{"id":69472,"date":"2026-02-03T13:01:49","date_gmt":"2026-02-03T13:01:49","guid":{"rendered":"https:\/\/www.pantheregroup.com\/2026\/02\/03\/posthaste-homeownership-not-the-money-machine-it-used-to-be-for-many-canadians\/"},"modified":"2026-02-03T13:01:49","modified_gmt":"2026-02-03T13:01:49","slug":"posthaste-homeownership-not-the-money-machine-it-used-to-be-for-many-canadians","status":"publish","type":"post","link":"https:\/\/www.pantheregroup.com\/2026\/02\/03\/posthaste-homeownership-not-the-money-machine-it-used-to-be-for-many-canadians\/","title":{"rendered":"Posthaste: Homeownership not the money machine it used to be for many Canadians"},"content":{"rendered":"
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\"Homes
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Many Canadians hoping to pay down their <\/p>\n

credit cards<\/p>\n

when they <\/p>\n

refinance their mortgage<\/p>\n

are finding their options are more limited than they thought, says an industry insider. <\/p>\n

Declining home values, lower equity and higher consumer debt are limiting how much some homeowners can access through refinancing or whether they can switch lenders at all, said Leah Zlatkin, a mortgage broker and <\/p>\n

LowestRates.ca<\/p>\n

expert. <\/p>\n

\u201cThis is something I\u2019m seeing come up more often in conversations with homeowners as they approach renewal,\u201d said Zlatkin. \u201cMany expect to refinance to deal with debt at that point, only to discover that changes in equity, income, or borrowing limits have already narrowed what\u2019s possible.\u201d <\/p>\n

Home prices<\/p>\n

in Canada, especially in Ontario and British Columbia, have been falling for over three years now, with some markets suffering double-digit declines. <\/p>\n

A drop in the value of the home, combined with loan to value limits, can \u201csignificantly\u201d reduce how much equity is available through refinancing, even if the homeowner has kept up with mortgage payments, she said. <\/p>\n

The <\/p>\n

rising cost of living<\/p>\n

has also driven up credit card balances across Canada, with the average rising almost two per cent to $4,652 late last year. <\/p>\n

That extra consumer debt that has accumulated after buying a home can reduce borrowing capacity and narrow refinancing options, she said. <\/p>\n

Income changes, whether it is through job loss, reduced hours, parental leave or approaching retirement, can also make it harder to qualify for refinancing. <\/p>\n

\u201cRenewal is often treated like a reset button, but for many borrowers it reflects decisions made years earlier,\u201d said Zlatkin. \u201cIf spending and debt growth outpace home equity, refinancing options can shrink quickly.\u201d <\/p>\n

Mortgage pressures continue to build for Canadians, said Morningstar DBRS in a recent report. <\/p>\n

The rating agency expects mortgage portfolios for Canadian banks and credit unions to\u00a0 show further credit deterioration in 2026, but remain \u201creasonably resilient,\u201d despite the soft <\/p>\n

housing market<\/p>\n

and trade uncertainty. <\/p>\n

It does, however, flag certain markets that are exposed to Donald Trump\u2019s tariffs, such as Windsor and Kitchener in Ontario, as especially vulnerable and likely to experience pockets of borrower stress. <\/p>\n

Mortgage renewals are another challenge. About 1.15 million mortgages are set to renew this year, and about a third will face higher payments, according to the <\/p>\n

Bank of Canada.\u00a0 <\/p>\n

The average increase will be six per cent, but five-year fixed mortgage borrowers could face as high as 20 per cent. <\/p>\n

\u201cWorse yet, around 10 per cent of variable-rate, fixed-payment mortgage (VFM) borrowers are expected to have a payment increase of more than 40 per cent, which will result in a material payment shock,\u201d said Morningstar. <\/p>\n

\n

\"\"<\/p>\n

TFSA vs. RRSP: A wealth-building series from the Financial Post<\/h3>\n

It\u2019s one of the most important \u2014 and sometimes confusing \u2014 savings decisions Canadians face, and the right answer depends on far more than a simple rule of thumb. Starting today, the Financial Post is launching a week-long series called TFSA vs. RRSP, breaking down the key questions in deciding between the two accounts, including mistakes to avoid and how to get the most bang for your buck. <\/p>\n

Read the first instalment here<\/p>\n

and make sure to check back every day this week for more. <\/p>\n

\n

\u00a0Sign up here to get Posthaste delivered straight to your inbox.<\/strong><\/em> <\/p>\n

\n


\"\"<\/strong> <\/p>\n

\u00a0 <\/p>\n

\"\"<\/p>\n

\u00a0 <\/p>\n

Canada\u2019s trade with its southern neighbour is shrinking, in imports and exports. <\/p>\n

The United States made up its lowest share of Canadian imports on records going back to the late \u201990s in the 12 months to November 2025, said Shelly Kaushik, senior economist at BMO Capital Markets. <\/p>\n

