The Canadian Association of Accredited Mortgage Professionals (CAAMP) does a great job of compiling information about the Canadian economy and housing market as it relates to the mortgage consumer. Here are some of the highlights from the January 2015 Mortgage Insights where CAAMP interviewed over 2000 Canadians.
Despite the often negative economic narrative perpetrated by the media, our study continues to find strong, but cautious optimism among the majority of Canadians. Although some uncertainty exists in the short-term economic outlook, the majority of Canadians remain cautiously optimistic in our economy, very comfortable with their own financial positions, and continue to feel that Canadian real estate is a good long-term investment
their own financial positions… A continuing trend we have noticed over the past five years shows that while Canadian homeowners overwhelmingly feel comfortable with their own mortgage and financial situation, there is significant concern that others may not be in such a good situation.
Three-quarters of Canadians (76%) say they would be well-positioned to weather a potential economic storm.
While a similar proportion (73%) say they do not regret taking on the size of their mortgage. However, when asked for perceptions about other Canadians, a similar three-quarters (78%) agree that low interest rates mean many Canadians have bought homes who should not have.
This is kind of funny if you think about it. 3 out of 4 Canadians believe they are in a good place financially, whereas that same 3 out of 4 Canadians believe their neighbours aren’t. Funny especially given the fact that everyone qualifies by the same rules!
Here are some of the facts found in the survey.
84% of Canadians say real estate is a good long term investment.
82% of Canadians agree that mortgages are ‘good debt’.
68% of Canadians are optimistic about the economy in the next 12 months.
30% of Canadians consider a home an investment compared to 70% who believe it’s a place to live.
5% of people plan to buy a property in 2015.
22% of people said they could not have qualified for their mortgage if the minimum downpayment was 10% instead of 5%.
34% of people ran some calculations on an online mortgage calculator.
61% of First time Home Buyers consulted a mortgage broker to help them arrange financing.
If you want to read the report in it’s entirety, I have included it for your reference below. Enjoy!