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Bank of Canada updates

What the latest rate decisions mean for Dufferin County buyers and sellers
Rate decisions and your mortgage

Latest rate decision

The Bank of Canada’s policy rate sets the tone for mortgage rates across Canada. Here is what each announcement means for your next move in Orangeville, Caledon, Mono or Shelburne.

Current rate

Policy rate rises to 2.5%

The Bank of Canada’s policy rate is now 2.5%, after a quarter-point increase at its 28 October 2026 announcement. It is the first rate hike in more than three years. The Bank has also said further increases may be needed if rising energy costs push inflation higher.

For buyers and sellers in Dufferin County, a higher policy rate can mean higher variable-rate payments, so it pays to check your budget before you shop. If you are shopping for your first home in Orangeville, thinking about upsizing in Mono, or considering a move in Shelburne, plan with a payment buffer in mind.

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

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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.

Get pre-approved Ask a question
Ready to make your move?

Talk to a local mortgage partner

Karen, Arden and Katrina can connect you with trusted lenders who watch the Bank of Canada announcements as closely as we do.

Contact us Get pre-approved
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