Robert McLister·Mortgage Industry Reports·September 30, 2010CMHC’s 2010 Canadian Housing Observer CMHC just released the 2010 version of its flagship publication, the Canadian Housing Observer. Here’s a rundown of its mortgage-related data (our comments in italics)… ************* Housing’s Economic Impact Housing-related economic activity was $307 billion last year—about 1/5 of Canada’s GDP Real estate comprises over 40% of Canadian household assets Mortgage Debt Mortgage payments were 33% of average disposable income in Q4 2009, not far from the 31% historical averageThis ratio changes when rates and home prices go up and down. Home Equity The average Canadian homeowner has 74% equity versus just 43% for U.S. homeowners 60% of Canadian homeowners have a mortgage. 80% of mortgagors have at least 20% equity 9% of mortgagors have less than 10% equity 18% of homeowners withdrew equity in the 12 months leading up to Oct. 2009, down from 22% in the prior year (Click to enlarge) Mortgage Brokers Mortgage brokers originated 38% of new mortgages in 2009 Recent insider estimates suggest broker share is in the 20-25% range today as banks grow their sales forces and the rate wars intensify. Mortgage Funding 60% of mortgages are funded through deposits 32% are funded through mortgage-backed securities CMHC says: “The majority of the securitization funding done by Canadian banks is through government-backed programs where mortgage loan insurance is mandatory.” 8% of mortgages are funded via other means, including covered bonds The Canada Mortgage Bond (CMB) market grew 7.8% in 2009 to $175.6 billion Miscellaneous Allocation of outstanding mortgage credit: Chartered Banks: 48% NHA Mortgage-backed Securities: 30% Credit Unions: 13% Other (Finance companies, trust co., life insurers, etc.): 9% Mortgages by type of dwelling Single-detached properties: 70.7% Multi-family dwellings: 29.3% Source: CMHC Like news like this?Join our CMT Updates list and get the latest news as it happens. Unsubscribe anytime. SUBSCRIBE! Thank you for subscribing. One more step: Please confirm your subscription via the email sent to you.