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CMHC Just Cut Its Housing Forecast — What It Means If You're Buying, Selling, or Renewing

  Published July 28, 2026 Canada Mortgage and Housing Corporation quietly downgraded its outlook for the rest of 2026 last week, and the new numbers are worth a look no matter which side of the housing market you're standing on. The federal housing agency's Summer 2026 update now calls for slower growth, softer home prices, fewer new builds and continued easing in rental markets right through the end of the year — with a split that leaves Ontario and B.C. looking a lot different from the Prairies and Quebec. Here's what's actually in the update, and what it means for your specific situation. What CMHC changed The agency's baseline call for 2026 is a Canadian economy growing at just 0.7%, with high borrowing costs, weak population growth and cautious buyers keeping a lid on demand even as affordability has technically improved. The practical result, nationally: Housing starts are expected to fall to about 241,400 units this year, down from 259,028 in 2025 Resale acti...
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Navigating Interest Rate Changes: What Savers, Investors, and Borrowers Need to Know

 Bank of Canada

As the financial landscape shifts, understanding interest rates becomes crucial for anyone managing their money. Let’s explore how these changes impact different groups:

1. Savers: High-Interest Savings Accounts (HISAs)

High-Interest Savings Accounts (HISAs) offer an opportunity for savers to earn more on their deposits. Here are some top HISAs in Canada:

  1. EQ Bank Personal Account: With a 4.00% rate (including a 1.50% bonus for direct deposits), EQ Bank provides a competitive option.
  2. LBC Digital High-Interest Savings Account: Offers a 3.00% rate.
  3. Motive Savvy Savings Account: Boasts a 4.10% rate.
  4. Simplii Financial High Interest Savings Account: A 6.00% rate for the first 5 months.

Remember, HISAs provide liquidity—no penalties for withdrawals—unlike Guaranteed Investment Certificates (GICs). While GIC rates have surged recently, HISAs remain flexible.

2. Investors: Nominal vs. Real Interest Rates

Investors should understand the difference between nominal and real interest rates. Nominal rates represent the cost of borrowing or return on investments, while real rates account for inflation. Consider both when making investment decisions.

3. Borrowers: Impact of Rate Hikes

Higher interest rates benefit savers but can be challenging for borrowers. As the Bank of Canada holds its benchmark rate steady at 5%, consider these implications:

  • Mortgages: Variable-rate mortgage holders may see increased payments.
  • Consumer Loans: Interest costs rise for personal loans and credit cards.
  • Investment Decisions: Evaluate fixed vs. variable rates.

In summary, stay informed, adapt your financial strategy, and make the most of changing interest rates.

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