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Better Mortgage Select Presents: Breaking Interest Rate News - Brought to you by Daniel Patton, Michael Zanzini, Lorenzo Podda, and our President, Dave Butler.

   
   

As expected, the Bank of Canada has held its key interest rate this morning.

 

This was a widely anticipated pause — and one we made sure to telegraph to you.

 

But what has changed over the past 2–3 weeks is the direction of the fixed rate market.

   

What just happened (and why it matters):

   

In late February, we highlighted that the 5-year bond yield had dropped roughly 0.25% — opening the door for stronger fixed-rate pricing heading into the spring market and a possible Bank of Canada rate cut being priced in for later in the year.

   
   

We were beginning to see:

  • 5-year fixed rates consistently at ~3.99% (and improving)
  • 3-year fixed rates trending even lower
  • Momentum building for a more active spring market

Then, almost overnight — everything shifted.

 

The escalation of the Iran–U.S. conflict immediately pushed global bond yields higher, fully reversing the February drop.

 

As of today:

   
   

  • The entire bond yield drop from February has been erased
  • Yields are now trading higher than pre-February levels
  • Lenders have begun quietly pulling back aggressive fixed rate pricing
  • Some banks have already increased fixed rates by 0.05%–0.15%

What this means right now:

   

Fixed Rates:

We are now in a short-term upward pressure environment. If global tensions persist — particularly with oil involved — inflation risk increases, and fixed rates can continue to edge higher.

 

Variable Rates:

With the Bank of Canada firmly entrenched in a wait-and-see mode, the variable rate is back to being cheaper and has now become the more stable option in the short term. There will be no variable rate cuts or hikes any time soon, until there is more clarity on inflation and global conditions.

   

Strategy from here: Stay disciplined

   

Buying in 2026:
Now is the time to secure a 120-day rate hold. This protects you if fixed rates move higher while you shop.

 

Mortgage renewals:
Even if your renewal is later in the year, it’s critical to review your options and secure a rate hold. This gives you flexibility and protection in a shifting environment.

 

Variable rate holders:
No need to panic and rush into locking in. This current fixed-rate upward pressure appears short to medium term, not structural. Stay patient and wait for better opportunities.

   

The big picture:

   

We entered 2026 with signs of stability — and even early momentum toward lower fixed rates.

 

In a matter of days, geopolitical risk shifted that trajectory.  This is the reality of today’s market:

   

Things can change quickly — and strategy matters more than ever.

 

Our job is to help you stay ahead of those changes and avoid reactionary decisions.

   

Want to talk through your situation?

   

Reply to this email with the subject “Let’s Talk” and we’ll walk you through:

  • Your current mortgage position
  • Timing opportunities (lock vs. wait)
  • Fixed vs. variable strategy
  • Renewal, refinance, or purchase planning

So, you can move forward with clarity — not guesswork.

With everything that’s just changed in the rate environment — this next session couldn’t be more timely.

 

After a fantastic turnout at our first webinar of the year (focused on first-time buyers), we’re continuing the series with one of the most important topics of 2026:

 

Wednesday, April 22nd at 6:30 PM:


How to Play the 2026 Spring Real Estate Market

 

This is not a generic market update.

 

This is a real-world strategy session based on what we’re seeing right now — in rates, in lending, and in buyer and seller behaviour.

 

We’ll cover:

  • How rising bond yields are impacting fixed-rate strategy
  • Whether this spring market will continue to favor buyers
  • When it makes sense to act vs. when it makes sense to wait
  • How to structure your financing in a shifting rate environment
  • Real examples of what’s working right now

If you’re planning to buy, sell, or make a move in 2026, this is a session you’ll want to be on.

 

And if you know someone thinking about entering the market — this is the webinar to forward them.

   
   

The difference in this market won’t be timing alone — it will be strategy.

 

Let’s make sure you have it.

   
     
   

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: