In a surprise move the bank of Canada cut their overnight lending rate by a 0.25%. As mentioned in last weeks Abbotsford Mortgage News Blog it has been 4.5 years since the BoC has moved in any direction.
This overnight lending rate that has dropped is effectively the rate that the banks borrow at when setting their prime rate. If the banks shares the wealth, prime rate should be dropping to 2.75% across the industry in the next couple days. Lets just hope the banks share the wealth (which I expect they will). We will all instantly see all of our Variable Rate Mortgages and Line Of Credit Mortgages drop their rates if the banks decide to share.
- Rates for floating loans should drop ie) Line Of Credits
- First time Prime Rate move in almost 4.5 years
- The bank cost of business just got cheaper, but will they pass those savings along?
By Referral Mortgage Consultants*
“Click, Call, Chat – Award Winning Brokers”
1 – 32540 Logan Ave
Mission BCV2V 6G3
360-3033 Immel St
8387 Young Rd
Dave 604 897 2741 Jordi 604 615 1312
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*By Referral Mortgage Consultants – doing business as BRMC is: Verico Preferred Financing Inc / Verico Canadian 1st Mortgage Corp which have a co-brokering agreement and there is a common Mortgage relationship and are licensed with the Verico Dreyer Group. Mortgage ownership, that employees of both Mortgage companies may review, advise and help process the Mortgage files. That Verico Preferred Financing Inc & Verico Canadian 1st Mortgage Corp share the some expense and income from mortgages. Kim Langille Featured on thess site is an unlicensed mortgage assistant only, not a Mortgage Consultant. Jordi Browne featured on this site is the Mortgage Broker of record. “The Broker” is Jordi Browne. Jordi Browne also holds a Life Insurance License and represents Verico Canadian 1st Mortgage Corp. Dave Browne featured on this site has a Life Insurance License too but is an independent agent– Jordi and Dave Browne co-broker life insurance files and share expenses, all income retained by Verico Canadian 1st Mortgage Corp.