Yes it happened! In spite of the major banks and economists stating inflation had peaked and that the Bank of Canada would likely maintain the current rate … it went up last week by .25% and we are still selling homes!  Are you surprised?  We are not.  It seems that the scales continue to “balance out”.  As the interest rates rise incrementally, the prices adjust slightly.  And I emphasize slightly, as it appears that many wise Buyers ensured, with the pending date of June 7 on the horizon, that they did get their approvals “locked in” for 90 days (maybe more).  So now their buying power has increased! 

For Sellers, they are seeing competition once again!  When their homes are priced at “market value”, Buyers are happy to pay fair market value and even pay “above market value”!  WHY?  They know that their rates are locked in AND they know this new realistic pricing is favourable and not going to hurt their budgets the way they may have predicted.

Will we see another increase coming in July?  The word on the street is YES!  So if you haven’t already “locked in”, now is the time to speak to your mortgage broker or financial institution and secure the best rate.  We are going to have a HOT HOT SUMMER in real estate by the look of this past week – interest rate increases have not stopped competition and sales for The Lynn Fee Team.  Our inventory levels are quickly lowering, and we are now encouraging our clients who were holding back to think seriously about getting on the market before the “lazy hazy days” are upon us.  With more potential interest increases, we just never know what’s in store for Fall.  So, I wouldn’t wait to find out.  Call us now and let’s talk REAL ESTATE! 

Warm Regards,

Lynn Fee