Once again the Bank of Canada citing strong economic results, has boosted their prime lending rates for the third time since last summer.
The central banks interest rate now sits at 1.25 percent.
Brian Golly an Investment Advisor with Smart Investing Solutions says buys now need to take extra caution and monitor their cash flow carefully.
Golly says the recent increases are probably not enough to turn away buyers from variable loans.
“If the banks make a very below product attractive enough then obviously some people would still probably take advantage of it, ” Golly said. “So I’m not quite there where I would think variable rate loans would disappear completely.”
Canada’s economic growth is expected to average around two and a half per cent in the short term, before slowing to a more sustainable pace.