According to MNP's Consumer Debt Sentiment Survey, almost half of Canadian homeowners reported that they were concerned about their ability to make their mortgage payments when interest rates increase.
This is a sign that too many Canadians are over-indebted and living paycheque to paycheque, with little room to adjust to financial changes.
However, Canadian homeowners have the ability to improve their financial situation by controlling expenses, paying off consumer debt and creating emergency savings.
Lana Gilbertson, Licensed Insolvency Trustee, explains the steps Canadian homeowners can take to ease the financial pressure.
BC's Finance Minister released its first fiscal update on this year's budget and forecasts that property transfer tax revenue will surpass all other revenue for the Province of BC. But real estate sales have been declining after introduction of the foreign buyer's tax, and all signs point to a further cooling of the market.
What will a real estate slowdown mean for BC consumers? A slowdown of business activity, stagnant wages and a scarcity of jobs. These are risks that British Columbian's need to be aware of.
Fortunately there are simple steps consumers can take to be more financially prepared: 1) control spending; 2) address debt problems; and 3) create a cash reserve.