Positive economic data from both sides of the border has forced government bond yields up. This will most definitely halt our falling mortgage rates, but will we begin to see an increase?
Do you understand how the banks calculate your mortgage rate? Most Canadians don’t. Take a moment to read this brief explanation of how the bond market and the government’s prime lending rate contribute to the mortgage rate you are currently paying.
| 6 Months | 4.60% | 3.85% |
| 1 Year | 3.65% | 2.49% |
| 2 Years | 3.95% | 2.95% |
| 3 Years | 5.04% | 3.69% |
| 4 Years | 5.14% | 3.89% |
| 5 Years | 5.39% | 3.69% |
| 7 Years | 6.30% | 4.95% |
| 10 Years | 6.50% | 5.20% |
| Variable | NA | 1.80% |
