Bond Market Hits 2%..fixed rates ready to rise!!!!!
For those of you who have seen this formula before I apologize but it is crucial to understand where our rates are coming from.
The Canadian 5 yr bond this morning climbed to 2% meaning that 5 year rates are moving up and moving quickly.
The simple formula : 2% plus 1.70%, so the 5 yr rate is set to move up to the mid 3.5% mark depending on when the institution bought into the bonds as they climb.
Scotia already bumped their numbers this week in anticipation of the increase coming, this is coupled with our dollar being back above 80 cents on the idea that Bank of Canada will increase their rate by .25% on January 11th/2018.
So please be prepared, fixed and variable rates will most likely be going up!!!!
The time to get your mortgage is NOW!