Canadians Can't Stop Using Their Homes as Piggy Banks
- Loans secured by residential property grow fastest since 2012
- Central bank has warned about risks of tapping helocs
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Canadians are borrowing against their houses at the fastest pace in more than five years, as home equity lines of credit emerge as a preferred means of accessing funds.
Balances of non-mortgage loans to individuals for non-business purposes, secured by residential properties, a category that includes helocs, jumped 7.2 percent in December from a year earlier, the fastest annual growth since 2012, reaching a record C$230 billion ($184 billion), according to data published Thursday on the website of the Office of the Superintendent of Financial Institutions.