The average cost of a Toronto mortgage has grown by 11.5%

June 14th, 2017  |  Home

According to a new report put fourth by the Canada Mortgage and Housing Corporation, the average Toronto mortgage grew by 11.5% in the fourth quarter of 2016 from the forth quarter of 2015. The average payment rose from $1,638 a month to $1,826. Vancouver also saw a substantial growth of 4.5%, bringing their average from $1,853 to $1,936.

By the end of 2016 the CMHC noted that 29% of Canadians had a mortgage and that as a whole, mortgage prices had increased by 4.6%, from $1,269 to $1,328. They claim the increases are due to rising housing costs, largely thanks in part to the escalating Toronto and Vancouver housing markets.

Although Toronto and Vancouver hold the top spots for the highest average mortgage, the two cities fall below the national delinquency average. The CMHC reported that the average Canadian delinquency rate sits at 0.34% (slightly down from 0.35% the year prior), while Toronto and Vancouver sit at 0.12% and 0.15% respectively.

Many of the highest delinquency rates in the country belong to those in cities in the Prairies or the East Coast, where a lack of recourses have impacted negatively on their economies. Many of these cities, including Saskatoon (0.51%), Edmonton (0.52%), Charlottetown (0.55%), and Moncton (0.71%), were well above the nation’s 0.34% average. The highest delinquency rate belongs to Saint John, sitting at 0.86% while the lowest goes to Guelph at just 0.1%.