The dream never dies, but it’s become more fleeting for many Canadians when it comes to homeownership.
Seventy-three per cent of renters surveyed by Canada Life said it’s going to be awhile before they can buy; 17 per cent don’t think it will ever happen for them.
The survey finds almost half of Canadians who rent will continue to do so indefinitely and aren’t sure when they’ll be able to get into the housing market.
A lack of cash, fear, and uncertainty get in the way.
“Canadians are at an investments’ crossroads,” says Paul Orlander, Executive Vice-President, Individual Customer, Canada Life. “While buying a home can help you build equity that could be valuable to one’s long-term financial plans, renting may provide more peace of mind around affordability, flexibility and lower housing costs which could leave more for savings and investments each month.”
Key highlights from the study include:
- Almost three-quarters (73 per cent) say it’s a bad time to buy a house, with renters citing their top three reasons for not getting into the market as high real estate prices, lack of money for a down payment and not having enough income to qualify for a mortgage;
- While 79 per cent agree homeownership is a good investment, 64 per cent say they think new homeowners won’t be able to break into the market unless they have financial support from others, like a family member;
- Canadians aged 25-29 are two times more likely never to purchase a home or continue renting indefinitely compared to those aged 30-49; and
Current homeowners are also feeling the pressure, with 24 per cent saying they feel house poor, the survey found.
banner image: The Canadian Press