The number of Canadian homeowners abandoning their homes due to debt and high interest rates has surged

Due to debt and rising interest rates, more and more Quebecers are unable to afford their homes, forcing them to voluntarily hand over their housing keys.

According to JLR Land Decision Company in Quebec, the number of mortgage loan waivers in Quebec increased by 27% in the first six months of 2024 compared to the same period last year. This refers to the situation where the owner of the mortgaged property voluntarily hands over the property to the creditor.

Meanwhile, Royal LePage recently stated in a research report that the number of bankruptcies in Quebec has increased by 21.1% in the past 12 months, the second highest rate after Ontario. Marc Lefran ç ois, a certified real estate agent from Royal LePage Tendance, said, "The continuous rise in interest rates and the continuous increase in the cost of living undoubtedly exacerbate the economic burden on families

He added, "With the rise in borrowing costs and prices of basic necessities, household savings that peaked during the pandemic have evaporated completely

The number of financial difficulties has surged

In addition, according to local media analysis by Le Devoir, the number of people experiencing financial difficulties recorded by the Quebec Land Registry (Registre foncier du Qu é bec) has surged by 39% over the past year compared to 2022.

These financial difficulties include failure to pay mortgage loans or property taxes, bankruptcy, or seizures.

Le Devoir media pointed out that the number of property seizures increased by nearly 18% last year, reaching 345 cases, which is higher than in 2019 before the outbreak of the epidemic.

ref: https://www.journaldemontreal.com/2024/07/17/les-saisies-immobilieres-bondissent