The decline reflects Canadian counter tariffs, which were short-lived, but also the public response shifting away from U.S. products, she said. Also, goods from other countries that previously entered Canada by the U.S. are now being rerouted to avoid tariffs. <\/p>\n

Exports to the United States are down, but goods heading to the U.S. still represent more than 70 per cent of Canadian shipments, most protected from tariffs by the <\/p>\n

Canada-United-States-Mexico-Agreement (CUSMA). <\/p>\n

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\"\"<\/p>\n

    \n
  • Earnings:<\/strong> Suncor Energy Inc., Maraton Petroleum Corp., Pfizer Inc, Electronic Arts Inc, PepsiCo Inc., Merck & Co Inc., Mondelez International Inc., Chipotle Mexican Grill Inc.<\/li>\n<\/ul>\n

    \"\"<\/strong> <\/p>\n

    \"\"<\/p>\n

    <\/figure>\n
    \n

    \"\"<\/strong> <\/p>\n

      \n
    • Canadian air travel to the U.S. drops for the 11th straight month <\/li>\n
    • Eldorado Gold strikes deal to acquire Foran to create new copper-gold producer <\/li>\n
    • Homegrown companies head to Dubai to sell Canadian AI to the UAE<\/li>\n<\/ul>\n

      \"\" <\/p>\n

      Do you judge your financial life by a three-digit number? Many people do, but treating your credit score as a grade can lead to anxiety, frustration and even shame, especially when it feels like a good score is the key to opportunity. Credit scores can influence rental applications, credit card approvals and the interest rates offered for loans and mortgages, but it\u2019s only one small part of your financial picture. Credit counsellor Mary Castillo offers some healthier options to financial health than fixating on your credit score. <\/p>\n

      Find out more <\/p>\n

      \n

      <\/span>
      \n\"\"<\/p>\n

      Interested in energy? The subscriber-only FP West: Energy Insider newsletter brings you exclusive reporting and in-depth analysis on\u00a0 one of the country\u2019s most important sectors. <\/p>\n

      Sign up here. <\/p>\n

      \n
      Are you worried about having enough for retirement? Do you need to adjust your portfolio? Are you starting out or making a change and wondering how to build wealth? Are you trying to make ends meet? Drop us a line at\u00a0<\/span>wealth@postmedia.com<\/span>\u00a0with your contact info and the gist of your problem and we\u2019ll find some experts to help you out while writing a Family Finance story about it (we\u2019ll keep your name out of it, of course).<\/span><\/div>\n
      \n

      McLister on mortgages<\/h2>\n

      Want to learn more about mortgages? Mortgage strategist Robert McLister\u2019s <\/p>\n

      Financial Post column <\/p>\n

      can help navigate the complex sector, from the latest trends to financing opportunities you won\u2019t want to miss. Plus check his <\/p>\n

      mortgage rate page<\/p>\n

      for Canada\u2019s lowest national mortgage rates, updated daily. <\/p>\n

      \n

      Financial Post on YouTube<\/h2>\n

      Visit the Financial Post\u2019s <\/p>\n

      YouTube channel<\/p>\n

      for interviews with Canada\u2019s leading experts in business, economics, housing, the energy sector and more. <\/p>\n

      \n

      Today\u2019s Posthaste was written by Pamela Heaven with additional reporting from Financial Post staff, The Canadian Press and Bloomberg.<\/em> <\/p>\n

      Have a story idea, pitch, embargoed report, or a suggestion for this newsletter? Email us at\u00a0<\/p>\n

      posthaste@postmedia.com<\/p>\n

      . <\/p>\n

      \n
        \n
      • Retirement becoming ‘distant dream’ for more Canadians<\/li>\n
      • Mortgage borrowers who held out for lower rates are paying the price<\/li>\n<\/ul>\n

        Bookmark our website and support our journalism:<\/strong> Don\u2019t miss the business news you need to know \u2014 add\u00a0financialpost.com\u00a0to your bookmarks and sign up for our newsletters here<\/em> <\/p>\n

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        Posthaste: Homeownership not the money machine it used to be for many Canadians<\/a>
        \n
        2026-02-03 13:01:49<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

        Many Canadians hoping to pay down their credit cards when they refinance their mortgage are finding their options are more limited than they thought, says an industry insider. Declining home…<\/p>\n","protected":false},"author":2,"featured_media":69473,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/smartcdn.gprod.postmedia.digital\/financialpost\/wp-content\/uploads\/2023\/01\/fp-posthaste-LOGO-01132023.jpg","fifu_image_alt":"","footnotes":""},"categories":[31],"tags":[],"class_list":["post-69472","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy"],"_links":{"self":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/posts\/69472","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/comments?post=69472"}],"version-history":[{"count":0,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/posts\/69472\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/media\/69473"}],"wp:attachment":[{"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/media?parent=69472"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/categories?post=69472"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.pantheregroup.com\/api\/wp\/v2\/tags?post=69472"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}