Canadians Benefit From The Stalemate South Of The Border.
Nervous investors are looking at Bonds as a safer place for their investments and when they buy more of them that drives down the price. The net effect for us is that if Bond yields are down generally fixed interest rates follow.
We’ve seen historically low rates for almost 3 years now and the US Government shutdown is likely going to create an environment of continued concern, therefore continued lower borrowing rates for Canadians.
As in the past few years the prospect of lower rates means higher housing prices so lets not jump for joy just yet! When the Finance Minister Jim Flaherty thought housing was too expensive in the past several years, he made it harder to qualify for a mortgage in Canada. Every silver lining seems to have its cloud.
See the full article on the Huffington Post site.
How do you feel the tightening of mortgage guidelines has affected your ability to buy a home?