Bombardier Inc. T.BBD.A

Truth comes out

[BBDB859]

This is why they dropped the rates. To inflate home prices again.

https://www.bnnbloomberg.ca/business/real-estate/2024/12/11/how-will-the-bank-of-canada-rate-cut-impact-real-estate/

[Acuras1]

There's no question that lower interest rates are positive for the real estate market. We don't often read comments with a negative tone about lower interest rates. My kids have mortgages and I see lower rates as a positive and even a relief. Lower rates make housing market more attractive for both buyers and sellers. By the way nearly 1/2 of Canadian mortgages are due for renewal in 2025

[MyNameIsNobody]

Acuras1 - I' all in for people being able to keep, or not lose..lol, their homes but most of the financial problems in life is people not buying what they can afford but buying what they want or, even worse, feel like they deserve. (I'm not saying your kids did that. Just saying the RE prices and debt are issues that people have more control over than they think) I'm not saying that I

[Acuras1]

People make stupid decisions whether interest rates are low or high. I've used other peoples money all my life and prudent leverage is a very powerfull tool. I prefer paying a lower rate than a high one, although aberations can also create opportunity:) GLTA

[BBDB859]

Acuras & to anyone who thinks low interest rates are a benefit. 5% Interest rates are not too high for Residential RE. They are a fair rate to qualify people on a mortgage.There is a fine line between low interest rates & giving money away. The other end of the spectrum is simple. When rates are low? They are a recipe for desaster in Inflation everywhere else. Cars, food, energy

[bicente]

My useless two cents on this subject is that we need lower rates ,temporarily , to allow investment into housing . .. there are many  other causes for the higher prices of homes now ( salaries , materials , land pricing , city permits , expensive working security measures  etc.) ... it's very simple , we have a huge shortage of homes and they need to build more .Most builders borrow

[BBDB859]

This is exactly some of what's happening in the building side. I'm OK with the short term reductions for relief, for some of those families who qualify for interest relief in the right Interest rate offers (5%). Needy families need help. Usually builders get private funding. The builders problems are way more complex. Development time is a huge issue there.  GO BOMBER GO

[Tempo1]

Interest rates policy looks like easy; a decision between no change, -0,25% or - 0,50%.  But the work behind is huge.  I read comments about parts of the problem like Real estate. It is a large part of the problem but not the whole problem. It is about a balanced economy with a 1%-2% annual real growth with a controlled inflation. All is linked; if you don't have the growth

[bicente]

I agree completely.. lets put it this way , whatever the rate , banks make the same amount of money , so the only thing that changes is that the borrower has more money to spend when rates go lower , businesses have more money to spend/invest ... I believe that we will have to allow a higher inflation rate compared to the 2% unfortunately... things change but one constant remains , politicians

[BBDB859]

Hey Temp. Now that's exactly what I was trying to tell Acuras in short order. It's all connected. That's why growth/inflation has to be slow. Otherwise we'll have economic CHAOS. The very rich & the very poor, and no middle class. Cheers

[Acuras1]

Of course monetary policy is always tricky, and yes can be very disruptive (even when not meant to be). Canadian fed dropped rates early pandemic such that prime got as low as 2.45% for nearly 2 years looking to stabilise and manage the economy. Did the fed wait too long to raise rates after historic lows?  Prime rate nearly trippled within another 15 months - the fed raised rates