The Bank of Canada kept its benchmark interest rate steady at the effective lower bound of 0.25 percent on June 3rd 2020, as widely expected. Policymakers noted that the COVID-19 pandemic hit output and employment, but fiscal actions combined with lower interest rates are helping economic recovery. This is good news for mortgage borrowers since rates are being held very low.
As the Canadian economy starts on its path to recovery, many homeowners might be enticed to take advantage of the historically low mortgage rates currently being offered. Now is a great time to speak with an Easy Mortgage Broker to see if we can help your cash flow by refinancing at these extremely low rates. Those looking to purchase a home will also be able to take advantage of these rates for the time being until we see economic recovery from COVID-19, at which point the rates will most likely go back up.
The next interest rate announcement is scheduled on July 15, 2020.