Seven in 10 current patrons say they wouldn’t have been in a position to buy their dwelling with out monetary assist, most frequently from household, in line with Mortgage Professionals Canada’s newest client survey.
The 2025 State of the Housing Market report paints an image of rising pressure as affordability gaps widen. Carried out by Bond Model Loyalty, the survey attracts from a nationwide pattern of two,000 Canadians, together with each mortgage holders and potential patrons.
The findings counsel that homeownership is changing into more and more out of attain for these with out intergenerational help, with down fee help now seen by many not as a “nice-to-have,” however a requirement.
“Down fee help is now not a backup plan—it’s a requirement for a lot of Canadians hoping to purchase,” stated MPC President and CEO Lauren van den Berg. “These findings verify what brokers throughout the nation are seeing every single day: shoppers are underneath strain, and so they want skilled, clear recommendation to discover a manner ahead.”
Brokers rising in significance as mortgage choices get extra complicated
With borrowing prices nonetheless elevated and mortgage renewals looming, a few third of Canadians frequently flip to mortgage brokers for skilled recommendation. Nonetheless, intent to work with a dealer has risen, with two-thirds of these surveyed saying they’re more likely to work with a mortgage dealer subsequent time they want a mortgage.
Dealer use stays particularly robust amongst first-time patrons, with 36% saying they used a dealer. Equally, 35% of those that purchased previously two years are extra inclined to have used a dealer, as are these between the ages of 18-54 (34%).
Regionally, Alberta leads the pack with a 37% dealer share, adopted by Ontario at 33%.
Amongst those that’ve already labored with a dealer, 81% say they’d do it once more. And in line with the survey, dealer purchasers persistently really feel extra assured of their mortgage choices than those that go on to a financial institution.
Renovation plans, rental earnings now core to homeownership technique
Along with monetary assist from household, extra Canadians are leaning on different methods to afford homeownership, together with renovations and rental earnings.
Over 70% of householders surveyed stated they’ve just lately renovated or plan to, whereas a rising share of patrons say they depend on rental earnings to assist cowl their mortgage funds.
Youthful debtors have been additionally extra more likely to make further funds or enhance fee frequency, significantly these with variable-rate mortgages.
The survey additionally discovered broad help for brand spanking new earnings verification instruments to strengthen belief within the system. A majority of Canadians again safer methods to confirm earnings instantly with the Canada Income Company, a coverage MPC has been pushing for.
“Canadians are involved about mortgage fraud,” van den Berg stated. “It artificially inflates dwelling costs and makes it tougher for trustworthy, hardworking Canadians to compete. We’ve urged the federal government to allow earnings verification in a manner that’s secure, quick, and honest.”
The federal authorities dedicated to delivering such a instrument in its 2024 Fall Financial Assertion, noting that the CRA had begun working with mortgage lenders and different monetary sector companions to design and implement it. Whereas rollout was initially anticipated to start in early 2025, no launch date has been confirmed.
A deep-dive into the survey outcomes…
The mortgage market
Mortgage sorts
- 70% of mortgage holders had fixed-rate mortgages in 2024 (unchanged from 2023)
- 75% stated their price has at all times been fastened
- 10% stated they locked in from a variable price inside the previous 12 months
- 22% of mortgages have variable or adjustable charges (-1 pt. from 2023)
- 16% of variable-rate debtors stated they switched from a hard and fast price inside the previous 12 months.
- 4% of debtors have a mixture of fastened and variable, often called “hybrid” mortgages (+1 pt.)
Penalties
- 10% of respondents stated they paid a penalty when breaking their most up-to-date mortgage (unchanged from final 12 months)
- $6,732: The typical penalty paid in 2024 (+$3,221 from the prior 12 months)
Renewals
- 74% of mortgage holders anticipate to resume their mortgage inside the subsequent three years (up from 70% in 2023)
- 29% anticipate to resume inside the subsequent this 12 months
- 21% of these dealing with renewal who’ve excessive anxiousness (9 or 10 out of 10) about renewing at a better price (down from 22% in 2023 and 23% in 2022)
- 59% of these dealing with renewal nonetheless face anxiousness (6-10 out of 10) about renewing at a better rate of interest
HELOCs
- 43% of present debtors say they’ve entry to a House Fairness Line of Credit score (HELOC)
- 51% of debtors with entry to a HELOC have by no means borrowed towards it
- $127,626: The typical quantity of dwelling fairness the typical borrower has entry to by way of their HELOC
- $26,740: The typical quantity borrowed from their HELOC
Commonest makes use of for HELOC funds embrace:
- 45%: For dwelling renovation (+11 pts. from prior 12 months)
- 35%: For debt consolidation and compensation (+2 pts.)
- 30%: To make a purchase order, akin to automotive or schooling (+7 pts.)
- 18%: For investments (+3 pts.)
- 11%: To reward or lend to members of the family (+3 pts.)
Actions to speed up mortgage compensation
- 40% of mortgage holders have taken motion to shorten their amortization intervals (+ pts.)
- 16% elevated the quantity of their fee (+1 pt.)
- $1,040: The typical enhance in month-to-month fee
- 21% made no less than one lump-sum fee (+4 pts.)
- $23,666: The typical lump-sum mortgage fee made
- 10% elevated their fee frequency (+2 pts.)
- 16% elevated the quantity of their fee (+1 pt.)
Use of mortgage professionals and lenders
Dealer share
- 32% of mortgage debtors used the companies of a mortgage dealer after they obtained their mortgage
- 36% of first-time patrons used a mortgage dealer
- 35% of those that bought inside the final two years
- 37% of these in Alberta
- 34% of these between the ages of 18 and 34
- 34% of these between the ages of 35 and 54
- 81% of mortgage dealer purchasers say they’re seemingly to make use of a dealer once more (vs. simply 58% of financial institution clients)
Dealer intent is on the rise
- 81% of dealer purchasers say they’re seemingly to make use of a dealer once more
- 68%: Amongst all debtors, the proportion who stated they’re seemingly to make use of a dealer for his or her subsequent mortgage (+6 pts.)
- 19% are very seemingly (+1 pts)
Present lender sort
- 53%: One among Canada’s massive banks
- 25%: Non-bank lender or small financial institution lender
- 13%: Mortgage Funding Company (MIC)
- 4%: Credit score union, life insurance coverage or belief firm
- 4%: Personal lender
Shopper sentiment
- 44% of Canadians assume now is an effective time to purchase of their neighborhood (+15 pts. from 2023)
- 35% of non-owners who say they’ll by no means be capable of purchase a house (-16 pts. from 2023)
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client survey Editor’s decide mortgage client survey mortgage professionals canada mpc semi-annual state of the housing market survey state of the mortgage market
Final modified: July 17, 2025
