{"id":3724,"date":"2026-02-24T20:21:11","date_gmt":"2026-02-24T20:21:11","guid":{"rendered":"https:\/\/www.worldpumpnews.com\/?p=3724"},"modified":"2026-02-24T20:21:11","modified_gmt":"2026-02-24T20:21:11","slug":"mortgage-debt-soars-while-starter-homes-get-out-of-reach-for-many-canadians","status":"publish","type":"post","link":"https:\/\/www.worldpumpnews.com\/?p=3724","title":{"rendered":"Mortgage debt soars while starter homes get out of reach for many Canadians"},"content":{"rendered":"

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Canadians took on more mortgage debt last year, with the total debt hovering close to $2 trillion in 2025, a report by Equifax Canada shows.<\/p>\n

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The country is in the middle of a mortgage renewal wave, with the Canada Mortgage and Housing Corporation estimating that at least 1.5 million households had already renewed their mortgage by the end of 2025 and a million more set to do so in 2026.<\/p>\n

Mortgage renewals continued to dominate the mortgage market in the fourth quarter, with total mortgage debt reaching $1.95 trillion, the report by Equifax Canada found.<\/p>\n

This is an increase of 2.6 per cent compared to the same time last year.<\/p>\n

\u201cInterest rate stabilization is appearing to have a positive impact on homeowners and the Canadian mortgage industry, however in hotter housing markets, affordability remains a concern,\u201d said Rebecca Oakes, vice-president of advanced analytics at Equifax Canada.<\/p>\n

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\u201cHigh mortgage balance remained a significant barrier to entry, with average new loan amounts climbing 4.1 per cent to $363,778. This burden was even heavier on first-time homebuyers, who saw their average new loan size grow 5 per cent to reach $441,301,\u201d the report said.<\/p>\n

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Many households experienced \u201cpayment shock,\u201d or a sudden increase in their monthly mortgage payments due to renewal. This prompted many to switch lenders, the report added.<\/p>\n

\u201cWe continue to see rising missed payments on higher value mortgages in Ontario as post renewal payment levels prove too high for some consumers,\u201d Oakes added.<\/p>\n

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\n\t\t\t\tStarter homes getting costlier\t\t\t<\/h2>\n<\/p><\/div>\n