At Philippe Cantin’s microphone, Michèle Boisvert talks about forecasts for a reduction in the main rate of the Bank of Canada, with a possible reduction to 4% by the end of the year and possibly to 2.5% by the end of 2025, according to Desjardins.
Listen to Michèle Boisvert measure the impact of interest rates on the portfolio of house and property owners on Philippe Cantin’s microphone.
Basically, a $300,000 mortgage at a 4.5% rate would decrease by almost $100 per month at a 4% rate.
This reduction is driven by slowing inflation, but there are concerns about the unemployment rate which has risen from 4.8% to 6.4% in Canada in two years.
This rate cut, however, could have a positive effect on the economy and lead to a “soft landing” without a deep recession.
In the United States, a rate cut is also expected, which could have a positive effect on the Democrats in the elections.
2024-08-26 23:10:47
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