Canadians Continue to grow rich despite their debt load

Thus, the firm Environics Analytics, the Canadian net worth of households at the end of 2012 had exceeded the $ 400,000 mark for the first time, reaching the exact amount of $ 400,151. This increase was estimated at 5.8% compared to last year.

According to this recency, it is clear that Canadians are more wealthy as they continue to be among the citizens with the most important debt ratio.

Debt ratio


The study says, on the other hand, that the value of liquid assets has risen by around 5.4%, so that they have real estate assets, on their side, of 5.1%. the same time the fact that Canadian household debt rose by 3.3%.

Canadians are More Rich That Americans


This year again, the net worth of Canadian households is higher than that of American households for the sixth year in a row. In the United States, this value is only US $ 381,086. At this time, ie at the end of 2012, it should also be noted that the US dollar and the Canadian dollar were at approximately the same level. The US dollar has since appreciated against the Canadian dollar. Of course, the net worth of US households today stands at US $ 391,871, according to the current exchange rate.

That said, the gap between the two countries is starting to decrease from the end of 2011, which justifies, in a way, the fact that Canadian households continue to run into debt at a time when US households have managed to lower their debt ratio by 2.4%.

For example, and for the previous year alone, Canadian household debt exceeded 160 per cent of disposable income, which is one of the highest levels in the world.

Experts have found, however, that despite their indebtedness, Canadians have tangible assets. They point out, as well, that the proportion of real estate property owners has never been higher and that the value of these real estate properties has not stopped increasing in many parts of the country, I clarified the weakness of the economy.