How Does the Growth of Our Aging Population Affect Canadians?

Katherine Martin • July 21, 2017

According to the latest Statistics Canada’s 2016 census data released last month, Canadian seniors now outnumber children for the first time, with 5.9 million Canadian seniors compared to 5.8 million Canadians 14 years of age or younger. The number of Canadian seniors is expected to continue to grow because of the gains in life expectancy.
As the only financial institution in Canada working exclusively with seniors, we often conduct research studies to get direct insight into the behaviour of the Canadian aging population. HomEquity Bank’s latest research study (May 2017), The Home Stretch: A review of debt and home ownership among Canadian seniors indicated that 91% of Canadians over 65 prefer staying in their home throughout retirement, however 78% have savings and investments, and only 40% of those have less than $100,000 set aside.

What does this mean for aging Canadians?

Canadian seniors are getting more comfortable with their debt, with many financing their lifestyle with debt. In this study by HomEquity Bank using Equifax data, it shows that among Canadian seniors, 15% still carry a mortgage, 30% carry unsecured lines of credit (LOC) and 10% have a home equity line of credit (HELOC). The total debt average for seniors is $29,973, which translates to $15,493 per Canadian senior.
On a geographical basis, British Columbia has the highest debt balance for seniors with an average of $41,054 per person compared to the national average of $29,973. This is due primarily to a higher mortgage debt. On average mortgage debt per senior mortgage holder in B.C. is $128,338 compared with the national average of $95,737, with 17.7% of the senior population in B.C. still holding a mortgage.
Moreover, Canadian seniors now rely heavily on government and other retirement benefits during their retirement.
– 77% rely on the Canada Pension Plan as their primary expected source of income;
– 73% rely on Old Age Security; whereas only
– 57% are drawing upon their RRSPs;
– 48% have a work pension; and
– 48% have savings

How can a CHIP Reverse Mortgage help?

The growing senior demographic in Canada prefers to age in place in the comfort of their home, despite their limited savings for retirement. The CHIP Reverse Mortgage from HomEquity Bank, provides a way for Canadians aged 55+ to unlock the value of equity in their home. Seniors can consolidate their existing debt and finance their retirement while continually protecting a portion of that equity, and they can help relieve the financial burden on their children.
Unlike a loan or conventional mortgage, the CHIP Reverse Mortgage from HomEquity Bank does not require any monthly mortgage payments, not even interest payments, and is only repaid once the homeowner(s) no longer live(s) in the home (when they move, sell or pass away). A reverse mortgage is a great solution that provides access to tax-free cash when Canadians need it the most and best of all, they get to remain in their memory filled homes for the remainder of their lives.

To read the complete HomEquity Bank and Equifax study on Debt and Homeownership from May 2017, click here.

For more info, contact your Dominion Lending Centres mortgage specialist.

 

This article was written by HomEquity Bank – Senior Vice President, Marketing and Sales Yvonne Ziomecki. It was originally published here on June 6, 2017

Katherine Martin


Origin Mortgages

Phone: 1-604-454-0843
Email: kmartin@planmymortgage.ca
Fax: 1-604-454-0842


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Bank of Canada Rate Announcement Jan 28th, 2026

