The president of the Windsor-Essex County Association of Realtors is not sure if the latest interest rate cut by the Bank of Canada is going to help bring more people into the real estate market.
Julianna Biondo says this cut is really designed to boost the economy.
"Whether that's going to bring people into the market, I think that we've got a lot of people sitting on the sidelines waiting for a little while now," she says. "It could help promote some stimulation, but I don't think that's exactly what it's designed for, and we might not see that."
On Wednesday, the Bank of Canada cut its benchmark interest rate by a quarter point and is signalling it may be satisfied with where the policy rate stands amid ongoing U.S. trade uncertainty.
The central bank's key rate now sits at 2.25 per cent after a second consecutive cut.
In announcing the rate cut, Bank of Canada governor Tiff Macklem said in prepared remarks that monetary policymakers feel that might be the right level to keep inflation close to the bank's two per cent target while supporting the economy through tariff disruptions.
Biondo says she's not sure the cut means much at this time because it's not impacting any fixed rates, and people have been reluctant to get a variable rate mortgage in recent years.
"At this time, they're not really dropping or moving at all in that fixed rate," she says. "You can still get a great fixed rate at just around four per cent. It's not until you're going to see that fixed rate come down a bit. What it will help is anyone who has a line of credit or anyone looking to do a variable."
Biondo says there are a lot of people still in a 'wait and see' mode when it comes to the local real estate market.
"Especially now, we're in the fourth quarter, and we're going to be entering into the winter season soon enough. I think a lot of people are sitting on the sidelines waiting for spring," she says.
The Windsor-Essex County Association of Realtors (WECAR) reported a 3.6 per cent drop in year-to-date home sales in September, with 3,819 homes sold so far this year compared to 3,963 homes sold during the same time in 2024.
Residential sales were also down 14.7 per cent in September, with 381 homes sold during the month compared to 447 homes sold in September 2024.
Market activity was up 12.1 per cent during the month, with 10,377 available listings so far in 2025.
The average home price increased by 1.6 per cent compared to September 2024, with the average price at $590,008 compared to $580,730.