Skip to content
Indi Mortgage
Rate cut

A second straight cut

Policy rate
4.5%
Prime
6.7%
Move
25 bps
Inflation
2.5%

Back-to-back reductions confirmed a direction rather than a one-off. Variable-rate holders started to see the benefit compound.

In payment terms, a quarter-point move takes roughly $16 a month off a variable-rate mortgage for every $100,000 borrowed, on a 25-year amortization. On a $300,000 mortgage that is about $48 a month.

A lower rate raises what you qualify for, which is genuinely good news — but in a tightening market it also raises what everyone else qualifies for. Get the pre-approval done so you can act on the improvement rather than watch it get bid away.

What the Bank said

“The Bank of Canada today reduced its target for the overnight rate to 4.5%, with the Bank Rate at 4.75% and the deposit rate at 4.5%. The global economy is expected to continue expanding at an annual rate of about 3% through 2026.”

The rate path around this decision

0.9%2.0%3.2%4.4%Jan 22Sep 22May 23Jan 24Sep 24Oct 24

For context, unemployment was running at about 6.4% and inflation at 2.5% around this decision.

Where this leaves you

Rate announcements make headlines; approvals turn on your own numbers. If you're buying, renewing or refinancing in Fort McMurray, the useful next step is finding out what you actually qualify for — see current rates, run the math, or start an application. You can also follow the local market in our Fort McMurray housing market reports.

What does 4.5% mean for your mortgage?

Every file is different. Get a real answer based on your income and your situation.