Young Canadians want to buy but feel challenged

By Steve Randall

Canadian millennials overwhelmingly believe that owning their own home is an important milestone (84%) but many feel challenged by the cost and housing policies.

A survey from Zoocasa asked 1,431 Canadians nationwide and found that 30% of respondents feel that buying a home is more stressful than saving for retirement.

And saving for a downpayment is a real struggle for many with 38% of those who said they plan to buy a home in the near future having saved just $5,000 towards their down payment.

Saving is not the biggest challenge though, with 42% of respondents citing rising home prices as the top obstacle for purchasing a property. However, this was down from the 54% in a similar survey in 2017.

Interest rates, mortgage rules had limited impact
Interest rates did not put off those who bought a home in the last 12 months, 56% said the increases had not affected their purchase timeline.

Even the OSFI mortgage stress test which was introduced at the start of 2018 has not dampened the will of consumers to buy a home. Four in ten said it will have no impact on their intention to buy.

Just 5% said that foreign buyers taxes have made a difference to home affordability, but 36% support taxes on short-term rentals.

With federal cannabis legislation expected, and CREA calling for rules on home-growing, 47% of respondents said they would be less keen to buy a property where legal amounts of pot had been grown.

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