Mortgage debt taking up a record share of income

3/14/2023 | Posted in Mortgages and Real Estate by Jessi Sandhu

The latest data shows Canadians are spending 7.66% of their household disposable income on servicing their mortgage debt. ... More

Tags: Canadian Debt, Canadian Households, Household Debt, Mortgage Debt

BoC expected to hold interest rate next week, one year after aggressive cycle began

3/3/2023 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

One year after the Bank of Canada's aggressive rate hike cycle began, economists widely expect the central bank will stick to its plan of holding its key interest rate steady ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Household Debt, Variable Rate Mortgages

BoC: Time to pause but there are no guarantees that will stick

2/16/2023 | Posted in Interest Rates by Jessi Sandhu

Governor Tiff Macklem set an optimistic tone in a speech Thursday but kept it real with warnings about potential headwinds ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canadian Debt, First Time Home Buyers, Home Buyers, Household Debt, Mortgage Consumers, Variable Rate Mortgages

Macklem defends Bank of Canada rate pause as growth grinds to halt

2/8/2023 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

Governor Tiff Macklem said the Bank of Canada needs to keep interest rates steady to avoid slowing the economy too much, defending his decision to pause hikes in remarks that were ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canadian Debt, Canadian Economy, Economic Growth, Economic Recession, Household Debt

45% with variable mortgages say they would have to sell in under 9 months: Yahoo/Maru Poll

2/2/2023 | Posted in Home Owners by Jessi Sandhu

As Canadian homeowners grapple with the Bank of Canada's flurry of interest rate hikes, one in three say they won't be able to handle higher rates for long before they are ... More

Tags: Canada Living, Home Owners, Household Debt, Variable Rate Mortgages

Here's what another Bank of Canada rate hike means for Canadians

1/27/2023 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

The Bank of Canada hiked its key interest rate by a quarter of a percentage point Wednesday, bringing it to 4.5 per cent. Here's a look at what the rate means, how analysts ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Household Debt, Interest Rates, Mortgage Consumers, Variable Rate Mortgages

Arrears rate rises from its all-time low

1/25/2023 | Posted in Mortgage News by Jessi Sandhu

Canada’s national arrears rate ticked up from its all-time low in October, according to data from the Canadian Bankers Association. ... More

Tags: Household Debt, Mortgage Arears, Mortgage Consumers, Mortgage Trends

BoC expected to end year off with one more rate increase, likely to pause hikes soon

12/2/2022 | Posted in Interest Rates by Jessi Sandhu

The Bank of Canada is expected to conclude a historic year marked by high inflation and aggressive monetary policy tightening with one more interest rate hike on Wednesday. ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canadian Debt, Home Buyers, Household Debt, Mortgage Consumers, Variable Rate Mortgages

BoC's Macklem: Rate hikes nearing end, but consumer pain ahead

11/3/2022 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

The Bank of Canada is almost done with its current series of rate hikes, but consumers should brace for higher borrowing costs before the end, according to central bank governor ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canada Living, Consumer Confidence, Consumer Spending, Household Debt, Mortgage Consumers, Mortgage Rates, Mortgage Rates Canada, Mortgage Rates Forecast, Variable Rate Mortgages

Growing debt could threaten stability as rates rise, says Bank of Canada's Rogers

10/18/2022 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

The Bank of Canada is closely monitoring debt burdens being shouldered across the economy over concerns they could become a threat to financial stability as interest rates rise ... More

Tags: Canadian Debt, Household Debt, Interest Rates, NonMortgage Debt

Here's how a recession could affect your work, housing and expenses

10/14/2022 | Posted in Canada Living by Jessi Sandhu

Many economists say a mild recession is on the cards as they look ahead to 2023. ... More

Tags: Canada Living, Canadian Housing Market, Consumer Confidence, Consumer Spending, Economic Growth, Economic Recession, Household Debt, Rental Market

BoC's Macklem: More interest rate hikes are "warranted"

10/7/2022 | Posted in Mortgage Interest Rates by Jessi Sandhu

Having already raised interest rates by 300 basis points this year, the Bank of Canada’s Tiff Macklem confirmed on Thursday that additional rate hikes (plural form) are ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canadian Debt, Economic Growth, First Time Home Buyers, Home Buyers, Household Debt, Interest Rates, Variable Rate Mortgages

RBC on the state of Canada's household wealth

9/21/2022 | Posted in Home Owners by Jessi Sandhu

Significant slowdown in housing, bond, and equity markets had a major influence on Q2 figures ... More

Tags: Canadian Household Wealth, Canadian Households, Household Debt, Property Value, Real Estate Values

Interest rates: TD, Scotia see Bank of Canada heading to 4%

9/14/2022 | Posted in Interest Rates by Jessi Sandhu

TD Securities and Scotiabank's top economists think there’s more room to run for the Bank of Canada as it increases interest rates from the pandemic lows. ... More

Tags: Canadian Debt, Household Debt, Interest Rates, Variable Rate Mortgages

Canadians are falling deeper into debt: Statistics Canada

9/12/2022 | Posted in Canada Living by Jessi Sandhu

New data from Statistics Canada shows that Canadians are sliding deeper into debt. ... More

Tags: Bank of Canada Benchmark Rate, Canadian Debt, Household Debt, NonMortgage Debt, Variable Rate Mortgages

Millions of Canadians could default on debts warns TransUnion

9/7/2022 | Posted in Canada Living by Jessi Sandhu

Overall consumer debt hit a new record high in the second quarter and some people may be overwhelmed by inflation. ... More

