Just when you thought mortgage rates couldn't get any lower, they have.
Investors' Group is offering a 36-month closed, variable-rate mortgage at 1.99 per cent, well below the current standard of around three per cent.
"This is definitely a headline grab for a company that is rarely considered to be the go-to place for a mortgage," says BNN's Michael Hainsworth. "Investors' Group doesn't have a reputation for this."
Given that your last paycheque went up by about 1.5 per cent for cost of living, he says this rate is "virtually free money."
The mortgage is well below the 2.99 per cent level that drew sharp criticism from former finance minister Jim Flaherty when BMO first tried it in 2013, because he was worried it would trigger a damaging housing bubble.
Not long after Flaherty stepped down, BMO brought back its 2.99 offer.
Joe Oliver, who took over from Flaherty, has said he has no plans to intervene in the setting of mortgage rates.
"As a matter of principle, we don't believe it's appropriate for government to intervene in markets and there isn't a reason to do so in this case," Oliver tells Newstalk 1010.
"We've been monitoring the mortgage market. We'll continue to do that," Oliver says.
As for whether the five big banks will follow Investors' Group lead, Hainsworth says he doubts it.
"Something tells me in the back of my head we would have seen it today already."