September’s annual inflation came in at 3.8%, marking the end of a three-month upward trend. While it was great to see that headline number fall, so did the core measures of inflation, both on a year-over-year and three-month moving average basis.

This drop was primarily influenced by reduced costs in categories such as groceries, durable goods, and travel. Notably, gas prices surged, and as we all know, mortgage interest and rent remained significant contributors to keeping inflation above the 2% target.

We continue to believe that we have reached peak rates, and the next move will be a rate cut, but not until the end of the first or possibly the second quarter of 2024 as projected by the major Banks.

In light of the market slowdown, we recommend taking advantage of the current situation instead of waiting for rates to drop. This is particularly important considering the Fraser Institute’s recent study, which revealed that for every one unit of new housing built in the previous year, the country’s population grew by an average of 4.7 people. With such rapid population growth and limited housing supply, high housing costs are expected to persist or even worsen in the future.

Get in touch at any time, we have a range of advice and solutions to assist you in making your move into this market with confidence.