It has been a busy 2 weeks in the markets. On Friday afternoon March 13, 2020, the Bank of Canada announced new emergency measures to help ease the economic stress to Canadians and the overall Canadian financial system that has been caused as a result of the Corona Virus (commonly known as the COVID-19) pandemic.
Here are some of the measures the Bank of Canada took to help:
The mortgage rates have already dropped since the Bank of Canada’s announcement to reduce lending rates earlier this month, and we expect even more rate decreases in the weeks to come from many of Canada’s top mortgage lenders.
When it comes to qualifying for a mortgage, the Bank of Canada will be reviewing it’s qualifying stress test rate in April and will be providing a complete update of where they stand on the current economic state of Canada on April 15, 2020. There is a big feeling of confidence across the mortgage and lending industry in Canada that the stress test rate will be lowered making it easier for Canadians to qualify for a mortgage, a higher home refinance, and to receive better and lower mortgage rates.