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Housing analysts say pent-up demand not expect to jolt market this spring

Caution persists as Canada’s potential buyers wait to see if interest rates come down
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New homes are constructed in Ottawa on Monday, Aug. 14, 2023. The Bank of Canada’s next rate announcement is unlikely to spur much immediate movement in the national housing market, but economists say it may be just a matter of months until buyers come crawling back from the sidelines. THE CANADIAN PRESS/Sean Kilpatrick

After five straight holds of the Bank of Canada’s key interest rate that followed its hiking cycle of more than a year, economists say a rebound awaits the national housing market — but don’t expect a big surge just yet.

The central bank is expected to again hold its key rate steady when it announces its decision Wednesday, but it’s unclear what direction it will take next.

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