Major Canadian banks are dropping its lending and prime rates thanks to the Bank of Canada.

All of the major banks haveimplemented a 0.25% drop in lending rates and a 0.15% drop in prime rates.

That means cheaper mortgages for those looking to buy a home.

“If you’re at an entry level and you want to buy a home a mortgage is very affordable,” said Barrie and District Association of Realtors President Bruce Shipley. “It can carry for less than rent money. You're equity is going to go up and it's a great time to get into the market and invest in property. I strongly recommend working with a professional realtor so that you don't overpay. That's a problem…people get caught up and they overpay.”

Some mortgage brokers are concerned that people will upsize and take on more than they can handle.

“You get into the home and then five years from now where are rates?” said mortgage broker Adam Basuk. “They're low now, but can you still afford the renewal rates five years from now?”

Bazuk says homeowners want to know if they should renegotiate their mortgages now that rates have dropped again.

“Every situation is different. What I recommend is have the analysis done. It's free to have it done. Anytime you can save money it's a great thing.”