GREAT NEWS for Real Estate Investors, Buyers and Sellers!!
The Bank of Canada announced today that it would keep its record low lending rate at 0.25%, and depending on the outlook for inflation will maintain that until mid 2010!
Citing that slack remains in the economy and that global recovery depends on increased government spending and low interest rates, Governor Mark Carney said that conditional on the outlook for inflation, the target overnight lending rate can be expected to remain at its current level until the end of the second quarter.
The bank also extended its schedule of term purchase and resale agreements with the longest maturities conciding with July, which is another sign that it is unlikely to tighten before then.
The Central Bank also said that the global recovery that is under way continues to depend on exceptional monetary and fiscal stimulus, as well as extraordinary measures taken to support financial systems.
The next interest-rate decision is scheduled for March 2nd.
Asif Khan, Realtor
Re/Max All-Stars Realty Inc.
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