Bank of Canada Updates

Current rate

Policy rate holds at 2.25%

The Bank of Canada’s policy rate is currently 2.25%, where it has remained since March 2026. The Bank is keeping borrowing costs steady as it watches inflation settle toward its 2% target and the economy continue its recovery.

For buyers and sellers in Dufferin County, a stable rate means more predictable mortgage payments and less urgency to time the market. If you are shopping for your first home in Orangeville, thinking about upsizing in Mono, or considering a move in Shelburne, you can plan with more confidence while rates stay in this range.

Rate decisions can change quickly. Reach out to the team for the latest figures and how they affect your budget.

Real estate agent handing keys to a new homeowner

What it means for you

How the policy rate affects your mortgage

The policy rate is the starting point for the prime rate lenders offer on variable-rate mortgages and lines of credit. When the Bank of Canada raises the rate, variable payments generally climb. When it lowers the rate, variable payments usually fall. Fixed-rate mortgages are priced off government bond yields, but they often move ahead of a Bank of Canada announcement as markets anticipate change.

The mortgage stress test also reacts to the rate environment. Even with a stable policy rate, lenders still qualify you at a higher rate than your contract rate to make sure you can handle future increases.

The best rate is only part of the picture. The right mortgage structure, prepayment options and portability matter just as much when you are buying or selling in Dufferin County.

What is next

Next Bank of Canada announcement

The Bank of Canada meets roughly every six weeks to review inflation, employment and growth data before deciding whether to raise, lower or hold the policy rate. After each announcement we post a short summary here and on our social channels so you know what changed and why it matters.

If you are thinking about buying a home, refinancing or renewing your mortgage, getting pre-approved before the next announcement can lock in your buying power and help you act quickly if rates move.

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Bank of Canada updates