The Bank of Canada’s governor, Stephen Peloz, has been talking seriously over the last few weeks about the possibility of rising interest rates. The Canadian economy has experienced record-breaking growth over the last twelve months; over 300,000 new jobs have been added, wages are up, and unemployment is falling. Further, we have definitely recovered from the oil shock of 2015, at which time the Bank of Canada lowered interest rates in two increments totalling 0.50%, to provide some stimulus to the economy. All of this is good news. At this point, the Bank of Canada is so confident in the economy and real estate market they feel a slight increase in rates is warranted.

I’ve heard a lot of people saying this is bad—that this is negative, this is a bad time to purchase, or real estate values will suddenly crash due to interest rates’ going up. But there’s nothing to support any of those comments or concerns. Of course, the media and its pundits will fuel some of these notions, but we are presently at historically low interest rates. Money is virtually free to borrow and rates were never meant to stay this low for this long.

The Bank of Canada’s increasing rates—by as little as 0.25%—is a positive sign. They feel very comfortable the economy is growing—it’s growing robustly and the markets themselves are strong. We don’t need to have rock-bottom rates to continue to grow.

This is a positive thing. We want a strong economy. We want it to be robust. We want it to be growing—and not just because credit is free. These were meant to be temporary measures. When the economy is strong, households have money to spend, and this fuels purchases of goods, leisure, and activities, all of which trend positively with the real estate market. The notion that the real estate market will somehow crash because the rates go up 0.25% is simply unfounded.

These increments are so minute and minuscule in the grand scheme of things that they simply aren’t going to have a negative impact. Rates should not be as low as they are; this is artificial. And artificially lowered rates point to an economy that is not doing well—either in decline or teetering on the brink of recession, which we were for the past few years. Now it’s safe to say we are out of the woods, and it is time for recovery and growth.

If you want to buy a home, there’s never been a better time. If you want to get into the market at the absolutely lowest rates you’re likely to see in your lifetime, now is the time to jump in. But even with a potential rate increase in the cards, there’s nothing to fear. It only points to a positive and growing economy, which also indicates a positive and growing real estate market.

A rate increase is expected potentially as soon as this month. given the growth in the economy. Their is nothing to fear. It’s just another day at the Bank of Canada and just another day for the real estate market. We are at 0.50%—half a point below the rate levels we were at during 2015, which were then considered to be the lowest rates in history. All we are doing is bringing ourselves closer to the 2015 benchmark rate, and consequently, it’s laughable people would believe this would adversely impact the real estate market. At the same, more reasonable interest rate levels will assist in balancing the market to ensure we grow sustainabily. Nevertheless, it is a great time for buyers to capitalize on the current savings.