By Katherine Martin • January 28, 2026
Bank of Canada maintains policy rate at 2¼%. FOR IMMEDIATE RELEASE Media Relations Ottawa, Ontario January 28, 2026 The Bank of Canada today held its target for the overnight rate at 2.25%, with the Bank Rate at 2.5% and the deposit rate at 2.20%. The outlook for the global and Canadian economies is little changed relative to the projection in the October Monetary Policy Report (MPR). However, the outlook is vulnerable to unpredictable US trade policies and geopolitical risks. Economic growth in the United States continues to outpace expectations and is projected to remain solid, driven by AI-related investment and consumer spending. Tariffs are pushing up US inflation, although their effect is expected to fade gradually later this year. In the euro area, growth has been supported by activity in service sectors and will get additional support from fiscal policy. China’s GDP growth is expected to slow gradually, as weakening domestic demand offsets strength in exports. Overall, the Bank expects global growth to average about 3% over the projection horizon. Global financial conditions have remained accommodative overall. Recent weakness in the US dollar has pushed the Canadian dollar above 72 cents, roughly where it had been since the October MPR. Oil prices have been fluctuating in response to geopolitical events and, going forward, are assumed to be slightly below the levels in the October report. US trade restrictions and uncertainty continue to disrupt growth in Canada. After a strong third quarter, GDP growth in the fourth quarter likely stalled. Exports continue to be buffeted by US tariffs, while domestic demand appears to be picking up. Employment has risen in recent months. Still, the unemployment rate remains elevated at 6.8% and relatively few businesses say they plan to hire more workers. Economic growth is projected to be modest in the near term as population growth slows and Canada adjusts to US protectionism. In the projection, consumer spending holds up and business investment strengthens gradually, with fiscal policy providing some support. The Bank projects growth of 1.1% in 2026 and 1.5% in 2027, broadly in line with the October projection. A key source of uncertainty is the upcoming review of the Canada-US-Mexico Agreement. CPI inflation picked up in December to 2.4%, boosted by base-year effects linked to last winter’s GST/HST holiday. Excluding the effect of changes in taxes, inflation has been slowing since September. The Bank’s preferred measures of core inflation have eased from 3% in October to around 2½% in December. Inflation was 2.1% in 2025 and the Bank expects inflation to stay close to the 2% target over the projection period, with trade-related cost pressures offset by excess supply. Monetary policy is focused on keeping inflation close to the 2% target while helping the economy through this period of structural adjustment. Governing Council judges the current policy rate remains appropriate, conditional on the economy evolving broadly in line with the outlook we published today. However, uncertainty is heightened and we are monitoring risks closely. If the outlook changes, we are prepared to respond. The Bank is committed to ensuring that Canadians continue to have confidence in price stability through this period of global upheaval. Information note The next scheduled date for announcing the overnight rate target is March 18, 2026. The Bank’s next MPR will be released on April 29, 2026. Read the January 28th, 2026 Monetary Report

Tips to Pay Off Your Mortgage Early

By Katherine Martin • January 21, 2026
Owning a home feels great—carrying a large mortgage, not so much. The good news? With the right strategies, you can shorten your amortization, save thousands in interest, and become mortgage-free sooner than you think. Here are four proven ways to make it happen: 1. Switch to Accelerated Payments One of the simplest ways to reduce your mortgage faster is by moving from monthly payments to accelerated bi-weekly payments . Instead of 12 monthly payments a year, you’ll make 26 half-payments. That works out to the equivalent of one extra monthly payment each year, shaving years off your mortgage—often without you noticing much difference in your budget. 2. Increase Your Regular Payments Most mortgages allow you to boost your regular payment by 10–25%. Some even let you double up payments occasionally. Every extra dollar goes directly toward your principal, which means less interest and faster progress toward paying off your balance. 3. Make Lump-Sum Payments Depending on your lender, you may be able to make lump-sum payments of 10–25% of your original mortgage balance each year. This option is ideal if you receive a bonus, inheritance, or other windfall. Applying a lump sum directly to your principal immediately reduces the interest charged for the rest of your term. 4. Review Your Mortgage Annually It’s easy to put your mortgage on auto-pilot, but a yearly review keeps you in control. By sitting down with an independent mortgage professional, you can check if refinancing, restructuring, or adjusting terms could save you money. A quick annual review helps ensure your mortgage is always working for you—not against you. The Bottom Line Paying off your mortgage early doesn’t require a massive lifestyle change—it’s about making smart, consistent choices. Whether it’s accelerated payments, lump sums, or regular reviews, every step you take helps reduce your debt faster. If you’d like to explore strategies tailored to your situation—or want a free annual mortgage review—let’s connect. I’d be happy to help you find the fastest path to mortgage freedom.
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