Mortgage Rate Outlook

Mortgage rates currently remain at historically low rates, however, they are expected to increase in the last quarter of the year and will continue to increase into 2015. It is sitting at 3.14% (for a one-year term) and is forecasted to stay stable in this upcoming quarter. As per the BCREA, the mortgage rate forecast is as follows:


*Data is average of weekly rates. Source: Bank of Canada.

In response to bond yields seeing a downwards trend, lenders have offered historically low mortgage rates, which is great news for homebuyers.

Economic Outlook
In relation to Canada's economy, its weak start was quickly overturned by strong economic growth in the second quarter with a 3.1% real GDP increase. This growth was largely attributed to the number of exports. It is expected that the economic growth will remain relatively strong. 

Interest Rate Forecast
The current labor market is still seeing high unemployment rates and unstable employment growth. The BCREA expects that the Bank of Canada will "continue to take a cautious approach to monetary policy until it sees concrete signs that the economy is growing sustainably above trend". It is predicted that the Bank will lower interest rates however, a tighening of interest rates are forecasted for the second half of 2015.

The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Real Estate Board of Greater Vancouver (REBGV), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the REBGV, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the REBGV, the FVREB or the CADREB.