Welcome to the Better Mortgage Select monthly newsletter – March 2026 edition.

 

Brought to you by Daniel Patton, Michael Zanzini, Lorenzo Podda, and our President, Dave Butler.

   
   

Just a month ago, everything was lining up.


Bond yields were trending down.


The 3-year and 5-year fixed rates were starting to push under 3.99% (and better).


And it looked like we were finally going to get a relatively strong spring real estate market.


Then — almost overnight — the landscape changed.

   

What changed?


Since March 2nd, Canadian bond yields have rose to levels not seen since November of 2024, wiping out almost a year and a half worth of progress in a matter of weeks.


The driver: US and Iran’s conflict in the Middle East — and more specifically, pressure on global oil supply.


This matters because:

  • Higher oil = higher inflation (short-term)
  • Higher inflation = upward pressure on bond yields
  • Higher bond yields = higher fixed mortgage rates

And we are already seeing it:

  • Banks and lenders are repricing fixed mortgage rates weekly
  • The 5-year fixed rate looks headed for the 4.39%–4.69% range
  • Less aggressive discounts from the pricing exception desks

***That's a 68 BPS (0.68%) move in JUST 3 WEEKS***

Where does this leave interest rates?


Fixed Rates:
Directly under pressure in the short term. If this US-Iran conflict continues to escalate, we should expect continued upward bias on fixed rates or, at minimum, resistance to moving lower.


Variable Rates:

Now the cheapest and most stable option but possibly only for the short term.


Headline inflation is likely to push up to 3% and possibly higher in the coming months (over their target of 2%).  This could put pressure on the Bank of Canada to raise interest rates temporarily.  But if the Iran-US conflict de-escalates before then, the Bank of Canada could potentially see through the short-term inflation spike and hold steady.


The reality is that Canada is still experiencing:

  • Ongoing economic softness 
  • Rising unemployment trends 
  • Continued pressure from tariffs and reduced global investment 

Translation:  The Bank of Canada is in a very tough spot right now.  The language used at their next interest rate meeting on April 29 will be the most important of the year.

   

What this means for the 2026 spring market:

We’re going to be direct here…


This is sadly shaping up to be another muted spring/summer real estate market.

Not dead — but not explosive.


Why?

  • Fixed rates in the mid-4% range won’t drive urgency
  • Affordability remains tight
  • Buyer confidence is still fragile

We’ve now seen this pattern two years in a row:

   

  1. Rates dip early in the year → optimism builds
  2. External shock hits → fixed rates rise
  3. Market momentum fades

That said — demand is building beneath the surface.


We are still processing huge amounts of pre-approvals so there is significant pent-up buyer demand.


It just needs the right rate environment to unlock.

Strategy for right now (this is where it matters):

This is no longer a “wait and see” market.


This is a plan and protect market.


If you’re buying in 2026:
Get a 120-day rate hold immediately. Rising fixed rates = decreasing purchasing power. Locking now protects your range while you shop.


If you have a renewal coming up:
Start the process early. Even if your renewal is not until later in the year, securing a rate hold gives you leverage and protection.


If you’re carrying higher-interest debt:
This is the time to explore restructuring. Waiting in this environment can make things worse — not better.

The bottom line:

We were on the right track.


It took a rare, external shock to knock things off course.


Now, the focus shifts to getting through this period strategically — so you’re positioned when the next window opens.


Because it will open.


And when it does, we want you ready — not reacting.

Want help putting your plan together?

Reply to this email with the subject line “It’s time” and we’ll connect you with one of our mortgage experts to:

  • Review your current position
  • Map out your 2026 strategy
  • Protect you against short-term rate movement
  • Position you for long-term success

No pressure. Just a clear plan.

     

Let us guess…


You’ve thought about adding a unit (or two… or three) to your property to generate rental income — but assumed it would be too complicated, too expensive, or just not possible to finance.


You’re not alone.


Up until recently — you were right.

   

The problem (until now):

With zoning changes now allowing up to 4 units on many residential properties, the idea makes total sense:

  • Add units
  • Generate income
  • Offset rising mortgage costs
  • Increase long-term property value

But the biggest obstacle has always been financing.


