Toronto: A report indicates a growing number of mortgage delinquencies in Ontario, particularly in the Greater Toronto Area (GTA). Experts warn that this situation is likely to worsen as Canada navigates its current economic challenges.
Data prepared by Equifax Canada for the Canada Mortgage and Housing Corporation (CMHC) shows that mortgage delinquencies in Ontario rose to 0.22 percent in the first quarter of this year. This is an increase from 0.09 percent in the first quarter of 2023 and 0.15 percent in the first quarter of 2024. In Toronto, the mortgage delinquency rate reached 0.23 percent in the first quarter of 2025, up from 0.14 percent in the first quarter of 2024 and 0.08 percent in the first quarter of 2023.
In February, Equifax reported that over ten thousand mortgage payments were missed in Ontario during the last quarter of 2024. The report suggests that many Ontario residents are struggling to find money to pay off other debts due to the high cost of living, which is significantly impacting mortgage repayments.
Experts attribute the increase in mortgage delinquencies to two main reasons. Firstly, a major factor is that those who purchased homes at lower borrowing costs during the COVID-19 pandemic are now facing higher rates when renewing their mortgages. Financial experts also explained that severe economic uncertainty in the labor market due to the trade war with the U.S. is another contributing factor.
