Home Breadcrumb caret Industry News Breadcrumb caret Industry BoC lowers benchmark mortgage rate again Mortgage rates are likely to remain low until at least 2023 By The Canadian Press | August 13, 2020 | Last updated on August 13, 2020 1 min read © feverpitched / 123RF Stock Photo The Bank of Canada has cut its benchmark five-year mortgage rate to 4.79 per cent, the second cut in three months. The central bank in May had trimmed the rate to 4.94 per cent from 5.04 per cent. Three-year rates now dropped to 3.75 per cent and one-year rates remained unchanged at 3.09 per cent. The Big Six banks had already cut their advertised five-year fixed mortgage rates to the same level, though some special offers reduce rates to as little as 2.19 per cent. Lower rates risk propelling housing demand higher. The Bank of Canada’s governor, Tiff Macklem, indicated about a month ago that rates will be kept low until at least 2023. Various rates for guaranteed investment certificates also fell with the five-year personal fixed term dipping 0.18 percentage points to 0.7 per cent, but the prime rate remains unchanged at 2.45 per cent. The Canadian Press The Canadian Press is a national news agency headquartered in Toronto and founded in 1917. Save Stroke 1 Print Group 8 Share LI logo