Finances

With mortgage rates still hovering above what we’ve been used to in recent years, a lot of people are wondering: “Should I wait to buy?” It’s a fair question — but the answer isn’t always a clear-cut “yes” or “no.”

Here’s the truth: in some situations, buying now can still be a smart move — even with higher rates. Let’s break down when it might actually make sense to go for it.

1. You Found The One

Sometimes, the perfect home comes along — the right layout, the right location, the right everything. And let’s be honest: great homes don’t come around every day. If you’re financially ready and you’ve found your home, it might be worth locking it in now and refinancing later if rates drop.

2. Prices Are Calmer (for Now)

While rates are higher, they’ve helped cool down some of the buying frenzy. In many areas, this means less competition and fewer bidding wars. If you’re able to snag a home at a good price today, that could be worth more long-term than waiting for a slightly better rate — especially if prices go back up.

3. Renting Is Still Expensive

Renting isn’t exactly a bargain these days. In many cities, rent prices are at all-time highs — and unlike a mortgage, rent doesn’t build equity. If your rent is close to what a mortgage would cost you, buying could be a better long-term investment, even with today’s rates.

4. You’re Financially Ready

If you have steady income, a solid credit score, and enough saved up for a down payment and closing costs, you’re already in a great position. In fact, buyers with strong financial profiles may qualify for better terms or loan programs that help offset higher rates.

5. The Market’s in Your Favor

In some cities, inventory is rising and sellers are more willing to negotiate. That gives you a bit more breathing room and leverage — something that was rare during the crazy market of 2020-2022. A more balanced market means you might score a better deal, even with a slightly higher interest rate.

Bottom Line

Yes, rates are higher than they were a couple of years ago — but that doesn’t mean it’s a bad time to buy. If you’re financially prepared and you find the right home, this could still be your moment. And remember: you marry the home, but you date the rate. You can always refinance down the road.

Personal Interest

When it comes to building wealth, there's no magic button — but there is a powerful tool that many people overlook: your mortgage.

Owning a home isn’t just about having a place to live. It’s one of the most reliable ways to grow your wealth over time — and all it takes is a little patience. With every mortgage payment you make, you’re not just covering your housing costs — you’re investing in yourself.

Here’s how it works

Each month, part of your payment goes toward interest, but another part goes directly toward your loan principal. That means you’re slowly increasing your ownership stake in your home. This is called building equity — and the longer you own your home, the more equity you build.

On top of that, homes tend to appreciate in value over time. While real estate can have ups and downs like any market, historically, home values rise — especially when you hold onto your property for the long run. Combine that with your growing equity, and you’ve got a powerful wealth-building machine right under your roof.

And unlike rent — which goes to someone else’s pocket — every mortgage payment is helping you move closer to full ownership. That’s the quiet magic of consistency.

You don’t need to flip houses or time the market perfectly. You just need to stay the course, make your payments, and watch what happens over time.

So if you’re feeling overwhelmed by rising rates or unsure whether it’s worth it — remember this: wealth doesn’t come from winning the lottery. It comes from showing up, paying down, and staying patient.

Your future self will thank you.

Your home

Spring is a popular time to buy a home — and for good reason. The weather’s nicer, more homes tend to hit the market, and people are ready for a fresh start. But in 2025, the spring market looks a little different than it has in years past.

Rates are still a bit higher than what we saw during the pandemic boom, but they’ve been slowly inching down. Inventory? It’s improving in some areas, but in others, homes are still going quickly. That means if you’re planning to buy, it’s important to stay flexible, move fast when you see something you like, and have your financing lined up early.

The good news? There are more listings now than last year, which means more options for buyers. And while higher rates might seem like a downside, they’ve actually helped cool down the competition just enough in some markets to give buyers more breathing room.

The key this season is being prepared. Make sure you're pre-approved, know your budget, and work with a lender and agent who can help you move quickly when the right opportunity comes along.

Buying a home might feel different this year — but with the right game plan, it's still totally doable. And who knows? Your dream home might be waiting for you right around the corner.

