Home of the Week, 347036 Mono Centre Rd., Mono, Ont.MITCHELL HUBBLE/Modern Movement Creative
This week, a long-awaited interest rate cut could finally convince prospective homebuyers waiting on the sidelines to enter the market. Plus, three communities where home sales are actually increasing and one property worth a look.
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Interest ratesBank of Canada resumes rate cuts, experts say prospective homebuyers should re-enter marketOpen this photo in gallery:
With another interest rate cut on Wednesday, borrowers may soon be able to get mortgages with rates in the 3-per-cent range.DARRYL DYCK/The Canadian Press
After months of pause, the Bank of Canada announced it was resuming interest rate cuts, lowering its policy rate by a quarter-point to 2.5 per cent. The BoC said it made the decision in response to weakening employment and signs that inflation is becoming less of a concern. As Rachelle Younglai writes, the cut could be the sign many first-time homebuyers were looking for to enter the market – lenders are expected to offer mortgages that could soon be in the 3-per-cent range instead of hovering around 4 per cent. Experts say getting a rate that’s back to what buyers consider “normal” will likely motivate them to enter the real estate market.
However, as Erica Alini writes, lower interest rates mean the economy may be headed for trouble. While it may be a good time to buy a house, the big asterisk could be your job security.
Against the grainThree Canadian communities that are bucking national real estate trendsOpen this photo in gallery:
Tariff and trade uncertainty have put downward pressure on Canada’s housing market.Kayle Neis/The Globe and Mail
The real estate market is stagnant in most areas of the country. But a few communities are bucking this trend. Salmaan Farooqui spoke with economists and realtors to find out how Winnipeg and St. John’s are the hottest markets in Canada, and why Saskatoon is still seeing strong demand.
This week’s lowest fixed and variable mortgage rates in CanadaOpen this photo in gallery:
Financial markets expect one or two more rate cuts between now and the end of 2026.Paige Taylor White/The Canadian Press
Variable-rate mortgages are looking a little more attractive as a result of the interest rate cut. Moreover, financial markets currently expect one or two more rate cuts between now and the end of 2026, writes Salmaan Farooqui. Markets are also currently pricing in a 43-per-cent chance that the central bank will lower its benchmark rate again when it convenes on Oct. 29.
Rates shown are the lowest available for each term/type and category (insured versus uninsured) as of market close on Thursday, Sept. 18.
Home RunIs $1-million enough to buy this couple a spacious townhouse north of Toronto?Open this photo in gallery:
Ryan Berard and Joni Cheung in their new home.Galit Rodan/The Globe and Mail
Joni Cheung and Ryan Berard were looking to upgrade their living space from their 565-square-foot Richmond Hill condo. At first, the couple considered upgrading to a larger condo in the same city. But they discovered that they could afford a house slightly further north if they didn’t have to pay the monthly fees associated with condo ownership. So they pivoted to look for a townhouse in Newmarket or East Gwillimbury instead, about 30 minutes north of Richmond Hill, where many of their family and friends lived. The couple hoped for at least three bedrooms and three bathrooms. Andrea Yu has the scoop on their search. Can you guess which home they picked before the end?
The ListingNumber of GTA homes being taken over by lenders is skyrocketingOpen this photo in gallery:
The number of homes that have been taken over by lenders under ‘power of sale’ is up from last year, data show.COLE BURSTON/The Canadian Press
The number of homes that have been taken over by lenders under “power of sale’ is up almost 60 per cent from the same time last year, according to new data, and some are comparing the current climate to the fallout from the 2008 financial crisis. The power of sale process is not like a foreclosure: Canadian banks or lenders don’t typically end up owning a debtor’s home. However, in most cases, the way a lender secures the return of the money they are owed is through a court-approved sale of a mortgaged property. If there’s any money made in the sale above what the lender is owed, it’s returned to the seller, Shane Dingman writes. Experts say there’s still a lot more debt to unwind and more pain to come for those amateur investors who flooded into the condo market to buy apartments when, even in good times, rents barely covered the mortgages.
Home of the WeekA lavender farm for yoga, picnics and high teaOpen this photo in gallery:
Home of the Week, 347036 Mono Centre Rd., Mono, Ont.MITCHELL HUBBLE/Mitchell Hubble/Modern Movement Creative
347036 Mono Centre Rd., Mono, Ont. – Full gallery here
This five-bedroom home in the town of Mono, near Orangeville, Ont., was once used as a cattle farm, but the owner saw an opportunity to revive the soil and established a lavender farm. During the summer, the farm is open to visitors for activities that include yoga, picnics, photoshoots and high tea. The owner restored the heritage barn and turned the upper level into a shop where visitors can purchase the products and mementoes made on the farm. The 3,271-square-foot house has been renovated throughout with new bathrooms, kitchens and wide-plank flooring, as well as a swimming pool in the back garden and a tennis court next to the barn.
What do you think is the asking price for the property?
a. $3,955,000
b. $4,450,000
c. $4,785,000
d. $5,175,000
b. The asking price is $4,450,000.