{"id":77213,"date":"2024-11-15T13:15:22","date_gmt":"2024-11-15T21:15:22","guid":{"rendered":"https:\/\/www.nerdwallet.com\/ca\/?page_id=77213"},"modified":"2024-11-15T13:15:28","modified_gmt":"2024-11-15T21:15:28","slug":"mortgage-arrears-rising-in-these-cities","status":"publish","type":"page","link":"https:\/\/www.nerdwallet.com\/ca\/mortgages\/mortgage-arrears-rising-in-these-cities","title":{"rendered":"Mortgage Arrears Rates Are Up in These Cities: Here\u2019s What You Can Control"},"content":{"rendered":"\n

A recent report from the Canadian Mortgage and Housing Corporation found that mortgage arrears rates are on the rise, and will likely continue to climb through the first quarter of 2025. <\/p>\n\n\n\n

A mortgage is in arrears when payments are overdue by three or more months, according to the Canadian Bankers Association. <\/p>\n\n\n\n

Toronto and Vancouver emerged as \u201chousing markets that may go through sharp increases in mortgage arrears\u201d in the next six to 12 months. <\/p>\n\n\n\n

Calgary, Saskatoon, Halifax, and to some extent Winnipeg, are less likely to see increases in mortgage arrears.<\/p>\n\n\n\n

Montreal, Ottawa and Edmonton appear stable now, but \u201cwarrant further monitoring\u201d according to the CMHC report<\/a>, which analyzed factors related to mortgage delinquency<\/a> \u2014 including the job market, credit scores and economic variables \u2014 to make its predictions. <\/p>\n\n\n\n

The report notes that higher arrears rates “could potentially be avoided if mortgage rates decrease more than expected or if market conditions, as measured by the sales-to-new-listings ratio, revert into sellers’ market territory, where there are significantly more buyers than sellers.\u201d<\/p>\n\n\n\n

But that\u2019s a big ‘if.’<\/p>\n\n\n\n

Homeowners in Toronto or Vancouver may already be feeling the squeeze. And if your mortgage renews<\/a> in the next 12-24 months, you may be bracing for it as well. Here are steps you can take.<\/p>\n\n\n\n

Know your options for mortgage help<\/h2>\n\n\n\n\n

Taking stock of your financial health (think: credit score<\/a>, credit report<\/a> and debt service ratios<\/a>) and keeping an eye on current mortgage rates <\/a>can help you protect your home and credit.<\/p>\n\n\n\n\n\n\n

Also, take a moment to familiarize yourself with any alternative payment arrangements that may be available through your lender.<\/p>\n\n\n\n

Depending on your lender, you might be able to:<\/h3>\n\n\n\n