"Very scary time": Many Canadian homeowners concerned about next mortgage renewal

[@kelvinjohnson4]

Isn’t it crazy how mortgage rates continue to rise with higher imports and declining exports? meanwhile the FED is yet to lessen cost. Something will eventually break if they keep raising interest rates and quantitative tightening

[@williamsbrown4026]

indeed the mkt & economy has gone berserk, price of great assets like real estate, dividend paying stocks, or gold never comes down easily, in my humble opinion, buy what you can afford today, and working with a financial advisor certainly helps

[@KelvinWallace]

Right, since 2020 amid rona-outbreak, I've avoided the drawbacks of trial and error simply by FA assistance. I'm semi-red now, and only work 7.5 hours weekly, with over $600k pulled off after subsequent investments to date.

[@LionTowercoporation]

@@KelvinWallace huge gains! most finance youtubers said the housing market would be fine few months back, but its been a major downturn... mind if I look up the advisor guiding you please? in dire need of portfolio allocation

[@KelvinWallace]

have my portfolio overseen by a US-based wealth advisor ''Colleen Janie Towe'' she's well established, and shows quite a great deal of expertise, you'd most likely find her basic info on the internet.

[@LionTowercoporation]

@@KelvinWallace I am grateful for your assistance. My finances have been in disarray, and I have experienced multiple losses in my 401k, IRA, and mutual funds. I hope that Janie can provide me with the guidance needed to rectify the situation before it reaches a critical point.

[@Raegoul]

At the end of the video they say people who just signed up for a mortgage are concerned about paying unaffordable mortgage payments for 25 more years. If they just signed a mortgage agreement and the payments were already unaffordable then you shouldn't have got the mortgage.

[@MikeyPaper]

Exactly.

[@vmtl4659]

True !

[@bonbonvegabon]

Lots of people over paid for thier house right before and during covid. They only have themselves to blame

[@vmtl4659]

@@bonbonvegabon on this one bon bon i agree with you 😅

[@bobwoods1302]

They won't lend you more than you can handle.

[@YahyaMarei]

They should not buy 2 houses. House for living, it's not an investment

[@donwest5387]

if you can afford it, it's a valuable asset

[@WiseOwl_1408]

A variable mortgage was always scarry to me. People seem not to ever think interest will go up

[@AnimeBeefRandoms]

They didn't for 14 years

[@email5023]

*scary

[@garykubiak]

No, people didn't think it would go up so fast. The speed of the interest rate increases are historic and more government officials should be speaking out about it

[@jamesfernick3741]

i was stunned when my american friend told me that a fixed rate mortgage in the us is for the entire term of the mortgage, in canada even if you get a fixed rate mortgage you are still rolling the dice if you arent planning to pay it off in 5 years, i wouldnt mind doing it at a time when prices are low and interest is high but even at 6% it isnt that high compared to what it was in the 70s or 80s, but the way things are if the interest goes up you could be paying a higher monthly payment for a house thats worth less,

[@Crowback354]

I have zero sympathy for anyone who financially doesnt understand what they are doing and got into housing only to make money.

[@icantwiththis]

Or just think they deserve all this real estate and deserve to get rich off everyone else living in their potato cellars they call basement suites

[@phatec]

Mortgage rates are up 300%, house prices are up 400% in the last 15 years, and in the last 4 years it’s up 40% alone. The average person can’t afford to buy a home, a small 20 year old 1000sq ft 2 bedroom apt is over $340,000+. It’s absolutely ridiculous. Not to mention apartments are charging up to $600+ condo fees for an 1200sq ft apartment. A 2 bedroom rental apartment is $2600, a 3 bedroom is $3600. Inner city is double that.

[@cherrieleung9080]

Let the Bank of Canada keep raising rates... the people should all gang up, sign, and join the group by not paying the mortgage to the bank. Let it all defaults from the East Coast to West Coast... I am sure the rate will soon come down like lightning. This is nothing but a scam using the wars in Ukraine. If this led to the housing crash... well good! this will allow everyone to own a house within reason. As far as I can see... the interest rates should not be more than 3%.

