Buying your first home is an exciting milestone—but in 2025, many first-time buyers in Edmonton are asking the big question: “What do current mortgage rates mean for me?” While rates have started to stabilize after a period of economic uncertainty, they’re still higher than the record lows we saw just a few years ago. So what does that mean for you as a first-time buyer?
Here’s how today’s mortgage rate environment is shaping the homebuying journey—and how you can still get into your first home with the right strategy.
Understanding Mortgage Rates in Spring 2025
Over the past few years, mortgage rates in Canada have climbed in response to inflation and other economic pressures. While they may not be at their peak, they’re still above pre-2020 levels, which affects how much first-time buyers can borrow and what they’ll pay each month.
What this means:
- Higher monthly payments on the same mortgage amount compared to previous years
- Stricter approval conditions due to the mortgage stress test
- Reduced borrowing power, making affordability a key consideration
Still, the Edmonton market remains one of Canada’s most accessible for first-time buyers—and there are plenty of smart ways to navigate current mortgage rates.
Smart Strategies for First-Time Buyers in Today’s Market
Even with today’s higher mortgage rates, you can still make a confident and informed decision as a first-time homebuyer. Here’s how:
1. Get Pre-Approved with a Rate Hold
A mortgage pre-approval gives you clarity on your budget and allows you to lock in a rate for 90–120 days. That means you’re protected if rates rise while you shop for your new home.
2. Start with a Realistic Property
You may need to adjust your expectations slightly in today’s rate climate. Consider a townhome, duplex, or condo as a smart entry point into the market.
3. Take Advantage of First-Time Buyer Programs
Government programs like the Home Buyers’ Plan (HBP) and First-Time Home Buyer Incentive can help with your down payment or lower your monthly costs.
4. Work with a Mortgage Broker Who Knows Edmonton
At Steven Murdoch Mortgages, we’ll shop multiple lenders to get you the best mortgage rate available—not just the lowest rate, but the right fit for your goals and finances.
Is It Worth Buying Now, or Waiting?
There’s no one-size-fits-all answer, but here’s the reality: renting won’t build equity. If you’re financially ready, buying sooner means starting to invest in your own future. And remember, you’re not locked into your rate forever—if mortgage rates decrease in the future, refinancing can help you lower your payments.
Let’s Talk About Your First Home
Buying your first home in 2025 may come with a few extra steps—but you’re not alone. At Steven Murdoch Mortgages, we’re here to help you make informed, confident decisions about your mortgage.
Whether you’re just starting to plan or already house hunting, let’s explore your options together and find the mortgage that fits your life.
Get in touch today to schedule a no-obligation consultation.
