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The Bank of Canada, in a non-thriller, kept its key rate static at 5% on Wednesday.

Consequently, Canada's benchmark prime rate is still glued at 7.20%, where it has been for eight long months.

The Bank said it's "still concerned about risks to the outlook for inflation, particularly the persistence in underlying inflation."

Governor Tiff Macklem said that's true even if "we look beyond shelter," adding that he's factoring in some kind of housing comeback.

Some fretted the BoC would scowl at the peppier-than-expected economy, but Macklem put them at ease. "In the six weeks since our January decision, there have been no big surprises," he assured.

The timing for the first dip in prime rate still boils down to one thing: inflation. Before providing rate relief, the BoC prefers to see both lines in the chart below (Canadian and U.S. inflation) making new cycle lows and dipping meaningfully into the 2% range.
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Mortgage brokers are lining up to sign on with BMO, but the bank is taking it slow. A few months into its official channel launch, it's brought on just over 100 brokers.

"We're expanding that quickly," says Hassan Pirnia, Head of Personal Lending and Home Financing at BMO. He assures us the bank isn't playing hard to get with brokers. It's just trying to ensure its processes are bulletproof before ramming through big volumes.

Apart from its broker contract (which one broker called "a bear") and starting fixed rates, the buzz around BMO's offering has been upbeat.

Streetwise Mortgages broker Dalia Barsoum, for example, finds the bank's products quite "investor-friendly"—for four key reasons:

It's not every day the reverse mortgage world gets a shake-up, but Bloom Finance is about to crash the party.

After several quarters of development, the company launches its new Bloom Home Equity Prepaid Mastercard this week.

The Bloom card lets 55+ homeowners draw against their equity at will, simply by using a charge card. The product is the first of its kind in Canada—a veritable game changer that cuts interest expense while helping seniors access their home equity on demand.

The product comes from Bloom Finance, a David competing against the Goliath of the reverse mortgage business, HomeEquity Bank — as well as the #2 player, Equitable Bank.

If you're a senior who wants to tap your nest egg more cheaply and efficiently, or you're an advisor dishing out such advice, give the Bloom Card a peek. Here's why...

The First Time Home Buyer Incentive was a policy flop, and now, thankfully, it's flopping off the radar.

In a sudden change, CMHC announced that the last date for new applications to its shared-equity program is March 21. The housing agency says, "The changes do not impact homebuyers that were already approved for the FTHBI."

If you want a quick summary of our thoughts on this clown car program, the following tweet sums it up. Scroll on for the nitty-gritty.

Almost three-quarters (73%) of Canadians think home ownership is the best investment they can make, says a RE/MAX poll.

The other quarter might be too busy searching for that mythical "affordable rental" to answer.

A separate Royal LePage survey shows 56% of house hunters have put their purchase plans on ice, thanks to pesky rising interest rates. Half of these paused buyers say they'll get back in the game if (when?) rates take a dip.

Knowing that this is the prevailing psychology and that:

• inventories remain tight
• the government's supply fix is slower than molasses
• the stream of new Canadians remains non-stop
• risk assets are pricing in a "0% chance of recession," per Economist David Rosenberg...

...it takes a bold economist to predict materially falling home prices.

Those economists who do must be clairvoyant and see a future where mortgage rates make new cycle highs, joblessness skyrockets or immigration targets get slashed.

Short of such wild cards, it's hard to conjure up realistic scenarios for significantly falling values. If inflation drops to target in the next 6 to 12 months, this spring might be a golden, blink-and-you'll-miss-it, window to snag a home near today's price tags.

"Buy today or pray"