[@ashaf.6143]

Correct, this is actually the strategy I've been pitching to anyone who'll listen. We all simply should refuse to pay anything beyond what the budget of our wages allow and something will be forced to improve. They can't foreclose everyone. The world needs to stand united and stop in their tracks as a sign of solidarity 🙌

[@tigerbear3038]

But the real estate market is heating up again ! Lol

[@jeffthomas8582]

Wow finally the truth are out! The good times are over for the greedy homeowners trying to sell their homes at unrealistic prices. Especially those who bought at high prices, rental income aren’t sustainable after paying high mortgage interest, property taxes, strata’s fees etc.

[@WiseOwl_1408]

You must be very poor to use phrases like greedy homeowners hahaha

[@DB-bw5fz]

The problem isn’t the sellers trying to sell at unrealistic prices…it’s buyers that are paying unrealistic prices that are the cause of it. It’s always the buyers that set the overall pace of the market. Many buyers with cash in hand and little stock for sale….higher selling prices as buyers compete with each other for what’s available. Many homes for sale and few buyers….prices come down, as sellers compete to attract buyers. At some point, it balances out and prices stabilize. That is, until the balance shift one way or another again.

[@hosaikarim6563]

This is the easiest way for the bank to take houses from home owners and hand it over to their buddies in Beijing. Thanks Trudeau

[@hosaikarim6563]

@@SillySongs4Everyone2001 and Ontario. They're buying out all the land here

[@chrthewrestler2301]

don't blame the chinese, blame ourselves, they are just smart. we, as canadians are just dumb and stupid by not dominating our own country. Look at USA and China, they dominate the world, even our land and houses. this is sad. but this is true. usa dominates businesses and social media, china dominates real estate and production. we cannot hate or blame them. we should blame ourselves because we have everything but we don't own everything now.

[@JeremySwany]

Canada owned by China now. Thanks Trudeau and company!

[@josephsmith594]

Lots of people made boneheaded decisions to get the lowest rate. I’ve been paying more than those people with my locked in rate for years. Now that rate is lower than anything out there. If you can’t afford risk, don’t take it.

[@bonbonvegabon]

Yep. Always get a fixed rate. I do.

[@HermanWillems]

​@@bonbonvegabonfixed rate is the most normal thing in Netherlands. Everybody does this. So no housing crisis. We did have shady mortgage constructions which are now... guess what. Forbidden by government. We have only 2 different style of mortgages and they both pay off the loan in 30 years. So people are forced to pay off. Which lowers the risk. So sorry... no housing crash gonna happen

[@christianduval9067]

I bought a multiplex rental property in 2007......I take variabale mortgage a 1,75%...due to the panic a this time...but my payment was base at 6%...that mean I had pay (3) time the very low rate..... In 2018.....house is paid....cost me nothing....the renters pay it all..... Also...no cash down for the multiplex...just colateral from other property

[@AmanSS890]

I bought a 8 plex in 2013 I live in one of the units and the tenants pay of my mortgage smartest choice I ever made . I have 4 properties like this I could care less if the interest rates go up I just clam gas as income expenses. Any house repairs I do business expenses I just get the money back at the end of the year all the tools I have tax right of. If you have a house everything is coming out of your pockets……. I dont know how people are affording huge monthly house payments. Work all there life I guess unless both husband and wife have really high paying jobs then it makes sense but if one person works minimum wage and one person in a gas station they are just barley making it.

[@donwest5387]

I have been in a small basement suite in Surrey, B.C. for 2 years with no increases in rent. I do small repairs without troubling landlord, (nice person). No equity, but still very gratefull.

[@patriciamoraled2004]

Ill never forget what a banker told when i was 20 when i told him i wanted to saave for a home. " homes were built for banks , not for people"

[@LilAngelPrincess95]

I got lucky with my renewal that just happened. I was so nervous how much it would go up as it's my first renewal. I had a low fixed rate on a smaller mortgage than a lot of people have. Luckily my mortgage only went up about $100 each month and I got it fixed for two years in the hope it will go back down by then. I feel bad for people who weren't as lucky.

