On July 30, 2025, the Bank of Canada announced it is holding its policy interest rate steady at 2.75%, with the deposit rate at 2.70% and the Bank Rate at 3.00%. This decision comes as Canada continues to navigate economic uncertainty driven by U.S. tariffs and global trade shifts. For those in the real estate market, this steady rate is significant. A consistent policy rate helps maintain predictable borrowing conditions, especially for buyers relying on variable-rate mortgages or looking to renew their loans. While the broader economy saw a contraction in the second quarter of 2025 - largely due to a sharp drop in exports - the housing market remains supported by ongoing consumer activity and moderate inflation. Impacts on Buyers and Sellers With inflation holding near 2% and shelter price inflation gradually easing, affordability remains a key focus. The current interest rate encourages stability in mortgage lending, allowing buyers to plan with more certainty. However, the Bank has acknowledged the potential for future rate cuts if economic slack deepens and inflationary pressures remain controlled. This opens the door for improved borrowing conditions later this year or in early 2026. For sellers, consistent rates may help sustain buyer demand during a period where other areas of the economy are showing signs of strain. Employment is still holding up in many sectors despite some trade-related impacts, and household spending is expected to grow modestly through the second half of 2025. Looking Ahead The Bank’s decision reflects a cautious approach as global and domestic challenges unfold. Ongoing U.S. trade actions, rising business costs, and supply chain adjustments continue to introduce economic pressure, but Canada’s real estate sector remains relatively resilient. The next interest rate announcement is scheduled for September 17, 2025. Until then, stable rates may help support market confidence during the late summer and early fall selling seasons. Have questions about how this affects your buying or selling plans? Contact us today for a personalized conversation about your next steps in the current market.

The Canada Strong Pass provides free admission to all national parks, 50% off museums for youth, 25% VIA Rail discounts, and more from June 20-September 2, 2025

Join us in Elora on July 29th for Elora’s Longest BBQ, an open-air food festival kicking off Food Day Canada with 25+ vendors, live music, and Chef Michael Smith’s Oyster Bar.

Thank you all for making 2024 a great year. As the holiday season fills Guelph with joy and cheer, we at Coldwell Banker Neumann are taking a moment to reflect on the year that has passed. We are incredibly thankful for the trust and support of our clients and the hard work of our CBN family. Your faith in us inspires everything we do, and 2024 has been a year full of achievements thanks to you.

The Bank of Canada has made its final interest rate announcement of 2024, reducing its benchmark rate by 50 basis points to 3.25%. This is the fifth consecutive rate cut, reflecting ongoing efforts to support economic growth amidst rising inflation and a mixed global economic outlook. While economists speculate on future rate movements, this reduction has significant implications for Canada’s real estate market.

Holiday Shopping, Local Vendors, Festive Treats, and Cheerful Gifts.

Winter in Guelph and the surrounding areas is as beautiful as it is challenging for homeowners. Whether you’re staying put or considering selling your home this season, taking proactive steps to prepare your property can save you from headaches and help maintain its value. From safeguarding against frost to enhancing curb appeal during the colder months, here are essential tips to keep your home winter-ready.

When searching for your dream home, there are many factors to consider: cost, size, layout, and neighborhood. However, if you have children—or plan to in the future—schools become a crucial aspect of your decision. Here’s how to ensure that your new home is close to a great school...

In a highly anticipated move, the Bank of Canada (BoC) has lowered its key interest rate by 25 basis points, bringing it down to 4.25%. This marks the third consecutive cut since June, signaling the central bank’s ongoing efforts to navigate the complexities of Canada’s economic landscape. While the reduction was largely expected, the broader implications of this decision reflect the central bank’s cautious approach to managing inflation and sustaining economic growth.