The posted five year rate at the country's largest bank is now 6.1%. This follows a 0.25% increase this morning, on the heels of a 0.6% increase two weeks ago. These steady increases are pretty much what we have been predicting the past few months. From this morning's Globe and Mail.......
Royal Bank of Canada (RY-T59.39-0.18-0.30%) , the country's largest bank, has raised mortgage rates again.
The move, which will result in a 0.25 percentage point increase in the cost of a number of fixed-rate mortgage products that the bank offers, is likely to spark another round of rate hikes among the country's mortgage lenders.
RBC kicked off one series of hikes a little more than two weeks ago, and most experts said that was the start of a steady rise in mortgage rates.
At that time the cost of a five-year closed rate mortgage from RBC and many of its competitors rose by 0.60 percentage points to 5.85 per cent.
Royal Bank's Canadian mortgage portfolio amounted to about $148.5-billion in the latest quarter.
The banks say they are raising rates because their cost of funds is increasing.
No comments:
Post a Comment