Bank of Canada warns the prime rate will increase sooner than expected

The BOC announced that it will leave the prime rate alone once again, for now. They have warned us that they expect to start increasing it sooner than expected. With our economy rebounding sooner than the BOC thought. The BOC has stated that we need to begin controlling inflation which is rampant in many sectors. It is expected that rates will begin climbing as early as the end of the first quarter in 2022. This means if you're thinking of buying a home, now is the time to do it. Take advantage of the historically low rates. 

Fixed rates are already heading up. We have seen three rate increases this month already, with the latest BOC announcement, we are expecting to see a fourth-rate jump as early as Friday. The Bond market is on the rise once again and it is predicted we could see more fixed-rate jumps in the next few weeks. If you have any plans to buy or refinance or if your mortgage is renewing in the next 4 months, now is the time to get an interest rate hold before these record low rates disappear. We have moved into a more balanced market these days as we move into the slower months. Sales are still doing well and it is expected that this momentum will continue. We expect things will cool off as we move into the holiday season.