Mortgage Rates Rising and WestJet Strike Threat: What Canadians Need to Know
Key impact: Your mortgage payments could go up soon, and your summer travel plans might be disrupted by a WestJet strike. Here’s what you need to do now.
Mortgage rates are climbing — here’s what that means for you
The widening conflict in the Middle East is driving up bond yields. Bond yields directly influence fixed mortgage rates. Higher bond yields mean higher mortgage rates.
If you have a variable-rate mortgage, your monthly payments may increase. If you’re renewing a fixed-rate mortgage soon, you’ll likely face higher rates than you expected.
Specific numbers: As of late July 2024, some five-year fixed rates are already above 5%. Experts say if you see an offer starting with 3% — for example, a three-year fixed rate — it may still be worth locking in, even if the rate feels high. Don’t wait and hope for a drop.
What you should do
- Review your mortgage renewal date. If it’s within the next 6 months, talk to a broker now.
- Compare rates today. Lock in a rate that gives you certainty, especially if you need predictable payments.
- If you have a variable-rate mortgage, ask your lender what the next payment increase would be. Consider switching to a fixed rate if you can’t handle further hikes.
Who is affected
- Anyone with a variable-rate mortgage
- Homeowners renewing a mortgage in the next 12 months
- First-time homebuyers planning to get a mortgage soon
WestJet flight attendants may strike — and it could affect your long weekend
WestJet mainline flight attendants have voted in favour of a strike. A walkout could happen as early as August 2, 2024, which falls during the Civic holiday long weekend (August long weekend in many provinces).
WestJet is allowing passengers with flights between July 30 and August 4 to rebook or cancel for free, with no change fees. But that policy could change if a strike is actually called.
What you should do
- Check your flight dates. If you’re flying between July 30 and August 4, consider rebooking now to avoid last-minute chaos.
- If you booked through a travel agent or third-party site, contact them directly to change your plans.
- Monitor the WestJet website and news for updates. Don’t wait — options will disappear quickly.
- Consider travel insurance that covers strikes (check your policy, most don’t), or buy a refundable ticket.
Who is affected
- Any passenger booked on a WestJet flight from July 30 to August 4
- Travellers connecting through WestJet hubs (Calgary, Vancouver, Toronto)
- People planning to fly for the Civic holiday weekend
Bottom line
Two separate events could cost you money or disrupt your plans. On mortgages: act fast to lock in a rate if you need certainty — don’t gamble on rates dropping. On travel: if you’re flying WestJet over the long weekend, change your booking now while it’s free. Waiting could mean cancelled trips or expensive last-minute flights.
Stay informed, and make decisions today — not tomorrow.
Source: Financial Post