Prime Rate at 4.95%
Next announcement is July 30, 2025
The Bank of Canada announced it is holding its overnight rate steady today at 2.75%. That means most lenders’ prime rates will remain at 4.95%. For those with variable-rate mortgages or home equity lines of credit (HELOCs), your rate stays the same. Watch this video for the update.
Bank of Canada’s Rate Change: No Change
Bank of Canada’s Overnight Rate: 2.75%
Most Lenders’ Prime Rate: 4.95%
Next Bank of Canada Announcement: July 30, 2025
Why no cut? The Bank pegged the pause on mixed signals in the economy, ongoing global trade tensions and sticky core inflation. While growth was slightly better than expected in early 2025, the strength is expected to fade and there are already signs of a slowdown emerging. Housing activity has dipped, consumer confidence is down, and unemployment has edged up.
Behind the headlines, here’s what really matters to homeowners and buyers:
Fixed Mortgage Rates Continue to Fluctuate
Even though the Bank held steady, fixed rates are under pressure - rising nearly 30 basis points in May alone. This is due to sticky inflation and weak demand for bonds. If you’re thinking about buying or renewing, now is the time to lock in a rate hold before further increases.
Renewing in the Next 6–18 Months? Start Planning Now
Whether your mortgage is up for renewal in 6 months or 18, a proactive strategy can make a huge difference. Let’s review:Your current mortgage terms and penaltiesWhether extending your amortization could improve cash flowIf a HELOC makes sense for flexibilityThe impact of any life changes (new car, move, investment plans)
The lowest rate isn’t the only thing that matters—the right mortgage strategy is key.
Bonus for First-Time Buyers Building New Homes
New GST rebates could mean up to $50,000 in savings on newly built homes priced up to $1.5 million. A great incentive if you’re building now or in the near future.
Even when the news is full of ups and downs, your mortgage plan shouldn’t be. If you’re wondering how today’s update affects your situation or you just want a second opinion, I’m here to help. Let’s make sure you’re positioned to make smart, confident moves before the next wave of changes hits.Looking for a personalized strategy that works best for you? Contact Hannah Taylor. Hannah is a Level 1 Mortgage Agent and an expert in her field.
Hannah Taylor
Mortgage Agent - Level 1
BRX Mortgage - FSRA #13463
111 Simcoe Street N, Suite 206, Oshawa, ON L1G4S4
Phone: (905) 424-2189
Hours: Monday - Friday 9am - 5pm
connect@mortgageswithhannah.ca
www.mortgageswithhannah.ca
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