This article follows my earlier article about Toronto’s real-estate bubble. I did some surfing on the web, and the Canadian Bankers Association says the situation is ‘aight’ but that goes for all of Canada. And the Manufacturer’s Association says things will be brighter, especially starting in the West like British Columbia, where 105,000 full-time jobs were created, toward Saskatchewan. Yet a little report at the University of Toronto economics department cites a section of a bi-annual government report which notes some households are 300% (or more) in debt above their ‘take home pay’. Putting all these reports together it goes like this to me:
- 300% in debt above their ‘take home pay’
- 71% of that is a mortgage
- it means our mortgage debt is 3/4 of our total debt load that is 300% over our ‘take home pay’
- If we ditch the mortgage we shrink our debt to our ‘take home pay’ (or under) but right now we’re ‘way over’ that mark.
- They also say Ontario has the lowest percentage of mortgages in arrears of 3 months or more, yet of 4 million Canadian mortgages, almost 50% is in Ontario, so it might work out that Ontarians in arrears number the same as other provincial residents.