A Look at Current Mortgage Rates – May 2025 Update
If you’ve been asking yourself, “Is now a good time to buy a home?”—you’re not alone. With economic uncertainty, interest rate headlines, and changing market conditions, it’s natural to feel cautious. But the truth is, 2025 is shaping up to be a unique window of opportunity for many homebuyers. Let’s break down what’s happening in the mortgage world right now and whether it’s the right time for you to make a move.
Mortgage Rates Are Stabilizing
After years of rate hikes to combat inflation, the Bank of Canada has hit pause. As of May 2025, mortgage rates are finally stabilizing—and even showing signs of slowly decreasing. The average 5-year fixed rate is hovering around 4.6%, and variable rates are in a similar range. That’s a modest improvement from the highs of the past two years, and it’s creating a more predictable environment for buyers.
Home Prices Are Leveling Out
Canada’s housing prices, while still elevated in some markets, are cooling down or stabilizing in many regions. With fewer bidding wars and more homes available for sale, buyers are regaining some control. This shift is especially helpful for first-time buyers or those moving up to their next property.
Why Buying Now Could Make Sense
Here’s why 2025 could be the right time to buy:
Less Competition: With some buyers still sitting on the sidelines, you may have a better chance to negotiate.
Future Savings: Locking in a fixed rate now—before expected drops later in the year—can give you certainty and protection.
Inventory is Rising: More homes on the market means more choices and potentially better prices.
Should You Wait?
Waiting for interest rates to drop further can seem tempting, but it’s a bit of a gamble. Lower rates might trigger more competition and drive home prices back up. If you find a home that suits your needs and budget today, it may be better to act now than wait for the “perfect” time.
Let’s Talk Strategy
At Cashin Mortgages, we believe smart mortgage planning starts with knowing your numbers and understanding your options. Whether you’re a first-time buyer or a seasoned homeowner, we’ll help you navigate rates, products, and approvals with confidence.
Ready to take the next step?
Let’s chat about your homeownership goals and explore how today’s market can work in your favour.
Contact Cashin Mortgages today to get pre-approved or speak with a mortgage expert.
Book a call with Cashin Mortgages today or call 416.655.CASH (2274) for immediate assistance. Your future starts now!