Tags: Canadian Debt, Consumer Spending, Household Debt, NonMortgage Debt

Interest rate hike predicted for September despite inflation slowdown

8/17/2022 | Posted in Interest Rates by Jessi Sandhu

Bank of Canada still focused on bringing inflation down, say economists ... More

Tags: Bank of Canada Benchmark Rate, Household Debt, Interest Rates, Mortgage Rates Canada, Mortgage Rates Forecast, Variable Rate Mortgages

How the Bank of Canada's rate hike will impact mortgages, loans and spending

7/13/2022 | Posted in Mortgages and Real Estate by Jessi Sandhu

The Bank of Canada increased its key interest rate by one percentage point Wednesday in the largest hike the country has seen in 24 years. ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canadian Debt, Canadian Households, Household Debt, NonMortgage Debt, Variable Rate Mortgages

Over-leveraged homeowners remain vulnerable to lenders

7/5/2022 | Posted in Canadian HELOC by Jessi Sandhu

A much anticipated federal clampdown on a new mortgage product that sinks over-leveraged homeowners deeper into debt has fizzled. ... More

Tags: Canadian HELOC, Home Owners, Household Debt, OSFI

Key household debt-to-income ratio down in Q1 as income rises faster than debt

6/14/2022 | Posted in Canadian Economy and Housing Market by Jessi Sandhu

Statistics Canada says the amount Canadians owe relative to their income pulled back in the first quarter from the record level set in the fourth quarter of 2021 as incomes grew ... More

Tags: Canada Living, Canadian Debt, Household Debt, NonMortgage Debt, Statistics Canada

Deputy Bank of Canada governor warns key interest rate could rise above previous target of 3 per cent

6/3/2022 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

One day after raising the key interest rate by 50 basis points to 1.5 per cent, the Bank of Canada is warning Canadians that rates could rise above previously targeted levels in ... More

Tags: First Time Home Buyers, Household Debt, Interest Rates, Variable Rate Mortgages

Canada braces for higher mortgage defaults

4/21/2020 | Posted in Canadian Economy and Housing Market by Jessi Sandhu

Rising unemployment and high debt is expected to boost mortgage loan delinquencies in Canada, though experts say it won’t play out like the U.S. subprime mortgage crisis of ... More

Tags: Canada Living, Canada Real Estate, Canadian Households, Canadian Housing Market, Consumer Spending, Household Debt, Mortgage Consumers, Mortgage Delinquency

Millions of Canadians already missing payments due to COVID-19

3/27/2020 | Posted in Financial Health by Jessi Sandhu

The coronavirus outbreak is leading to defaults on credit cards, utilities, and telecoms. ... More

Tags: Consumer Confidence, Consumer Spending, Cost of Living, Household Debt, Personal Finance

Big Six banks slash prime rates by half a point

3/17/2020 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

The Big Six banks are slashing their prime lending rates 50 basis points to 2.95 per cent from 3.45 per cent in response to the plunge in the benchmark Bank of Canada interest ... More

Tags: Bank of Canada, Bank of Canada Benchmark Rate, Canadian Banks, Household Debt, Variable Rate Mortgages

Bank of Canada slashes policy rate to 0.75 per cent in surprise cut

3/13/2020 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

The Bank of Canada cut its trend-setting interest rate by half a percentage point to 0.75 per cent from 1.25 per cent in a surprise move on Friday aimed at softening the economic ... More

Tags: Bank of Canada, Economic Growth, Household Debt, Variable Rate Mortgages

Changing the stress test may raise credit risk for banks says Fitch

2/27/2020 | Posted in Mortgages and Real Estate by Jessi Sandhu

The proposed change to the federal mortgage guidelines that would reduce the stress test requirement for borrowers could adversely affect the credit risk of Canada’s big ... More

Tags: Canadian Banks, Household Debt, Stress Test

Canadian reverse mortgage debt reaches nearly $4 billion

1/28/2020 | Posted in Financial Health by Jessi Sandhu

Despite a decelerating pace of borrowing, Canadian seniors still pushed the nation’s reverse mortgage debt balance towards yet another ... More

Tags: Canadian Debt, Household Debt, Mortgage Consumers, Mortgages & Real Estate, NonMortgage Debt, OSFI, Reverse Mortgages

Canadians are cutting back on debt amid fears of recession

1/2/2020 | Posted in Canada Living by Jessi Sandhu

Most Canadians held back from increasing their debt burden in 2019 and 1 in 5 say debt repayment is their top financial priority for 2020. ... More

Tags: Canadian Debt, Household Debt, NonMortgage Debt, Personal Finance

Canadian households to get short break from rising debt costs

12/31/2019 | Posted in Canadian Economy and Interest Rates by Jessi Sandhu

TD economists says the cost of servicing debts should ease early in 2020 ... More

Tags: Bank of Canada Benchmark Rate, Canada Living, Canadian Debt, Household Debt, Mortgage Consumers, Mortgage Rates Canada, Mortgage Trends, Mortgages & Real Estate, NonMortgage Debt, Variable Rate Mortgages

Canadian Household Borrowing Jumps By 31%, StatCan Says

12/16/2019 | Posted in Financial Health by Jessi Sandhu

Canadians' borrowing habits are back to where they were before policymakers cooled off the housing market. Lower interest rates are convincing some to borrow more. ... More

Tags: Canadian Debt, Canadian Households, Household Debt, Interest Rates, NonMortgage Debt