54036 NAT COR Digital Magazine Final - Flipbook - Page 27
SOPHIA YIP,
Manager of RBC’s Builder
Development Department
Mortgage rates are a hot topic. On the news or in
conversations, talk of mortgage rates is everywhere in Canada.
Understanding why these rates are top of mind for so many
can help you make a confident and informed home-buying
decision.
The good news is that the right time to buy
your home might be sooner than you think.
We spoke with Reza Shohreh and Sophia Yip from RBC’s Builder
Development Department to get their take on the impact of
mortgage rates on the current real estate market in the GTA.
As we delve into why now might be an ideal time to purchase
a property, we’ll highlight the role of interest rates, market
trends, and the stability offered by firm mortgage approvals.
PREDICTED LOWER INTEREST RATES
A key factor making the current period favorable for buying
a home is the anticipated decrease in interest rates. Lower
interest rates mean reduced borrowing costs, making
mortgage payments more affordable. This scenario is
particularly advantageous for first-time buyers and those
looking to upgrade their living situations.
INCREASED MARKET ACTIVITY
As interest rates drop, the real estate market often experiences
a surge in activity. Many people who have been waiting on the
sidelines for a more favorable economic climate are likely to
enter the market. According to Shohreh, “Anticipated interest
rate cuts could unlock a wave of demand from prospective
buyers who have been waiting on the sidelines.” This influx
of buyers can drive up competition and potentially increase
property values, making it smart to act sooner rather than later.
27
NATIONAL HOMES DIGITAL MAGAZINE
