John Gaio's blog

Fourth consecutive cut brings key lending rate to 3.75% for the first time in two years.

For the first time in two years, the Bank of Canada’s overnight lending rate has hit under 4%.

In its scheduled October 2024 announcement, the central bank lowered the target for the overnight lending rate by 50 basis points to reach 3.75%. This marks the fourth consecutive cut to rates in 2024, and the largest decrease since the onset of the pandemic in March 2020. 

In September, Canada’s Consumer Price Index recorded the smallest yearly increase since February 2021, rising 1.6% year over year,...

Canada’s spring market missed the memo in 2024, and in the following months, housing markets continued to see sluggish buying and selling activity. After a summer of subdued buyer demand, which caused home prices to plateau or decline in the third quarter across many markets in Canada, activity is finally starting to pick up ahead of further expected interest rate cuts. 

While we may not see significant price appreciation in the typically-slower fourth quarter of this year, we believe we’ll see a pull-ahead of the spring market in 2025. Royal LePage^® is forecasting that the...

It seems increased affordability and favourable market conditions are encouraging buyers to re-enter the market. The Toronto Regional Real Estate Board (TRREB) reported a positive trend in the Greater Toronto Area (GTA) housing market last month, as September home sales outpaced last year’s figures.

Market dynamics: sales and listings on the rise 

In September 2024, the GTA witnessed a significant increase in home sales, with a total of 4,996 properties changing hands, marking an 8.5% rise from the 4,606 sales recorded in September 2023. Furthermore, the market saw a substantial increase...

Yet another change is in the pipeline for Canadian mortgage holders in 2024.

The Office of the Superintendent of Financial Institutions (OSFI) revealed last week to The Globe and Mail that it will eliminate the mortgage stress test for uninsured borrowers who plan to switch lenders upon renewing their loan. The borrower, however, must keep the same amortization schedule and current loan amount.

In practice, removing the test for renewing borrowers would encourage banks to offer more competitive rates to retain current customers, and make it easier for those with uninsured mortgages to...

The Toronto housing market closed out summer 2024 with stable property prices and healthy inventory levels, setting the groundwork for favourable market conditions heading into the fall, according to the latest market report from the Toronto Regional Real Estate Board (TRREB). With the overnight lending rate down 75 basis points over the last four months, market activity in the Greater Toronto Area (GTA) is expected to gain momentum in the weeks and months ahead as buyers move to take advantage of cheaper borrowing costs.

“The Bank of Canada’s rate cut announced on September 4 will lead to...

Homeowners who have experienced major flooding know how stressful this ordeal can be. From evacuating the property, to managing the work, to the insurance claims process, such an incident can be emotionally draining, and result in huge material or financial losses. Whether it’s due to torrential rains – which affected many parts of Quebec and Ontario this summer – or annual spring flooding, it’s crucial to act quickly to minimize damage.

Here’s a five-step guide to leaving nothing to chance.

Prepare yourself before the unexpected happens: make an action plan

Planning is always your...

Buying your first home is surely a major milestone, which can be full of excitement, but also some anxiety. From mortgages and down payments, to government programs and house hunting, there’s a lot to take in.

Luckily, it’s easy to understand how to buy your first home with the right tools and expertise. The first step on the journey is to make sure you’re financially ready to purchase your first home.

When buying a home, everything comes down to your wallet. Your monthly income, debts, and credit score will determine the size of the mortgage you qualify for, which will decide what kind of...

While young homebuyer hopefuls in Canada are facing more financial obstacles today – including higher home prices, interest rates and cost of living than their parents – many continue to aspire to own real estate one day. Despite chronic housing affordability and supply challenges, Canada’s next generation¹ of buyers believes that owning a home of their own remains advantageous as a long-term investment.

According to a recent Royal LePage® survey, conducted by Hill & Knowlton,² 84% of Canadians belonging to the adult generation Z and young millennial cohort – those aged 18 to 38 or born...

After showing signs of life in June following the Bank of Canada’s first interest rate cut in more than four years, Canada’s housing market took a bit of a breather last month, according to the latest housing report from the Canadian Real Estate Association (CREA). 

In July 2024, home sales across Canadian MLS^® Systems decreased 0.7% compared to the previous month. This slight decline reversed some of the momentum gained in June following the central bank’s rate cut announcement. 

Activity across major cities saw minimal changes, with the exception of Calgary and the Greater Toronto Area,...

Curb appeal encompasses the attractiveness, charm, and overall visual impact of a property’s exterior. It can include landscaping, architectural features, cleanliness, maintenance, and exterior design elements, all of which contribute to the initial impression potential buyers or visitors have of the home.

A change of the season often brings a change in décor, maintenance and care for your outdoor space. Whether you’re preparing to sell your house, or simply take pride in a well-kept home, there are many simple solutions to make your home’s exterior sparkle this summer.

Here are five ways...