[@bonbonvegabon]

We always get a fixed rate. You end up paying off your mortgage faster with a fixed rate even though its more than a variable rate

[@LilAngelPrincess95]

@bon bon same, I've only done fixed rated. My grandfather got talked into a variable one once and it went bad.

[@borisi.]

Lucky😂😂😂 just wait and see what is prepared for all. Digital cage is coming

[@anthonyharris2930]

It won't go down. We might even have hyperinflation

[@borisi.]

@@anthonyharris2930 Our smart phones will be our doctors. Once your phone register low blood pressure you will receive quick txt message telling you that you have 3days to buy medicine otherwise your account will be suspended. LOL.

[@zomgoose]

Canadian Housing has become a casino. Bank of Canada and Federal Government policy for 15 years created this mess.

[@dangrather1280]

Trudeau told you when he was printing the most money in Canadian history that you shouldn’t buy anything because interest rates would go up.

[@whytho5732]

Liberals are financially incompetent

[@akadopeboi]

Housing was unaffordable in those cities before Trudeau sir. Hes a good scapegoat cause he seems kinda limp wristed, but we need to be honest with ourselves as Canadians. The issue TO ME seems to be foreign ownership of housing in these cities.

[@lucassquire4768]

​@@akadopeboi Except the housing market inflation rate rides in lockstep with the QE graphs, so that's not correct. It's basic math, housing has intrinsic value, and when money is created, the value of housing inflates with it. You're correct that Vancouver, and the GTA were housing hotspots prior to Trudeau's drunken sailor money printing epidemic, but the rest of the country remained economically sound. Stop making excuses

[@CryptidKeeperTCG]

@@akadopeboi that’s racist and white supremacy

[@carlam4986]

@@lucassquire4768 The rest of the country was also on the rise, the pandemic, low rates and remote work only escalated what was already happening.

[@jlm4836]

All while fuel prices, groceries, hardware, house and car insurance has increased. Criminal 🤭

[@Cpt-C4nuK]

Many Canadians should have thought about what they were doing in an unpredictable and unsustainable market. You made BAD financial decisions you panic purchased tried to flip a quick buck but then you sold a 200k home for 500-600k and now you owe 200 at a higher interest. The BoC flooded the market with bonds so there was a flux of money that wasn’t always going to be there. It also is going to help pay for the recovery. The housing market is based on demand. So if we stop paying your inflated houses prices you have no choice but to drop the prices. That’s how it works. People weren’t going to pay 800k-1M for a home Forever. It was bad financial and business decisions for people during a time where the market was unsure. Those new home buyers sadly I don’t feel sympathy for. As for those who have had a Mortage for 10 years they won’t see any changes likely on their payments as they’ve already budgeted for it. So they’re payment isn’t coming down but it’s not going up. If people also did their research 22% all of homes purchased since 2021 pandemic were private and foriegn investors so that also drove the prices up. Also multiple lean owners which means they also didn’t have the money but they had equity to roll houses over and use them for the next purchased this is what drove the rental prices threw the roof as now the landlord would want to cover the Mortage plus 1-3% for emergency cash and profit. Now people will have to sell and take a loss on your property you panic purchased as you cannot afford a 22-2400 Mortage payment and you will sell take a 5-13% loss and have to rent. This making the Feds more money as land transferring hands makes the Feds money from the land transfer tax.

[@wc4109]

I don't think the BOC governor has any mortgage himself.... Raise interest rates at any/all costs... Foreclosure just a small casualty...

[@bobwoods1302]

Still better to be paying off your own mortgage than someone else's by renting.

[@apprenticephil649]

Even if youre underwater on your mortgage?

[@LisaParsons-o7i]

With all due respect, you couldn't be more wrong. It's this very narrative that has lead to countless emotional purchases as a result of blinding FOMO. The result...financial destruction for many Canadian families.

[@agoogleuseranonymous2658]

@@apprenticephil649 You sell ...

[@canadaclub8920]

@@agoogleuseranonymous2658 cuz thats just so easy

[@jeffthomas8582]

Do your math! Must be stupid to pay high interest!

