With time winding down to get in on some of the best mortgage rates in Canadian history, consumers pulled the trigger on purchases and in the process seemed to have turned around the housing market.
The Ottawa-based Canadian Real Estate Association, which represents about 100 boards across the country, has once again upped its forecast for sales in 2013, citing low interest rates and a strong economy.
“Sales after a slow start of the year have improved more than we had projected,” said Gregory Klump, chief economist with the group. “The increase in the discounted mortgage rate has moved forward activity that would have taken place later in the year.”
Many consumers pre-approved for mortgages had their rates on 90-day to 120-day holds with the option to buy now or face an interest rate that could have jumped as much one as percentage point