More Canadian mortgage borrowers are betting the economy won’t get much better. At least, they’re unintentionally placing that bet with their mortgage borrowing terms. Data from the Bank of Canada (BoC) shows big growth for uninsured mortgage credit extended in April. It actually saw the largest annual growth on record, driven by a surge in […]
The Canadian renovation boom is slowing, or at least the debt to finance it has. Bank of Canada (BoC) data shows loans for home renovations made a sharp drop in the first quarter of 2021. The balance of these loans had seen a surge during the pandemic, but rolled back in the last quarter. It […]
Canada is experiencing a real estate boom, and it’s fueled by a flood of cheap mortgage debt. Bank of Canada (BoC) data shows mortgage credit reached a record high in April. That’s no longer a surprise since it’s a regular occurrence, but the rate of growth is noteworthy. Canadians added the equivalent of 6% of […]
Canadians are more sparingly applying for credit… except when it comes to a new mortgage. TransUnion data shows credit originations generally fell in Q4 2020. Every segment saw an annual decline with the exception of mortgages. New mortgage originations jumped over 25%, as more people dive into the housing mania. Canadian Mortgage Originations Rise Over […]
A large Canadian financial institution sees higher mortgage rates in your future. Desjardins’ mortgage forecast shows they expect mortgages to continue to climb from here. They see 5-year fixed mortgage rates hitting pre-pandemic levels by next fall. That is before the first expected hike to the overnight rate from the Bank of Canada. Canadian Mortgages […]
Canadians aren’t using their homes like an ATM. At least not as much as you would think. Bank of Canada (BoC) data shows home equity line of credit (HELOC) balances reached a record high in March. It barely did so, with a rate of growth so low it would be negative if inflation adjusted. This […]
It shouldn’t be too surprising that a record number of real estate sales is accompanied by a ton of new borrowing. Funds advanced, which is new mortgage credit issued or extended, climbed at a rapid rate in March. Borrowers took out a record amount of mortgage debt, with the majority of it uninsured. Canadians Borrowed […]
Toronto and Vancouver are both seeing an unusual surge of insolvency filings. Office of the Superintendent of Bankruptcy Canada (OSB) filings show a huge jump in March. Insolvencies, both bankruptcies, and consumer proposals, hit the highest level since the pandemic. Toronto Insolvencies Jump 22% In March Toronto insolvencies made an abrupt jump, claiming the biggest […]
The Canadian economy is picking up speed, and so is the number of consumer insolvencies. Office of the Superintendent of Bankruptcy (OSB) data shows March saw a sudden increase in filings. The unexpected monthly increase was the biggest in almost a decade. Consumer insolvencies are now at the highest level since the pandemic first began. […]
Falling mortgage interest rates didn’t give much relief to Canadian real estate buyers. Canada Mortgage and Housing Corporation (CMHC) data shows the average monthly payment for new mortgages increased in Q4 2020. The size of the increase isn’t all that important, so much as the fact it increased at all. Mortgage rates were cut by […]
