Peter Kinch and Mortgage Rates

BoC: I think we will see another Bank of Canada rate cut in March, said Kinch, a mortgage consultant with Dominion Lending Centres, according to Vancouver Courier. He predicts the BoC will reduce its overnight lending rate to 0.5 per cent on March 4, the date of the next BoC rate announcement. Vancouver mortgage broker Peter Kinch and others believe economic uncertainty triggered by slumping oil prices could drop lending rates to unprecedented lows. That, Kinch said, could result in variable lending rates for residential mortgages of 1.9 per cent ­­— the lowest any of us have ever seen. Kinch said this could drive five-year mortgage rates down to 2.6 per cent compared with current rates in the 4.6 per cent range. As well, yields on Canadian bonds, which are tied to long-term mortgage rates, are at near-historic lows. (www.immigrantscanada.com). As reported in the news.