Shakespeare might have thought ‘to be or not to be’ was the ultimate question, but he wasn’t living in 2025 trying to minimize bank fees and interest charges while maximizing financial returns—and having to pay $9 for a clamshell of raspberries. This month, we’re tackling a modern dilemma: ‘Should I get a variable or fixed rate on my mortgage?’ Not as poetic, but way more practical. Let’s dive in.

 

Understanding the Basics

Every mortgage payment has two components: principal and interest. Your choice between a fixed or variable mortgage impacts how these are structured over time.

 

Variable Rate Mortgages

Variable rate mortgages come in two main forms:

• Fixed Payment Variable Mortgage – You have a set monthly payment, but the portion that goes toward principal vs. interest fluctuates. When rates go up, more of your payment goes toward interest, slowing down how quickly you pay off your mortgage. When rates go down, more goes toward the principal, helping you pay off your loan faster.
• Adjustable Payment Variable Mortgage – The total mortgage payment fluctuates based on interest rate changes, ensuring the mortgage is paid off within the original amortization schedule. The portion of your payment allocated to interest and principal will shift as rates change.

Variable mortgages introduce an element of unpredictability, which some borrowers are comfortable with, while others prefer the security of knowing exactly what their payments will be.

Fixed Rate Mortgages

A fixed-rate mortgage means your interest rate and monthly payments remain the same throughout your term. This stability can be crucial for those who prioritize predictability in budgeting, mental well-being, or long-term financial planning. If the idea of fluctuating payments makes you uneasy, or if you want to avoid worrying about interest rate changes, a fixed-rate mortgage could be the right choice.

 

The Interest Rate Factor

The Bank of Canada (BoC) sets the overnight lending rate, which influences the Prime rate set by banks. Variable mortgage rates are typically based on Prime ± a lender-specific adjustment. There are eight key BoC announcements each year that can result in rate changes (or no changes at all). You’ve probably seen me cover these on social media (if not, I’d love for you to follow along!).

During the pandemic, the BoC lowered rates to 0.25% to stimulate borrowing. Rates began increasing in 2022 due to inflation, reaching 5% by mid-2023 before the BoC started cutting them in 2024. As of March 12, 2025, we’re at 2.75%, with six more rate decisions coming this year.

 

Risks

There are risks with both variable and fixed rates for your mortgage. With a fixed rate, the risk is that if rates drop, you will have a higher payment than what is available on the market. You’d also likely incur a penalty to break the fixed rate term to capitalise on any decreases. With a variable rate, the risk is that changing rates could increase the amortization of your mortgage. We also discussed the risk of Bank of Canada announcements indirectly changing your rate and therefore payment, impacting your budget and cash flow. And one final potential risk is if rates go up enough, it may trigger the need for a lump sum payment to your lender.

 

2025

What’s Next? The current rate is still above the target 2%, meaning there is room for potential decreases. However, nothing is guaranteed. Rates could hold steady or, in rare cases, even increase due to external factors like inflation spikes or international economic shifts.

 

Impact on Your Mortgage

If you have a variable mortgage, your rate is based on your lender’s Prime rate, which is influenced by the BoC policy rate. Your mortgage rate is typically Prime ± a lender adjustment. If the Prime rate is 6% and your lender offers Prime - 0.50%, your mortgage rate would be 5.50%.

• With a fixed payment variable mortgage, more of your payment goes toward principal.
• With an adjustable payment variable mortgage, your monthly payment decreases.

If you have a fixed-rate mortgage, your rate and payments remain unchanged during your term. This stability is why many borrowers prefer fixed rates, even if they sometimes come with slightly higher initial rates. Fixed rates are influenced by bond market trends rather than the Bank of Canada’s policy rate directly.

 

Which One is Right for You?

There is no universal right answer—only the best choice for your financial situation, risk tolerance, and future plans. As your mortgage professional, I’d love to walk through your mortgage with you and discuss:

• The pros and cons of fixed vs. variable for your specific needs.
• How to budget for worst-case scenarios.
• Whether breaking your current mortgage to switch makes sense.
• Economic implications of switching between a variable and fixed rate.
• If adjustments at renewal would benefit you?

Send me an email, text, or call anytime! I’m here to provide guidance, not pressure. Let’s find the best mortgage strategy for you!