Almost 1 in 4 owners must promote dwelling if rates of interest rise extra, survey suggests

The Canadian Press

Revealed Monday, June 13, 2022 12:31PM EDT

Final Up to date Monday, June 13, 2022 12:48PM EDT

Almost one in 4 owners say they must promote their dwelling if rates of interest go up additional, in response to a brand new debt survey from Manulife Financial institution of Canada.

The survey, carried out between April 14 and April 20, additionally discovered that 18 per cent of householders polled are already at a stage the place they cannot afford their properties.

Over one in 5 Canadians count on rising rates of interest to have a “important unfavorable influence” on their general mortgage, debt and monetary scenario, the survey discovered.

The Financial institution of Canada stays on a rate-hike path because it tries to tame inflation, which is now at a 31-year excessive at 6.8 per cent. On June 1, the central financial institution elevated its key rate of interest by half a proportion level to 1.5 per cent.

The Manulife survey additionally discovered that two-thirds of Canadians don’t view dwelling possession as inexpensive of their local people.

Moreover, near half of indebted Canadians say debt is impacting their psychological well being, and nearly 50 per cent of Canadians say they’d battle to deal with shock bills.

This report by The Canadian Press was first printed June 13, 2022.