10/29/2026
The Bank of Canada raised its key interest rate by a quarter of a percentage point to 2.5% on October 28—its first increase since July 2023.
Higher energy costs and persistent inflation were key factors behind the decision. The Bank says further increases may be needed, but it will proceed carefully as conditions evolve.
What does this mean for you?
🏡 Homeowners: If you have a variable-rate mortgage or line of credit, your interest costs may rise as lenders adjust their prime rates. Existing fixed-rate mortgages keep their current rate until the term ends.
🔑 Buyers: Now is a good time to review your mortgage pre-approval and budget with your mortgage professional so you can move forward with confidence.
The takeaway? Interest rates are one part of the picture. Inventory, pricing and local market conditions also shape your opportunities.
Wondering what this announcement means for your real estate plans? Speak with your mortgage professional, and let’s connect to explore your options.
