Since the pandemic, the rate of delinquent mortgages has remained stable, but in 2023 the situation has taken a worrying turn. The Canada Mortgage and Housing Corporation (CMHC) recently confirmed that more and more homeowners are struggling to repay their mortgage loans.
Key points :
– Increase in delinquent loans: In 2023, there will be a significant increase in delinquent mortgage loans. Forecasts indicate that this number could reach a new high by the end of 2024.
– Estimated number: Nearly 13,000 mortgages are currently delinquent, meaning payments are more than 90 days late.
– Priority of Debts: Mortgages are often the last debt to be neglected in times of financial difficulty. Families in debt typically dip into their savings to avoid having to stop paying for their housing.
– Other debts: Credit cards and auto loans have higher default rates because they are often the first to be affected by financial difficulties.
– Loan renewal: Nearly half of loan holders will have to renew their mortgage loan within two years with a much less advantageous rate than in the past.
This worrying trend highlights the importance of remaining vigilant in the face of changing economic conditions and carefully planning your finances to avoid repayment difficulties. Homeowners need to be aware of the challenges ahead and take proactive steps to secure their financial situation.
