Up to 80% of variable-rate borrowers have hit their trigger rate: National Bank

Nearly 8 in 10 fixed-payment variable-rate borrowers have hit their trigger rate, according to data from National Bank of Canada.

The finding was released in a report last week written by National Bank Financial economists Stefane Marion and Daren King. They estimated that between 73% and 80% of variable-rate mortgage holders with fixed payments have hit their trigger rate, depending on when the mortgage was originated between 2020 and 2022.

The trigger rate is the point where the borrower’s monthly payment is no longer covering rising interest costs, and generally results in the borrower needing to increase their payment.

Click HERE to on. . .

Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.