In October 2024, the Bank of Canada made a strategic move to lower its key interest rate by 50 basis points, adjusting it to 3.75%. This cut aligns with “low-interest mortgage options” and “home buyer affordability,” two of Canada’s most frequently searched terms, as potential homebuyers and investors seek affordable housing options. The central bank’s shift reflects its goal to sustain inflation within a manageable 1-3% target range, emphasizing stable economic growth and accessible lending. With inflation closer to this target, experts foresee the potential for further rate reductions, which could make borrowing more affordable for Canadian consumers seeking home loans and other types of financing​

The rate cut, combined with anticipated mortgage rule changes, may increase “first-time home buyer” searches as Canadians explore the effects of reduced borrowing costs on housing affordability. Economic analysts from BNN Bloomberg and CTV News suggest that more favorable mortgage terms might encourage prospective buyers to move forward with purchases before 2025. However, many remain cautiously optimistic, waiting to see if further rate cuts will lead to even more accessible loan terms​