Canadians are saving at a rate not seen in decades.
Statistics Canada reports the household savings rate jumped to 6.9% in the first quarter of 2024, the highest level since 1996 (excluding the pandemic).
What’s driving this shift? Economists point to two primary factors. On the one hand, wage growth is outpacing inflation, allowing households to enjoy a bit more financial freedom.
On the other hand, many people are being cautious as they brace for potential economic headwinds. In fact, a recent survey found that 64% of respondents adopted a “savings mindset” this summer, prioritising savings over summer fun.
For property managers, all this could mean tenants are tightening their belts and reassessing their budgets to ensure they can consistently pay their rent (and other bills) in full and on time. This trend is worth monitoring, as it could have a direct impact on your business.
To further reduce the risk of missed or late payments, property managers can use PayProp to track rent payments in real time. PayProp lets you see payments as they’re processed and automatically sends receipts or reminders if a payment is late, making it easier to communicate important payment details to tenants.
More rent payment headlines
New program helps Ontarians integrate past rental payments into their credit score – INsauga
Government announces new action to make rent & groceries more affordable – Department of Finance
Ontario sets 2025 rent increase guideline – PayProp blog
