Does this mean more Canadians are taking bigger mortgages? Or are we borrowing for longer periods of time? Probably, yes. We are also becoming more financially savvy. Experts are finally recognizing that Canadians are taking advantage of the record low rates to consolidate our debts.
Here’s some other info (CAAMP stats 2012):
- Over 40% of Canadian Home Owners have no mortgage.
- more than 30% of all household debt is non-mortgage. (credit cards, unsecured lines of credits, car loans, etc)
- Canadians are conservative, 79% of all mortgages have a fixed rate.
- For all homeowners, equity is equal to 70% of the value of housing. In other words, Canada has only leveraged or borrowed 30% of the equity in their homes.
- Mortgage arrears are at or near the all-time historical low levels… 0.33%
Add it all up and it seems Canadians are managing their mortgage debts very well.