Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials HomeReal EstateMortgagesCanada's mortgage debt hits record high as delinquency rate creeps upDelinquencies jump 45% or more in Toronto, Barrie and WindsorLast updated 2 days ago You can save this article by registering for free here. Or sign-in if you have an account.Canada’s total residential mortgage debt surpassed $2.4 trillion in January 2026. Photo by Azin Ghaffari/Postmedia NewsCanada’s total residential mortgage debt surpassed $2.4 trillion in January 2026, up 4.8 per cent year over year, “showing early but contained signs of strain,” Canada Mortgage and Housing Corporation (CMHC) said Tuesday.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorThe new report from CMHC revealed rising unemployment, weakening household finances and higher renewal costs are the leading causes of vulnerability across the mortgage market. The corporation described the overall delinquency rate as remaining historically low, but said current conditions “reflect a tension between rising financial stress and shifting incentives.”The national 90-day or more delinquency rate increased to 0.24 per cent in the fourth quarter of 2025 from 0.21 per cent a year earlier, creeping up from the pandemic low recorded in the first quarter of 2021 — the lowest rate on record.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againAccording to CMHC, the increase was driven by “unemployment trends and overall economic conditions,” as well as higher interest rates at the time of mortgage renewals and elevated debt in more expensive Canadian cities.In March, national unemployment stood at 6.7 per cent, while the debt-to-disposable-income ratio rose to 173.3 per cent in the final quarter of 2025. “This means that, on average, households owed $1.73 in debt for every dollar of disposable income,” the report said.Delinquencies were particularly concentrated in Ontario and were driven by certain regions.Overall, the province’s mortgage delinquencies rose 35 per cent year over year to 0.27 per cent. Toronto, Barrie and Windsor all recorded increases of 45 per cent or more over the same time period.Canadians are also changing how they borrow.CMHC found that variable-rate mortgages were the most popular option among borrowers in February, accounting for 42 per cent of originated mortgages at chartered banks.The report highlighted borrowers’ reluctance to commit to a traditional five-year mortgage, explained in part by a “heightened uncertainty amid ongoing macroeconomic volatility.”At the same time, alternative lenders, or mortgage investment entities, that lend to borrowers who may not qualify for traditional financing were the fastest growing category of lender. It also had the highest 90-plus-day delinquency rate, climbing 1.96 per cent in the third quarter of 2025.CMHC said “renewal ‘cliff’ worries” are, however, beginning to dissipate, and the wave of mortgage renewals that peaked in 2025 will begin to slow in 2026 and into 2027.The Big Six banks reported the highest level of outstanding mortgages compared to other lenders, increasing 0.6 per cent between the third quarter of 2024 and the same quarter of 2025.While outstanding mortgages at the big banks increased, their share of originated mortgages decreased 6.9 per cent over the same period. Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.