Experts say the Bank of Canada’s recent series of interest rate cuts is set to stir up some activity in a relatively sleepy housing market. As Anne Gaviola explains, there are some exceptions to that trend.
TD Bank joins other major lenders predicting the Bank of Canada will lower its policy rate to a resting point around 2.5 per cent in 2025. The report expects price growth between one and six per cent in roughly three quarters of markets across Canada, as compared to the first quarter of 2024. While Parekh says that lower interest rates are likely to drive up prices in the long run, he’s less sure about how the next two or three months will go. With lower interest rates and a seasonal uptick in buyers expected, any movement on price will depend if the trend of rising listings continues and supply growth offsets demand.