Canadian lenders are only writing off a smaller share of mortgages, but the losses are bigger. The average loss from bad mortgages increased sharply in Q1 2022, shows Equifax data. A smaller share of mortgages are producing write-offs, now at a record low. However, that might change fast as the size of the write-offs rise […]
Rate Squeeze? Not Exactly, Since Average Mortgage Payments Are Lower Than Rent
Canadian mortgage payments are soaring as home prices hit record growth. Those payments might get more expensive for some as interest rates rise. It’s understandable that some are worried homeowners will face significant pressure. However, don’t expect renters to have any sympathy. As expensive as housing is, average mortgage payments are lower than the cost […]
Nearly All Canadian Real Estate Markets Saw More Subprime Buyers, Including Toronto
Canadian subprime real estate buyers are scrambling to join the housing gold rush. Earlier this week, we discussed the sharp climb in subprime mortgage borrowers in Q3 2021. Today we’ll break the Equifax data down by city and show the highest concentrations. All but three major cities in Canada saw their share of poor quality […]
Canada’s Real Estate Bubble Has Buyers Paying 2x The Mortgage of Existing Owners
Canadian homeowners often say affordability isn’t that bad, new buyers just need to stretch further. That’s because they’re most likely unaware they’re paying half of what it takes to buy a home now. Equifax data shows an average homeowner pays half as much on a mortgage compared to buyers in Q3 2021. This trend has […]
Canadian Subprime Real Estate Buyers Surged Higher Last Quarter
After taking a break at the start of the pandemic, Canadian real estate has seen subprime borrowers return. Equifax data shows an abrupt uptick in the share of new mortgages going to subprime borrowers in Q3 2021. It’s still a relatively small share, especially in contrast to historic levels. However, this is the first time […]
One In Ten Canadians Approve of Inflating Income For Mortgage Applications: Equifax
Many Canadians are surprisingly comfortable telling strangers they approve of mortgage fraud. Equifax released its latest consumer survey along with upgrades to its ClearPro fraud detection platform. The company confirmed what many have suspected — credit fraud may be rampant. It didn’t take sophisticated software to figure that out either. That was just the result […]
Vancouver Households Have Over $185 Billion In Debt, Most of It Is Real Estate
Vancouver real estate debt has been soaring, but how much other debt do households have? Equifax numbers from the Canada Mortgage and Housing Corporation (CMHC) show that the majority of debt is real estate related, but there’s still a whack of consumer debt. When broken down into payments, more than a third goes to servicing […]
Montreal Households Owe Over $176 Billion, and Real Estate Is Only A Part of It
Montreal real estate debt is rising, but how much other debt do households have? Equifax numbers from the Canada Mortgage and Housing Corporation (CMHC) show that the majority of debt is real estate related, but there’s still a lot of consumer debt. When broken down into payments, consumer debt requires even more cash to service. About […]
Toronto Households Have Over $384 Billion In Debt, and Over 80% Is Tied To Real Estate
Toronto real estate debt has been soaring, but how much other debt do households have? Equifax numbers from the Canada Mortgage and Housing Corporation (CMHC) show that the majority of debt is real estate related, but there’s still a whack of consumer debt. When broken down into payments, consumer debt requires nearly as much cash […]