Housing affordability squeeze tightens for Canadian mortgage holders
Drew Donaldson, Mortgage Broker and Principal at Donaldson Capital, says higher bond yields are creating pressure on mortgage rates, but he still expects a strong finish to the year for the housing market.https://t.co/q5VXAziOZB
— Canadian Mortgage Professional Magazine (@CMPmagazine) September 17, 2026
First-time buyers face steeper odds
The 2024 survey documents a sharp deterioration among recent first-time homebuyers (FTHBs). Some 10.6% of Canadian households — approximately 1.74 million — purchased their first home between 2019 and 2023, during a period of record-low borrowing costs.
By 2024, 34.1% of that cohort reported financial difficulties from higher mortgage payments, more than double the 16.4% recorded among FTHBs in 2018.
For brokers in Canada’s most expensive markets, the challenge is acute. Dustan Woodhouse of Be The Better Broker, speaking to CMP in April about the good and bad news facing first-time homebuyers in Canada’s 2026 housing market, described a profession increasingly forced to turn hopeful buyers away.
“In the GTA and the GVA, that’s become very compromised. It’s very, very difficult. You’re saying no to many people who come through the door now, even with prices falling as they have,” he said.
Dissatisfaction among this group climbed from 13.4% in 2018 to 33.1% in 2024. Discussion of the government’s new amortization rules and their potential impact on housing affordability continues to define what support is available for incoming buyers.
