The Globe and Mail reports in its Thursday edition that mortgage rates below 4 per cent are becoming mainstream as interest rates decline, encouraging prospective home buyers to enter the market. The Globe's Rachelle Younglai writes that with the Bank of Canada lowering its benchmark interest rate to 2.5 per cent, lenders are expected to offer mortgages in the 3-per-cent range. Although the reduction makes home loans slightly cheaper, rates starting with a three are viewed as a key psychological boost for potential buyers. Canadian Real Estate Association economist Shaun Cathcart said: "Today's decision will mean pretty much everyone is getting 3-point-something. We're finally back into a range that a lot of people consider normal." From the 2009 recession until the 2020 pandemic, five-year mortgage rates averaged 3 per cent, a typical figure for the last decade, unlike the rates above 4 per cent seen recently. Returning to these "normal" rates may encourage buyers to re-enter the real estate market. That would give more fuel to a recent market upswing where sales have been on the rise over the past five months. August buys reached the highest volume for that month since 2021, reflecting a booming real estate market.