FOMO prompting risky borrowing by first-time buyers

A new report suggests that young, first-time buyers are taking on large mortgages in Canada’s most expensive cities due to FOMO – fear of missing out. The study for the CD Howe Institute was undertaken by economists Paul Jacobson and Craig Alexander. They found that household debt which has been driven by larger mortgages is generally well-managed but that there is concern that millennials are stretching their household budgets fearing that if they don’t buy a home now, they will never afford to. Mr Alexander calls for measures such as higher minimum downpayments for mortgage insurance and tougher ‘stress tests’ for borrowers’ budgets.

Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate

Market update:

Investment Hot Spots:
Portland, Ashern, Humboldt, West Elgin, Whitney

Get help choosing the best mortgage rate

Just fill in a few details, and we'll arrange for a Mortgage adviser to help you find the best mortgage for your needs

  • How soon do you want a mortgage?
  • Name
  • Where do you live?
  • Phone number
  • E-mail address


Is a T.O foreign sales tax a good idea?