Housing market experts see glimmer of hope in BOC rate hike pause
BNN Bloomberg
Housing market experts said a forecasted pause to the Bank of Canada’s (BoC) monthslong interest rate tightening cycle offers some hope as the impact of consecutive rate hikes sink in deeper for homeowners and interested buyers.
On Wednesday, the Bank of Canada hiked its key policy rate by 25 basis points to 4.5 per cent – the highest level in 15 years. The Canadian central bank indicated it would pause its hiking cycle if economic conditions remain stable, as it pursues its goal of bringing decades-high inflation back to a target level of two per cent.
Mortgage strategist Robert McLister of MortgageLogic.news said the latest hike is essentially the limit of what some borrowers can handle, and the Bank of Canada appears to understand that.
“Today's news is going to give borrowers hope,” McLister said in a phone interview on Wednesday with BNNBloomberg.ca
