Interested in learning more about property mortgages in Canada? Look no further!
Latest News
CMHC reports annual rate of housing starts in June down six per cent from May + MORE Jul 17th
Canada Mortgage and Housing Corp. says the annual pace of housing starts in June fell six per cent compared with May..... More »
Feds commit to exploring CRA income verification in budget 2024 to address mortgage fraud Apr 15th
The federal government today confirmed plans to consult with the mortgage industry on developing income verification tools through the Canada Revenue Agency..... More »
Making sense of the markets this week: June 9, 2024 + MORE Jun 8th
Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, shares financial headlines and offers context for Canadian investors.
“The Big Cut”
While The Big Short film is a riveting watch, “The Big Cut” may be even more enthralling.&nbs.... More »
Q1 Lender Earnings: The Recovery is Underway + MORE May 22nd
Some of the country’s key mortgage lenders unveiled their first-quarter results, which were positive across the board. The lenders were able to take advantage of a hot housing market, alongside improving economic conditions and reduced loss provisions. One highlight was Home Capital addressing.... More »
Fixed or Variable? Floating-Rate Mortgages Losing Their Lustre + MORE Aug 6th
It can be one of the most difficult choices for mortgage borrowers—fixed rate or variable? Thanks to historically low spreads between the two, that choice is becoming easier for many. “If you’re in the trenches shopping for a new mortgage, I’m going to tell you something I’ve rarely to.... More »
44 Percent of Canadians Overspend on Rent
– ratesupermarket.ca
Canadians are overspending on housing in alarming numbers, according to a recent RateSupermarket.ca survey. Among those who rent, 44 percent of Canadians are spending more than a third of their income on housing. Not only that, but 20 percent of homeowners are spending more than a third of their income on the roof over their head.
One third of your household income is the suggested housing budget given by the Canadian Mortgage and Housing Corporation (CMHC) – any more than that is a stretch to the family budget. The RateSupermarket.ca survey also found that 15 percent of Canadian renters are spending more than half their income on rent.
These numbers highlight the growing divide among Canadians who own versus those who don’t.
Regional Breakdowns
The problem is worst in Toronto, where 34 percent of all respondents are overspending. Our survey broke all respondents into regions, so these figures represent homeowners and renters combined.
Percentage of Canadians spending more than a third of their income on housing by major city:
Toronto: 34 percent
Montreal: 33 percent
Vancouver: 30 percent
Edmonton: 29 percent
Calgary: 27 percent
Ottawa: 22 percent
Looking Forward
Two thirds of the people who responded said they intend to purchase a new home in the near future, and among those, it was again renters who feel they’ll need to stretch their budget to afford a suitable home…
