The mortgage market in Calgary is influenced by recent economic changes

Interest Rate Update:

At present, the mortgage market in Calgary is influenced by recent economic changes and shifting market conditions.

On March 12, 2025, the Bank of Canada lowered its Overnight Lending Rate by 0.25%, bringing it down to 2.75%. This reduction marks the seventh consecutive decrease since June 2024, amounting to a total decline of 2.25% from a previous high of 5%. As a result, major banks have revised their prime rates to 4.95%.

Mortgage rates in Calgary are currently competitive. For insured mortgages, five-year fixed rates are nearing 4%. Additionally, variable-rate mortgages have become more appealing, with rates available for qualified borrowers falling below 4%. Further reductions in rates are anticipated.

The combination of lower interest rates and an increase in housing inventory creates advantageous conditions for potential home buyers in Calgary. The broader range of available properties, along with decreased borrowing costs, improves affordability and enhances purchasing power.

For current homeowners, this environment presents opportunities to refinance at more favorable rates, which could lead to lower monthly mortgage payments.
Grebran real estate