New numbers show more homeowners appear to have trouble making their mortgage payments in Saskatchewan, while the new housing market has shown signs of stability.
A report from the province offers stats from the Provincial Mediation Board, which show the number of Notices of Mortgage Foreclosures have jumped from 772 in 2014-2015 to 1,409 in 2018-2019. The numbers include properties involving vendor and third party financing.
The statistics are in the annual report for the Ministry of Corrections and Policing and the Ministry of Justice and Attorney General. They are tracked by the Provincial Mediation Board which receives a Notice of Intention to Foreclose of each non-commercial foreclosure action.
The notices don’t necessarily result in final foreclosure, and the mortgager can discuss potential options that may allow them to deal with arrears and avoid court proceedings.
Meanwhile, the Saskatoon Region Home Builders Association (SRHBA) says the mortgage stress test, low interest rates and decreasing prices is benefiting buyers. And there are signs of stability.
The organization’s second quarter New Housing Market Analysis report says inventory of new homes over the last year has declined 18 per cent, but still remains high compared to historic levels. It says a nine per cent growth in total sales year-over-year shows demand is increasing.
“The new housing market continues to experience pressure from government policies and with the average price of a home continuing to decline in Saskatoon, it adds yet another layer of pressure onto entrepreneurs in the development and residential construction sector.” Chris Guerette, CEO, Saskatoon & Region Home Builders’ Association says in the report.
“This is an excellent time to invest in a new home.”
