Toronto homes more expensive now than in January

Average price has increased by almost $140,000 in six months

- CLARRIE FEINSTEIN

Homebuyers waiting for the central bank to cut rates may be surprised to learn they'll pay more for a home now - after the cut - than they would have in January.

It’s disappointing news again for first-time homebuyers: buying a home post-interest rate cut is more expensive now than it was six months ago.

On June 5, the Bank of Canada cut the key interest rate by 0.25 per cent — the first cut in four years — but the long-awaited move from the Bank of Canada doesn’t help Toronto homebuyers. Since January, the average Toronto home price has steadily increased by almost $140,000, making carrying costs for homeowners with variable-rate mortgages — which change in lockstep with the central bank’s key rate — more expensive even with the rate cut.