On December 10, 2025, the Bank of Canada held its policy rate steady at 2.25%, citing strong economic growth, stabilizing inflation, and a neutral policy stance amid trade uncertainty.

The Bank of Canada’s overnight rate drop signals slower growth and a “lower-for-longer” outlook that reshapes strategies for investors and homeowners.

Canada’s inflation rate held at 1.7% in May, but core prices like rent and groceries remain high, keeping pressure on households and rate policy.

The Bank of Canada’s 0.25% rate cut on March 12, 2025, is set to shake up the Fraser Valley’s housing market. Lower mortgage rates could drive demand, increase prices, and spark competition.