News Releases

TORONTO, January 21, 2010 - The Bank of Canada has signalled that its trend-setting interest rate will likely remain unchanged until at least the middle of this year.

"Recent comments from the Bank of Canada suggest little urgency to raise interest rates, given still weak demand in the U.S. and a strong Canadian dollar," said Sal Guatieri, Senior Economist, BMO Capital Markets. "The central bank's steady hand on the interest rate tiller could keep mortgage rates low well into the usually strong spring home selling season."

BMO Bank of Montreal experts have insights into the housing market given the current market conditions, and are available to answer top-of-mind questions including:

• What should new homeowners be looking for in a mortgage: fixed or variable?
• What does this means for prospective home buyers?
• What are the benefits of buying vs. renting?
• What does this mean for mortgage rates - which are near historic lows today - and Canadians who are contemplating buying ahead of the busiest part of the real estate season?