Albertans are making big sacrifices to keep up with mortgage payments
“Forty-three per cent of Albertan mortgage holders identified interest rate uncertainty as their top concern when renewing a mortgage,” the report states.
Other concerns included higher-than-expected monthly payments (13 per cent), choosing between fixed and variable mortgages (7 per cent), ongoing strain on household budgets (8 per cent), and changes in household income or financial priorities (8 per cent).
Despite the rising financial pressure, most Albertans say they are still managing, at least for now.
According to the report, 70 per cent of mortgage holders say their current mortgage rate is manageable. However, 21 per cent said payments could become difficult if their finances change, while 9 per cent said their rate is already challenging.
Affordability is shaping mortgage decisions, with the report noting “Most Albertans (78 per cent) identified affordability and financial planning as key factors when selecting or renewing a mortgage.”
For Albertans looking to qualify for a mortgage, 19 per cent said economic uncertainty affecting their financial stability is their biggest concern, followed by 17 per cent who said uncertainty around interest rates is their biggest concern, and 11 per cent said budget strain was a big concern.
Despite the uncertainty surrounding affordability, 59 per cent of Albertans said homeownership remains a stable investment, while 41 per cent said it does not.