Quote:
Originally Posted by Calgary14
Any thoughts on where rates are headed after today's rate increase?
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There's a chance prime rate could go up once more in 2017, when the BoC next meets. Fixed rates have been trending up over the past few months as well, in the 0.30-0.40%-range, and are expected to continue to creep up.
The opposing force of course though is overall Canadian indebtedness. They don't want to shock the economy by rapidly raising rates. I personally don't think they will raise it again in 2017, but my crystal ball malfunctions sometimes. I would lean towards it happening in 2018.
There are some really good spreads right now with variable rates being offered by lenders, so it still can make sense in some scenarios to go that route.