And… we have lift-off. After months of speculation from economists, analysts, and armchair experts alike, the Bank of Canada has decreased the overnight lending rate by 25 basis points. While this may seem like a small gesture from a financial standpoint, it is one that could have a rather profound impact on the Toronto real estate market, as many are viewing it as a positive sign of things to come.
While it may not translate into a significant change to monthly mortgage payments, the cut marks the first time in more than four years that we have seen any decrease to the all-important lending…