09/03/2026
No change from the Bank of Canada yesterday. The policy rate remains at 2.25%, which keeps most lenders' Prime at 4.45%. So, for variable-rate borrowers, nothing changes today. Watch the video update here: https://www.youtube.com/watch?v=UO0S_LovL7Y
Fixed rates move independently of the Bank of Canada and are influenced by bond yields, which react to what's happening in the economy.
Right now, Canada's economy is showing signs of improvement, but the outlook is anything but settled. Higher energy prices have pushed inflation up, while new tariffs and ongoing trade uncertainty could weigh on growth, investment and employment.
Those forces pull rates in opposite directions.
That means the best mortgage strategy right now is less about trying to predict the next Bank of Canada move and more about making sure you're prepared for either direction.
If your mortgage is renewing soon:
There's a case to be made for both fixed and variable right now. The important part is choosing an option you'll be comfortable with even if rates move again. Instead of waiting for your renewal notice, we can look at:
what your new payment may be
fixed versus variable options
what happens if rates rise or fall
whether there are opportunities to improve your mortgage before renewal
If you're buying:
With rates reacting to any whiplash-inducing economic news, securing a pre-approval and rate hold is your main line of defence.
The bottom line?
The current market calls for an agile mortgage strategy. The best bet is to have a plan A, B and maybe even C so we are ready to react when it makes sense for you.
If you'd like to review your mortgage, renewal or buying plans, reach out and we can go through the numbers.
