A majority of first-time homebuyers say they maxed out their budgets when they bought their homes, according to a survey released today by the Canada Mortgage and Housing Corp.
The federal housing agency says its annual mortgage consumer study found that 85% of first-time buyers reported spending the most they could afford on their property.
Despite this, 76% say they were still confident that they would still be able to make their monthly mortgage payments.
CMHC says housing affordability continues to be the most important factor among first-time homebuyers, when compared to other factors such as neighbourhood, proximity to work and the condition of a home.
More than half of those concerned say they worried that they paid too much for their home, while one-third say they worry about rising interest rates and qualifying for a mortgage.
The online survey, which was conducted in April, polled more than 4,000 Canadians who became mortgage consumers in the last year.