[@UKocaineSS]

"Welcome To 2030: I Own Nothing, Have No Privacy And Life Has Never Been Better. " - WEF

[@chrthewrestler2301]

blame our leaders and our corrupted government, not the chinese, indian or other immigrants. we are not doing things that we should have. we just let other people to buy these houses and prices go up. many canadians are still very lazy and ignorant and not willing to work and just blame everyone that they cannot afford houses. they are not willing to work. not enough houses being built etc. drugs problems. money being pocketed etc...... sad but true. btw, i am a canadian so i have to tell the truth.....

[@borisi.]

Komunism ;-)

[@Bradfitz15]

Yep and Trudeau flying around the world giving Canadian the middle finger

[@john_doe_not_found]

Annoying part is that multiple property owners will just pass the increased cost onto their renters. I hope all those folks in Toronto and Vancouver with million dollar mortgages are making big bucks. Renewing into a 5% mortgage and paying $50,000 a year just in interest without even shrinking the principle sounds rough.

[@jerrylee3887]

Renters have no rights

[@deepbrit]

Good these hoarders go bankrupt and first time owners can buy homes

[@jerrylee3887]

@@deepbrit Lol... You wish for property owners to default.. and you want to be an owner too? You are a hypocrite.

[@deepbrit]

@@jerrylee3887 I want hoarders to go bankrupt and real people to buy those houses. Guess english is not your first language. Dont be in a rush to comment. Read carefully and understand first.

[@jerrylee3887]

@@deepbrit Alright buddy... You think all these hoarders are going to sell to you? Think about what you just said you hypocrite.

[@vmtl4659]

Well someone is lying or something doesnt add up in the "canadian real estate market". On one hand ohhh prices surging again, housing market booming back .. and then you see those stats and say whats going on ?... either way if someone accepted to overpay for their house , then assume the consequences and dont excpect a bail out from gov. (Meaning tax payers) or the bank ! If banks didnt extend amortization for many it would of corrected the housing prices awhile ago !

[@bill...9566]

Nobody pointed gun at your head and force you to buy at such high prices. The interest rates should go higher to 6% and there will be a major correction.

[@senyap3924]

The ones saying that people shouldn't have bought are thinking similar ways to our government that has no there's no idea what a lot of regular people are going through on a day-to-day basis.

[@ryang7941]

Ticking time bomb, it's not a matter of if but just when at this point.

[@DC180]

Just like Australia! This is orchestrated

[@vijaybhogal456]

Trudeau can kiss his leadership goodbye next election. Many Canadians will not vote for him.

[@Keepasking123]

It’s ok, the banks will bail you it and those trying to get into the market will continue to pay for your financial irresponsibility.

[@andreww5773]

Well if you have a mortgage, you don't exactly OWN your home.. you own a share of a home.

[@gordonmichaels600]

There are two reasons I have no sympathy. Half those people voted for Trudeau and all those people thought rates would stay low forever.

[@Squatnoob]

People are offered money from the bank and literally use every penny given to them without thinking. If someone offers you 1 million dollars are 5% interest, just use 200k and give back the 800k.. "Oh but the average cost of homes is up, that's not realistic" Actually, it is. Stop chasing clout and move away from the city. In my area (2 hour drive from Major City), I paid 400k less than my friend who decided to buy in the major city (same amount of beds and baths)... Like? Do people think at all? Its fine if you can afford it, but don't cry to Global News that you can't afford it now LOL

[@Joemamarickroll]

I own nothing and am happy WEF -

[@pbreedu]

Mortgage rates at lowest ever was bound not to last.

[@chacha79081]

But people keep eating out and buying junk....

[@patientzero291]

People don't know how to make a buffer line in finances.

[@deepbrit]

Good that investment properties goes bankrupt and paves way for first time buyers to own them

[@Anonymous11175]

Banks itself does a LOTS of mortgage frauds

[@Glory-to-God.]

How do you define struggle?

[@jafo766]

I'd like to know the NAME of the 21 yr old driver involved in Burlington Ont. HIT & RUN death of 8 yr old child , but CHCH says nothing , top of the hour $tory is hockey and LGBT2 Life $tyle Expert ???

[@azad_arzu]

Rulers are enjoying their life and just pretending they care

[@borisi.]

