“We have exhausted all our resources and are starting from scratch.” Achieving the amazing goal of paying off their mortgage early has left them in a financial crunch: they have a lot of priorities and little cash. Married six years, they were able to take their first-ever vacation this past summer after the mortgage was paid: they rented a cottage for a week in Muskoka, Ont. Update: as of March 2020, Mortgage and Consumer Credit Trends data tables for all Census Metropolitan Areas (CMAs) are temporarily unavailable. “Saving for both the kids' education and for retirement is a long-term goal that may have to wait until their income increases.”, Annual IncomeSalary and profit sharing: $54,000, Yearly ExpensesProperty tax $3,000Home insurance $300Auto maintenance $800Gas $2,500Auto insurance $1,500Utilities $2,500Cable $500Groceries $6,500Restaurants/entertainment $1,500Clothing $2,500Household goods $700Home improvements $2,000Gifts $2,500Income tax $20,000Pension and deductions $3,000Union dues $600Charitable donations $100Savings $2,000Children's activities $500Vacation $1,000. If the couple makes the minimum payments of $1,779 per month, they would be mortgage free at 55 years of age. For many Americans, a debt-free retirement is a dream that feels very far away. Being mortgage-free is nice, but it’s nowhere near as important as reaching financial independence, which can happen with or without a mortgage. Cha-ching, cha-ching. Average age: 38 Oldest age: 89 Youngest age: 19. Is she willing to go back into the workforce earlier â€“ even for one day a week? Amortization lengths have shrunk since Ottawa started dropping the maximum length. Here are some of the possibilities … The truth is, paying off a $100,000 mortgage in a short period of time is extremely difficult without both a sizable and stable income, and relatively few expenses. “For the smaller items on their wish list, they're going to have to free up money from other discretionary funds. Average Canadian mortgage nears $200K, up 5% in a year . Want to take a more focused look at the average debt by age? “I'm not sure what I want to do yet but, whatever it is, I know I will have to go to school for some sort of training,” she says. Choose an accelerated payment schedule This offer combines a competitive mortgage rate on a 5-year fixed or variable mortgage with regular cash back payments made to a CIBC savings account to help Canadians build a regular savings plan while paying down their mortgage. “Joan and Tom have done an amazing job of not spending more than what's coming in, which is the only way to accumulate wealth, after all. Save for the children's education. Fairchild is among the 44 per cent of Canadian homeowners age 45 and over who have paid off their mortgage, according to the “2010 TD Canada Trust Boomer Buyers Report.” Since the average mortgage payment in Canada is about $1,500, that’s a big chunk of change these folks are able to pocket every month. To implement the strategies above, 78 per cent of Canadians who have already paid off their mortgage say they also made a number of sacrifices along the way. If this isn't an option, then the couple will have to choose between a vacation and a new walkway. This might work for the next few years. “Our net average household income over the last three years while we paid this debt was $111,649,” says Trevor, who works for the Canadian government. 5. The Average Debt for Those Under 35. This couple is doing so many things right that it's hard to find areas where Joan and Tom can improve,” says Rosemary MacDonald, a credit counsellor with Family Services of Hamilton-Wentworth in Ontario. More importantly, perhaps, Joan wants to “start living.”, She and Tom have two children â€“ Annie, 5, and Ryan, 3 â€“ a home in Mississauga, Ont., and two cars. Size of the Average Canadian Mortgage. Take a trip to Europe or the Caribbean with the kids.8. The margin of error for the subset of 278 Canadians who have paid-off their mortgage is +/-5.9%, 19 times out of 20, while the margin of error while for the subset of 370 Canadians who currently hold a mortgage or are planning to purchase a home with a mortgage is +/-5.1%, 19 times out of 20. That's not a lot. Sean Hamilton, Director, Media Relations: (416) 304-8456 or [email protected]. Joan and Tom have very specific goals, but they're not quite sure how to achieve them, so we asked two financial advisers who deal with these situations every day for their expert advice on how to turn their wish list into reality. Taking broader financial needs into account, CIBC has developed mortgage offers aimed at helping Canadians reach their financial goals, including paying down their mortgage faster. Joan and Tom might prefer to spend less on gifts or holidays, for example, and more on a new sofa. Canada ... Age Demographics for Ontario Mortgage Inquiries. While Joan plans to return to the workforce within the next three years, she doesn't want to go back to nursing. Not only am I a single, first-time homebuyer, I also live in the second most expensive housing market in Canada, Toronto. However, becoming mortgage-free faster isn't easy. For example, using your tax refund for a lump sum payment in the Spring or increasing your mortgage payments by a modest amount at the start of each year if you receive a salary increase can help you accelerate your mortgage repayment while minimizing the impact on your overall cash flow. A Mortgage Professionals Canada report finds that most recent homebuyers expect to repay their mortgages in 19.2 years. In addition, Kevin and Stella have reviewed their monthly budget and have decided to cut back on some of their restaurant and entertainment costs. These data were gathered in a sample of 1001 Canadians between March 29, 2012 and April 2, 2012. 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