INTEREST RATES AND THE HOUSING MARKET
WHAT'S HAPPENING?
Following the pandemic, mortgage rates had dropped to a historical low, making it an opportune time to buy a home. However, in efforts to keep inflation under control, the Bank of Canada’s overnight lending rates increased, causing mortgage rates to grow as well. The next scheduled date for announcing the overnight rate target is June 1, 2022.
Additionally, according to the CMHC’s Spring 2022 house market outlook, there has been a significant increase in migration numbers in 2021, and this pattern well continue well into 2024. This will ultimately lead to decreases in vacancy rates and increases in rental housing demand.
So what does this mean for consumers (and especially prospective homebuyers)?
WHAT DOES THIS MEAN FOR CONSUMERS AND PROSPECTIVE HOMEBUYERS?
Timing is of the essence. Now is one of the best times to get into home ownership. Taking the first steps and locking into a favorable mortgage option now could ensure that you are well protected against external factors in the outside market.
Along with the uncertainty of supply costs and the effects of economic fluctuations and global events, the importance of getting ahead of the game(show) has never been greater.
WHAT DO I DO?
Daytona Homes offers an incredible selection of move-in ready homes that are available on a quick possession basis. These homes are completed or currently under construction and are ready for homeowners to take possession before interest rates increase. Whether you’re in the market for your future home or just simply looking for an investment property, the window of opportunity gets smaller with each passing day. Speak with a sales consultant today to get started!
