Woodbridge, ON (September 17, 2025) – The Canadian Mortgage Brokers Association of Ontario (CMBA Ontario) welcomes today’s decision by the Bank of Canada to lower its policy interest rate by 25 basis points, to 2.5%. We support the Bank of Canada’s aim to encourage economic growth at a time of uncertainty. As the unpredictable negotiations over the chaotic tariff situation on with the United States continue, action is needed to maintain consumer and investor confidence.
CMBA Ontario believes this decision also aligns with the federal government’s priorities to grow the housing sector by increasing the number of homes built as well as expanding access to affordable housing. In tandem with eliminating the GST on homes for first-time buyers, this interest rate cut will further incentivize investment in building new housing supply, improving affordability for all Canadians.
“New housing supply has to be built on secure foundations. This is as true for the decision to build as it is for the housing itself,” said Michele Campbell, President of CMBA Ontario. “Without strong confidence in the stability of the market, investors are less willing to commit to new builds – and prospective owners are less willing to buy too.”
With this rate cut, affordability will instantly increase for those Ontarians with variable-rate mortgages. It will also increase the economic confidence of Canadians – a majority of whom believe their financial well-being will decline in the forthcoming year. But this rate cut, though welcome, is just one part of solving housing affordability.
“This rate cut is a piece of the larger puzzle. We need real action from all levels of government if we want to improve Canadians’ ability to buy into the housing market,” Campbell added. “The upward pressure on prices is too much for any single action on to fix.”
Despite the good news of this 25-point cut, Canadians will be looking anxiously to the uncertainty of the ongoing Canadian-American trade negotiations and other economic indicators. More effort is needed to restore consumer and investor confidence and restore the vitality of Canada’s housing industry. CMBA Ontario is committed to advocating for affordability and stability for current and future Ontario homeowners.
About CMBA Ontario: CMBA Ontario provides mortgage broker professionals with a forum to work cooperatively, be er share resources, branding initiatives, programs and information and coordinate engagement of members to identify trends and develop solutions to common industry and regulatory issues. CMBA Ontario represents members to the federal and provincial governments and their agencies, and provides technological infrastructure, advertising material, and brand awareness to support provincial associations and their members. We are committed to working with governments and regulators to support a vibrant, stable, and affordable housing sector for all Ontarians.
