Domestic economy: March interest rate hike firmly on the table; The RRSP celebrates its 65th anniversary
After a surprise catch from the Bank of Canada on interest rates, Canadians are now waiting for take-off in March. According to RBC Economics, higher rates should put a brake on soaring house prices, but adds that we’ll probably have to wait until the second half for that to happen. If you have a variable rate mortgage, you should be prepared for a higher monthly mortgage paymentwhile CTV Chief Financial Commentator Pattie Lovett-Reid says don’t rush to buy things you already can’t afford ultra-low rates.
Happy 65th birthday to the RRSP. Has it changed a lot since its creation?
Since 1957, Canadians have been saving money for their retirement in RRSPs. Apart from a few adjustments during this period, the how RRSPs work is generally the same. You put money into your RRSP now and get a deduction on your income taxes. The money will then be taxed when you withdraw it when you retire. Remember that the deadline to take advantage of this tax deduction for the 2021 tax year is March 1.
Your apprehension of mathematics could have an impact on your finances
If math makes you nervous or anxious, it could cause you to avoid managing your finances, according to experts who spoke to The Canadian Press. Math Guru founder Vanessa Vakharia says that if you don’t know your family budget numbers, you risk spending too much and racking up debt – all because of a fear of math.
19% of homebuyers already own multiple properties: Poll
The impact of investors on the real estate market has received renewed attention as the housing affordability crisis deepens. New RATESDOTCA and BNN Bloomberg survey found one in five buyers during the pandemic already owned multiple properties, while the remaining respondents were either first-time home buyers or simply moving to a new primary residence. The survey found that 14% of buyers financed their purchase using equity from an existing property.
Micro-weddings allow couples to splurge on whatever they want
After nearly two years of pandemic restrictions, small weddings have been brought back into the mainstream. Online searches for “micro weddings” has increased, according to the data. By downsizing your wedding, some couples find they can splurge on the event to get exactly what they want — without ending up with a hangover.
– The implied probability that the Bank of Canada will raise interest rates at its March 2 meeting, according to Bloomberg data as of noon Friday.