Hey there!
You know what gets me fired up? Passion. Enthusiasm. And sticky notes. Lots and lots of sticky notes.
Last week, we had the pleasure of hosting Keith, our marketing guru, for an in-person crash course on building multi-step marketing campaigns. And let me tell you, the man did not disappoint. He came armed with a truckload of ideas and enough energy to power a small city.
Picture this: Keith, in all his creative glory, running out of whiteboard space and resorting to plastering sticky notes on every available surface – including the windows! It was like watching a maestro conduct a symphony of marketing brilliance.
We also recently brought on a full-time Marketing Coordinator, the amazing Indira, and that means it’s go time!
With Indira on board and Keith’s mad genius at the helm, I’m beyond excited to see all of these incredible ideas come to life. We’re talking next-level stuff here, folks.
So, fair warning: if you’re already feeling a bit overwhelmed by my emails, you might want to hit that unsubscribe button now. Because I have a sneaking suspicion that you’ll be hearing from me a whole lot more in the near future. Sorry, not sorry! 😜
But hey, more emails from me means more value for you. And speaking of value, let’s dive into today’s meaty topic: navigating the stormy seas of tariffs, rates, and real estate.
Unless you’ve been living under a rock, you’ve probably heard the rumblings about the ongoing tariff trade war and its potential impact on our economy. But what does it all mean for interest rates and the housing market here in Canada?
First, let’s look at what happened when the threat of tariffs seemed imminent. Bond yields (which heavily influence mortgage rates) quickly dropped by about 6%. That might not sound like much, but in the world of finance, it’s a pretty significant move. If that drop had held, we could have seen most fixed mortgage rates starting with a 3 by the end of the week. Good news for borrowers, right?
But wait, there’s more! Just as quickly as they dropped, bond yields shot right back up when it was announced that the tariffs would be paused for 30 days. It’s like the market equivalent of a yo-yo – up one day, down the next.
Now, let’s talk about variable rates. Prior to all the tariff hysteria earlier this week, it looked like the Bank of Canada was gearing up to hit the pause button on further rate cuts. But now, with the still looming threat of tariffs and the potential damage they could inflict on our already fragile economy, I have a sneaking suspicion that the powers-that-be might be reconsidering their stance.
Think about it: if these tariffs do come into effect, it could be a serious blow to our economic growth. And what’s one of the best ways to stimulate a sluggish economy? You guessed it – lower interest rates. So don’t be surprised if the Bank of Canada decides to get ahead of the curve and cut rates even further in the coming weeks or months.
Of course, all this volatility means that if you’re in the market for a mortgage, you’ll want to keep a close eye on both fixed and variable rates. If you see a good deal, be ready to pounce! And if you’re already locked into a fixed rate, well, just sit back and enjoy the fact that you can ignore all of this volatility.
But here’s the thing: even if we avoid the worst-case scenario of an all-out trade war (fingers crossed!), the mere threat of tariffs and trade disruptions is enough to make investors and businesses nervous. And when lenders get nervous, they tend to tighten the purse strings and make it harder for folks to access credit.
I’ve been chatting with some of my commercial lending contacts, and they’re definitely feeling the uncertainty. They’re being more cautious about taking on new business, and some are even starting to pull back on existing clients. That’s not good news for anyone who needs financing to grow or sustain their operations.
So, what can we do in the face of all this uncertainty? Well, the first step is to recognize that everyone’s situation is different. There’s no one-size-fits-all solution when it comes to navigating these choppy economic waters.
That’s where having a trusted advisor in your corner can make all the difference. Someone who can help you assess your unique needs and goals, and develop a personalized strategy to protect and grow your wealth in any market condition.
Whether you’re a homebuyer, a business owner, or an investor, there are always opportunities to be found – if you know where to look.
Listen, I know that the current economic climate can be scary and overwhelming. But you don’t have to face it alone. With our expertise in the mortgage industry and my network of lending contacts, we can help you identify opportunities, mitigate risks, and make informed decisions about your financial future.
So don’t wait until the next market swing catches you off guard. Reach out to schedule a no-obligation consultation with us today. In just 30 minutes, we’ll review your current situation, discuss your goals, and start developing a customized plan to help you thrive in any economic condition.
Ready to take control of your financial destiny? Let’s talk.
Until next time,
Vince
P.S. – If you’ve read this far, I’m guessing you’re not the unsubscribing type. Good call. 😉 Keep an eye out for more insights and updates coming your way soon!
