whitehorse real estate,real estate in whitehorse,whitehorse houses for sale whitehorse real estate,real estate in whitehorse,whitehorse houses for sale whitehorse real estate,real estate in whitehorse,whitehorse houses for sale whitehorse real estate,real estate in whitehorse,whitehorse houses for sale

Canada’s Housing Boom Has Pushed One In 10 Families Deep In Debt

Canada’s housing boom created a nation where more than one in 10 families are what the central bank calls “highly indebted,” data from polling firm Ipsos Canada shows.

The share of households with debts greater than or equal to 250% of gross income reached a record 13.5% last year, according to Ipsos.

“Looking at these figures one would think Canadians are accumulating debt at an alarming rate,” said Michael Hsu, vice president at Ipsos in Toronto. Still, he said “most of the debt Canadians are accumulating is going into real estate and right now the real estate market is holding up quite nicely.”

The Bank of Canada, which calls households owing more than 250% of their gross income “highly indebted,” said last month that household imbalances remain the biggest domestic risk to the financial system. Deputy Governor Timothy Lane said June 26 that while there has been a moderation in household imbalances, policy makers are still “watching very closely.”

Ipsos data shows the percentage of heavily indebted Canadians had fallen to 11.4 in the first quarter. Another more widely tracked sign of consumer finances also shows that debt levels peaked last year and have begun to decline. Statistics Canada reported the ratio of household debt to disposable income fell to 161.8% in the first quarter from a record 162.8% in the third quarter of last year.