| It's tough to make a pan-Canadian call on where real estate will land in 2013. The Prairie provinces seemed poised to avoid the downturn but sales are starting to fall in many markets with a price dip happening already or predicted to be on the horizon.
All this is happening with five-year fixed closed mortgage rates below three per cent, even at some of the big banks. The 10-year mortgage, still not popular with Canadians, is down to 3.64 per cent. It's not a stretch to think the rate on both of those terms will climb two percentage points. And what of the prime lending rate? It's still three per cent but tied to the Bank of Canada, which has been threatening to raise rates for months...............................................Full Article: Source
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