Immigrant and Mortgage Delinquency Rate in Canada

This article studies the effect that immigrant has on mortgage delinquency rate in Canadianhousing market. We refer the paper ‘Immigrant and mortgage delinquency’ made by Lin, Liu and Xie(2016), where authors state that the immigrant flows could drive an increase in mortgagedelinquency rate in the U.S. We try to replicate their method and use data sets in Canada toexamine whether their conclusion still hold in Canadian housing market. Furthermore, like thepaper we referred, we also subgroup the 2016 immigrant data in terms of age when immigratingto Canada and their origins to identify which group has the most significant impact on mortgagedelinquency rate. After all analysis, we find that unlike the case in the U.S., immigrant flows inCanada has a negative effect on mortgage delinquency rate in the housing market, the higher theimmigrant concentration, the lower the delinquency rate in that area.