entering the Toronto market. For the full analysis and daily rate updates, visit the original article at financialpost.com.
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