The majority of Canadian homeowners believe they are “smart spenders”, according to a new report commissioned by BMO Bank of Montreal.

Respondents also say they want the flexibility to use credit in a responsible and timely manner so they don’t miss out responding to challenges and opportunities.

The majority of homeowners feel they are cautious with their spending habits and a total of 26% describe themselves as “very disciplined”.

When asked to define “smart spending” the majority surveyed describe it “as spending within their budget and always getting the best bang for their buck”.

From a personal behaviour perspective, 84% of “smart spenders” describe themselves as “bargain hunters” or looking for value, while more than 80% say they do their research when making a major purchase.

“Homeowners’ motivation to capitalize on long-term personal growth opportunities rather than impulse purchases, such as an expensive car or an exotic trip, is a clear demonstration of their ‘smart spending’ credentials,” says Lynne Kilpatrick, senior vp, BMO Bank of Montreal. “More than 41% say they would use additional credit for home renovations and 34% would invest in their retirement savings.”

The survey shows three-quarters of homeowners have debt over and above their mortgage, with the average debt load at $29,400. Approximately 80% say they would be very or somewhat confident managing large amounts of debt. This level of confidence can be partly attributed to the opinion that if used wisely, money can create money. However, half of respondents say they have missed out on past opportunities because of a lack of funds.

The Harris/Decima online poll was conducted from February 15 to 26 and is based on a sample of 1,875 homeowners, aged 35-65 with at least 20% home equity.