Canada’s Housing Agency Targets Shadow Lenders as Debt Ratios Rise
Homes under construction are seen in this aerial photograph taken above Brampton, Ontario, Canada, on Saturday, Sept. 9, 2017.
Photographer: James MacDonald/BloombergThis article is for subscribers only.
Canada’s housing agency is seeking more data on home loans from shadow lenders, amid concern rising levels of debt aren’t being adequately tracked and may increase the risk of financial instability.
Canada Mortgage & Housing Corp. will seek data from participants in the securitization program on their uninsured conventional mortgage lending, said Evan Siddall, chief executive officer at the Ottawa-based agency. CMHC needs to “know what risk we are exposed to," so will use the reported information to decide if changes are needed to their rules, he said.