Genworth Canada Releases Results of Homeownership Study
TORONTO, April 8, 2013 /CNW/ - According to a national survey conducted by
Genworth Financial Mortgage Insurance Company Canada (Genworth Canada),
first-time homebuyers are adjusting to the new mortgage requirements and
making informed choices about homeownership.
The annual poll, completed in conjunction with the Canadian Association of
Credit Counselling Services (CACCS), asked 1,514 Canadians questions about
their financial well-being and preparedness. The 2013 survey revealed that
there was a significant rise in the number of recent first-time buyers who say
they put down more than 20% on their homes (56% vs. 36% in the 2012 survey).
In fact, the number of people that said it is getting harder to save for that
down payment is on the decline (50% vs. 55% in 2012) with more first-time
buyers finding it easier to save money (9%, up from 5% in 2012). In addition,
only 17 per cent of respondents thought it was a good time to buy, suggesting
that low interest rates alone are not enough to entice Canadians to purchase a
"Canadians entering the real estate market are making financially astute
choices by saving longer and putting down larger deposits on their homes,"
said Brian Hurley, Chairman and CEO of Genworth Canada. "They continue to
value homeownership and are being responsible about the way they enter into
mortgage debt. This trend bodes well for a soft-landing of the housing
Among first-time homebuyers, the proportion saving for less than two years has
decreased by nearly 30%, while the proportion saving for more than five years
rose by more than 50%. This appears to indicate that fewer first-time
homebuyers feel a sense of urgency about entering the real estate market,
which is consistent with the fact that fewer expect house prices to rise in
the next twelve months.
"There is still a strong need for Canadians to have a better grasp on their
financial situation," said Henrietta Ross, CEO of CACCS. "More than 40% don't
think their credit rating reflects them or don't know what their credit rating
is. Counselling could help ensure they are financially prepared to enter and
maintain substantial investments, such as homeownership."
The interviews were conducted by Environics Research Group using an online
methodology during the week of February 11-19, 2013.
David MacDonald, Vice President at Environics Research Group, will be
presenting the results of the survey at Genworth Canada's Homeownership
Education Week seminar for mortgage industry professionals April 9.
MacDonald will be joined by Henrietta Ross, CEO of CACCS, Stuart Levings, COO
of Genworth Canada, and Phil Soper of Royal LePage in a panel discussion
following the presentation of the survey results. To register for the live
webcast of the seminar or find out more about Homeownership Education Week
About Genworth Canada
Genworth MI Canada Inc. (TSX: MIC) through its subsidiary, Genworth Financial
Mortgage Insurance Company Canada (Genworth Canada), is the largest private
residential mortgage insurer in Canada. The Company provides mortgage
default insurance to Canadian residential mortgage lenders, making
homeownership more accessible to first-time homebuyers. Genworth Canada
differentiates itself through superior customer service, a robust risk
management framework and innovative processing technology. For almost two
decades, Genworth Canada has supported the housing market by providing thought
leadership and a focus on the safety and soundness of the mortgage finance
system. As at December 31, 2012, Genworth Canada had $5.7 billion total
assets and $3.0 billion shareholders' equity. Find out more at www.genworth.ca.
About Canadian Association of Credit Counselling Services:
The Canadian Association of Credit Counselling Services (CACCS) represents a
Canada-wide network of accredited, not-for-profit agencies and affiliates
offering preventative education and confidential services to clients
experiencing financial difficulties. With a focus on financial counselling
education, accreditation of agencies and certification of Financial
Counsellors, CACCS is also committed to national research and policy
initiatives concerning personal finance and industry advocacy.
To find a certified Credit Counsellor and qualified Financial Coach at an
accredited Member Agency, call the CACCS central referral service at
1-800-263-0260 or visit www.caccs.ca for more information.
For additional information or to arrange interviews, please contact:
Lisa Azzuolo Genworth Canada 905.287.5520 orLisa.Azzuolo@genworth.com
SOURCE: Genworth MI Canada
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CO: Genworth Canada
-0- Apr/08/2013 10:00 GMT
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