The write up below is for informational purposes only to be used as a discussion point as each situation is different. 


As we approach the end of the pandemic driven, and quite possibly the most incredible seller’s market ever, there’s no question that the market is shifting. However, a market “shift” is very different from a market “crash.”  

We are constantly inundated with fear mongering press, causing uncertainty and doubt surrounding the housing market. Yet, if the true data (mainly interest rates) are examined, the fact of the matter is, we’re doing just fine.  

According to the Bank of Canada, On January 1, 2022 the best high-ratio, 5-year fixed rate in Canada was 2.34%. As of June 8, 2022, the best high-ratio, 5-year fixed rate in Canada was 3.69%. That’s a 1.35% increase in a mere 5 months, but let’s put it in perspective. Despite the recent increases, 5 year rates are still lower than what they were in 2020, pre-pandemic.  

History of Average Variable vs 5 Year Mortgage Rates 


Variable Rate 

5 Year Rate 














It’s as though it’s all relative. If rates are increasing and home values are decreasing, (with the exception of inflation) home affordability should remain relatively the same.  

Further, these current market readjustments pose opportunities for success on both sides of real estate’s coin.  

For Buyer’s it’s highly recommended to “lock in” their current pre-approved rate, should there be another increase, as predicted. After a grueling two years for those trying to purchase, now buyers may have the opportunity to make an offer on a home and negotiate without competition. They may even be able to actually include conditions and terms that are best suited for them.  

For Seller’s an accurate market value assessment and adjusted selling strategies are key. Gone are the days of intentionally listing low to generate competition. Pricing properly is more important now, than it has been in the past couple of years. Those who opt to ignore the adjusted pricing and marketing strategies may be left chasing the market. Thoroughly reviewing comparable sales including the features of each home, the neighbourhood, number of days on the market and list vs sale prices are integral when honing in on a suggested list price. Those that are priced properly, and of course marketed effectively, sell.

The real estate market is always in flux, moving between favoring Sellers to favoring Buyers and vice versa. Knowledge really is power, and having an understanding of the reality of the current real estate market can be advantageous for buyers and sellers alike.