A new survey commissioned by TD Bank reveals that Canadians remain sharply divided over where interest rates are headed, underscoring how economic volatility is reshaping mortgage decisions across the country.
The poll, conducted by The Harris Poll Canada, found that 32 per cent of Canadians expect interest rates to rise in the coming months, while 27 per cent predict a decrease and 29 per cent anticipate no change at all. The split highlights the uncertainty facing homeowners and prospective buyers alike as they navigate one of life’s largest financial commitments.
“With so much uncertainty around what comes next, Canadians are thinking carefully about how best to approach their mortgage,” said Patrick Smith, vice president of product management for Real Estate Secured Lending for TD Bank, in a statement.
Beyond interest rate predictions, broader economic pressures are also influencing Canadians’ decisions. Nearly one-third of respondents (29 per cent) said tariffs had prompted them to reassess their mortgage strategy.
Almost one-third (31 per cent) reported tariffs had reduced their borrowing capacity, while more than a quarter (28 per cent) said they reconsidered taking out a mortgage entirely, or even changed the type of lender they planned to use.
While most Canadians feel informed about the mortgage process, the survey highlighted ongoing affordability concerns. More than one in four (27 per cent) said they remain unsure how to improve affordability, and nearly a quarter (23 per cent) reported encountering unexpected costs during the mortgage process.
The statistically representative survey was conducted online, among 942 Canadian homeowners and 223 Canadians planning to buy a home over the next two years. It has a margin of error of +/-3.2 per cent for homeowners and +/-6.6 per cent for prospective buyers, 19 times out of 20.