Interest rate hike puts pressure on home owners
Local homeowners could be feeling the pinch following the Bank of Canada’s latest hike.
On Wednesday, the central bank moved interest rates up a quarter point to 1.25 per cent. In response, most of Canada’s big banks are raising their own prime rates by a quarter of a percentage point putting pressure on homeowners with variable rate mortgages.
Prince Albert mortgage broker Debbie Dowhay, with Mortgage FX, told paNOW there will be an impact on monthly payments.
“Anybody who had a variable mortgage, payments will probably change by $20 a month,” she said.