Sean Goodwin

The 5-year bond yield jumped 16 basis points in a single day this week, hitting its highest level since May 2024. That matters because fixed mortgage rates are priced directly off that yield.

According to mortgage broker Joe Jacobs, rates currently in the low 4% range could climb into the mid-to-high 4% range within days. Oil prices and inflation fears tied to the conflict with Iran are the driver, not the trade war.

What makes this sting more than usual: mortgage pricing has been unusually competitive lately, with some rates sitting barely half a point above the bond yield instead of the typical 1.2–1.6 points. There's less cushion to absorb the jump.

If you're shopping for a mortgage or up for renewal, the move here is simple: get a rate hold or preapproval now, before it happens rather than after.

#Mortgages #RealEstate #PersonalFinance #Canada