Canadian homeowners are increasingly worried about their mortgage as interest rates continue
to rise, according to a new survey by RATESDOTCA.
The survey found that 53% of people are concerned about higher payments that will kick-in
when they renew their mortgage with their bank.
Fifty-two per cent of poll respondents said they have a plan in place to deal with higher
mortgage payments, with 38% saying they will cut back on spending to help afford their home,
while 9% said they will draw on savings.
The survey comes days after the Bank of Canada further raised its trendsetting overnight
interest rate by 50 basis points to 3.75%.
Fixed-rate mortgages in Canada are now more than 5%, much higher than they were last year,
when it was possible to get a five-year fixed rate under 2%.
According to the survey, 20% of Canadian homeowners said they have no plan in place to deal
with a higher mortgage rate.
The online survey polled 1,529 Canadian homeowners between October 14 and 16. Online
surveys cannot be assigned a margin of error. RATESDOTCA is a mortgage comparison
website.
