The Financial Post reports in its Friday edition that homeowners with variable mortgage rates will see lower monthly payments following the Bank of Canada's latest policy rate cut. A Canadian Press dispatch to the Post reports that the major banks cut their prime rates from 5.45 per cent to 5.2 per cent. This change follows the BOC's sixth consecutive rate cut, bringing the target rate down to 3 per cent, as inflation stabilizes at about 2 per cent and the economy gains momentum. Ratehub analyst Penelope Graham said that decision should lead to lower variable mortgage rates across most Canadian lenders. Calculations conducted by Ratehub indicate that a homeowner who put a 10-per-cent down payment on an average priced home in Canada -- $676,640 as of December, 2024 -- would pay about $87 less per month with a five-year variable rate. Fixed mortgage rates are also set to decrease as bond yields ticked down to the 2.8-per-cent range following the central bank's announcement, but Ms. Graham said investor concerns over potential inflation will prevent any "dramatic discounts" in the near future. Ratesdotca analyst Victor Tran said, "Each successive rate decrease is good news for homeowners and those renewing mortgages."