Infrastructure for digital money is ready and prepared. That’s why US declared covid is over.

[@5309backbeat]

What or who is to blame ?

[@joshdoddadbod]

The government's and banks are. Government's spending record amounts, banks have had low borrowing costs and have been repeating the same tactics that caused the 2008 crisis, and unfortunately taking new risks as well. The banks and governments know they are safe from failure because tax payers have to bail them out when the house of cards collapses.

[@JeremySwany]

Ahmed Hussen, the Liberal housing minister. He just bought his 3rd investment property this week, and claims it is not a conflict of interest!

[@JeremySwany]

Also of course Liberal+NDP coalition continually spending money.

[@ethanbarc]

Homes in Canada are being constructed for the first time ever.

[@HalifaxComputersRepair]

tiny homes are cheaper lol

[@joeissac3934]

The Banks need to increase Interest rates again. Prices are going up again.

[@Vengeance888]

Everyone is “struggling”

[@makermarc70]

You all knew what you were doing. You did it anyway. Greed is your fuel.

[@Anonymous11175]

Ready for Recession

[@jody-ne7xs]

Whahhh i took a risk and failed whahhhhh😂😂😂 canadians

[@stephenfermoyle4578]

omg stop talking

[@Jeromeisantos]

Canada is the best for immigrants!

[@orsitheawesome]

Actually it is, could be worse, you could also be paying for healthcare

[@ahpong]

No, new immigrants are avoiding Canada. Well paid jobs are harder or impossible to find while housing is never affordable. Canada is naked.

[@hammedtijani]

😂 nobody wants to move to Canada

[@TH-lb6tu]

Elect Trudeau again. He will fixes it😂😂😂😂.

[@MilkByCow]

Was fortunate enough to be in a position to pay for my condo in cash. It was a last second decision that would wipe out my life savings. The appeal of zero debt won me over (and so did passive income) and the condo is being rented out as an income source to help rebuild my savings faster. This was my sacrifice. I am bewildered now 2 years later in 2023 that my peers with beautiful homes and nice cars are stressed about their ability to maintain it while I’m stuck paying rent for a corner of a shared house, rebuilding my financial life - with help from a tenant renting the condo that killed it. I am debt-free but penniless. We’re all financially screwed just in different ways.

[@Crowback354]

You realize that you buying that condo for PASSIVE income is part of the reason we have issues in this country right? There are too many people in this country who want to coast on passive income... if everyone had passive income no one would work and society would collapse. Think of it this way someone else is doing hard work and you are yoinking x% of their income while doing quite literally nothing that is what I'd call a parasitic creature.

[@WiseOwl_1408]

Speak for yourself.

[@icantwiththis]

​@@Crowback354 it is parasitic

[@jefferywang2493]

You should pay down 50% and mortgage the rest. So the tenants can build equity for you. And you still have some money as raining fund. Today GIC is 5% one year.

[@mikesenger2202]

I'll be safe at renewal. I expect I will have only 10-20K owing when it's time to bite the bullet.

[@parthakaarjun]

Trudo meanwhile fights with India 😂

[@jeffotoole4509]

Solution Sell

[@tomb8232]

Nothing is Trudeau's fault

[@commonsenserevolutionx1053]

My wish and prayer is that those people who voted for Justin Trudeau’s Liberals, are having a tough time making ends meet. That they loose their homes, jobs and cannot send their kids to college or university. I am a firm believer, there has to be “skin in the game” ....you vote poorly you get the consequences with it!

[@KP-wt8qr]

Feels nice having a minuscule mortgage to the point where rates are totally irrelevant to me.

[@jamesfernick3741]

i know that feel, a few years ago people looked at me like i was crazy because i moved to a new town 3 hours away from the gta to buy a small house i can pay off in 5 years, "why do you need to pay it off in 5 years" they said, "you could get something bigger or closer", they said but i remember my dad teling me about those 15% interest rates in the 80s and didnt want to put my financial life into something i cant control, even a fixed 5 year rate wont help to much by year 6 if you get a 20 year mortgage, in usa i feel different about their mortgages, its possible to get a fixed rate for 25 years but in canada most banks will only lock it in for 5 years,