Survey reveals more Canadians struggling with mortgage payments

October 26, 2023 · 0 Comments

Written By Brian Lockhart

If you are feeling the crunch every month when your monthly mortgage payment is deducted from your bank account, you’re not alone.

A new study says the number of Canadians who are struggling with monthly mortgage payments is increasing.

Along with that burden, many homeowners are worried about potentially higher payments when their mortgages come up for renewal at a higher interest rate.

Data released by the Angus Reid Institute in October 2023 indicates that 15 per cent of mortgage holders say they find paying their mortgage to be ‘very difficult.’ That’s up from eight per cent in March and 11 per cent in June.

The survey says that even if the Bank of Canada holds key interest rates steady at five per cent, 79 per cent of survey respondents are worried that they will face higher payments when it’s time to renew their mortgage.

While homeowners with variable-rate mortgages were less likely to find monthly payments to handle currently, they were also more likely to be worried about what might happen during their next mortgage renewal.

Canada’s central bank held the key interest rate steady last month but also left the opportunity for more rate hikes, citing concerns about the persistence of underlying price pressures.

The September consumer price index report helped ease some concerns about the inflation rate, which dropped to 3.8 per cent.

Survey reveals more Canadians struggling with monthly mortgage payments.