Historically, you either:

  • Couldn’t get approved based on future value
  • Or had to use private lenders and pay high interest + fees

So, we built something better:

From mid 2024 to fall of last year, we worked very hard behind the scenes — collecting huge frequent flyer miles from meeting with large money lenders across the country:

  • Banks (both inside and outside the broker channel)
  • Credit unions
  • Pension & hedge funds
  • Large family offices
  • Any fund that had access to over $50M

All with one goal: Create a financing solution built specifically for this new reality.

Officially launched in October 2025: The BM Select Build-up Program

A first-of-its-kind program that allows you to:

  • Access funds based on the future value of your property
  • Add 1, 2, or 3 units to your home
  • Get construction financing at bank-like interest rates (not private lending)
  • Avoid excessive fees or punitive structures

In simple terms:


We help you turn your home into something that works for you financially, under today’s new zoning laws.

Why this matters right now:

Overall living costs are rising.

Mortgage payments are rising.

Property taxes are rising.


But for many Canadians — incomes aren’t keeping up.


At the same time:

  • Canada still has a large housing imbalance
  • Rental demand is strong
  • Multiple families are living together in one home

The opportunity is sitting right in front of homeowners.

Is this for you?

We’re not saying it’s for everyone. But we are saying:

If it fits your situation, it can be life-changing.


We’re already working with clients who are:

  • Increasing monthly cash flow
  • Offsetting their entire mortgage
  • Adding huge value to their home
  • Turning underperforming properties into profitable ones

Wanna see how it works?

  • Review tons of real examples and case studies HERE
  • Watch our Build Up video below:

Reply to this email with the subject line “BUILD UP” and we’ll walk you through whether it makes sense for you.


This isn’t theory.


This is something we’re implementing right now, with real clients — every day.

And for the right homeowner or investor…


It can completely change the game.

Our mortgage experts were busy this month and are looking ahead to April, where a lot of different events and conferences will be taking place - let’s see what the team is up to.

 

Come join our team on Saturday April 18, as we will have a booth at the Rock Star Real Estate ‘Your Life, Your Terms’ event, being held in Mississauga.  The talented team at Rock Star puts this event on twice per year and it has turned into a ‘must-attend’ for any real estate investor in Ontario over the last decade.  GET REGISTERED HERE and then swing by our booth to talk real estate and mortgages!

   
   
     

Our very own Michael Zanzini will be attending a Durham Property Tour put on by our friends at Smart Home Choice.  Whether you’re an investor or a first-time home buyer, the tour can give you a clear understanding of where opportunities exist and how to take advantage of them in today’s market. You can gain valuable insights into rental potential, financing options, and strategies for getting started, along with the opportunity to connect with an experienced team who will guide you throughout the tour.

 

Don’t miss this opportunity to build your knowledge and confidence in real estate. Spots are limited, so be sure to register early – CLICK HERE to attend.


*Meeting location will be emailed through Eventbrite closer to the date*

   
   
     

In case you missed it, our mortgage experts were out in full force at the National Home Show in Toronto earlier this month.  The event had a fantastic turnout, and we were able to hang out with lots of familiar faces.  Our good friends and partners, Robin and Teresa St. Jean from Michael St. Jean Realty stopped by and our own Vice President, Daniel Patton, was there to host them and chat about the upcoming Spring real estate market.

   
     

To cap off the month, our mortgage experts kept up the networking as Daniel Patton hit up a Toronto Raptors game with Herman Chan from Crimson Financial.  Even though the Raptors lost, Daniel and Herman talked winning strategies and synergies between our two companies and how we can provide more financing options to our loyal clients.

     

Lastly, Michael and our good friend and partner, Ashad Mohammad from Rare Realty, found some time to have dinner and discuss the state of the real estate market and begin preparing for the Spring rush.  Ashad and the team at Rare Realty bring an enthusiastic, young energy to the real estate game and it’s been impressive to see them create such value for their clients.

     

Just a friendly reminder to come visit us on our socials, where we put out a ton of videos with tips and information to help you navigate the wild world of mortgages! Check out the links below and give us a follow!

   
   
   
     
   

As always, if you have any questions or want to do some mortgage planning, feel free to reach out to us at: info@bmselect.ca