Applications and Implications of Making Changes to Your Land Title

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November 17, 2025

On November 12, the Bank of Canada released its Third Quarter Financial Report. I don’t usually pay much attention to these releases, but I had a hunch this one was worth peeling back the layers on. Here are my thoughts.

📉 The Big Picture: The Bank Is Still Easing, but Cautiously

The Bank of Canada’s Q3 2025 Financial Report shows the central bank continuing to normalize after years of (pick one->) extraordinary/ridiculous/exorbitant/irrational stimulus. Its total assets dropped 15 percent — from $277 billion at the end of 2024 to $237 billion — mainly because it allowed government bonds to mature rather than replacing them.

At the same time, it restarted term-repo operations (short-term lending to banks) to fine-tune liquidity. In short, the Bank is tidying up its balance sheet while keeping money flowing smoothly through the financial system.

Think of it this way:
During the pandemic, the Bank of Canada opened the taps wide — pouring money into the financial system by buying government bonds and providing extra lending to keep markets stable. Now that the economy has steadied, it’s letting some of that water drain out naturally as those bonds mature, while occasionally turning the tap back on with short-term loans (called term-repo operations) to maintain the right amount of flow.

This balancing act ensures there’s neither too much nor too little liquidity in the pipes of the economy — enough for banks to keep lending, but not so much that inflation heats up again.

💰 Interest Rates: From Tight to “About Right”

After multiple hikes to fight inflation, prime rate now sits at 4.45 percent—down from 4.70 percent in July. The Bank signaled that this level is likely appropriate for now. Inflation has cooled, growth is slower, and the BoC is trying to hold steady rather than drive rates sharply lower.

🏠 What It Means for You

Variable-Rate Mortgages: Each rate cut means lower carrying costs. If you’re on a variable or adjustable-rate mortgage, your payment relief is already showing up.
Fixed-Rate Mortgages: Bond yields—what drive fixed rates—have steadied. Don’t expect a free-fall in rates, but modest declines are possible.
Buying Power: Slightly lower rates can help your affordability and qualification ratios. That said, housing prices and stress-test rules still keep things tight.
Rates: Depending on your loan-to-value ratio, interest rates are currently trending between 3.65% (variable rates) to 4.44% (fixed rates).

📊 The Takeaway

We’re now in a “steady-state” rate environment—not crisis-level highs, but not 2020-style lows either. If you’re renewing or planning a purchase, this is a window to act confidently without betting on huge rate drops ahead.

📞 Let’s Review Your Options

Every borrower’s situation is unique. Whether you’re renewing, refinancing, or entering the market for the first time, I can model how current rates and amortization choices affect your payment and long-term cost.

Call, text, or email Marko right now to discuss in greater detail.