Maybe I’m not, and maybe you’re not, but there’s a LOT of people who are!
I know the BOC announcement last week was shocking, and caught us all off guard.
But is it really going to have an effect on the real estate market? Are buyers really going to enter the market now who weren’t going to enter the market before? It sounds ludicrous to me, and the overreaction is fierce.
Since when does ten basis points alter one’s life?
Call me childish, but I enjoyed it…
I spoke to three reporters/columnists last week who wanted to know if I was receiving “more calls” from potential buyers, now that the BOC cut the overnight lending rate, and it made me shake my head.
First of all, none of the big five banks have cut their 5-year fixed mortgage rates yet. They’d have to basically collude in order for a cut not to happen, but once one of them cuts, they’ll all follow.
Secondly, and as I said at the end of the video would ten basis points REALLY get somebody new into the market?
And lastly, aside from hearing about the amount of air in footballs thrown by New England Patriots’ quarterback Tom Brady, I think this was the most overblown story of the week.
The BOC rate cut has all kinds of impact in other industries, but in real estate? Geez, I shudder to think…