How do Canadians really feel about renting?
The Canadian dream of home ownership, with the stability and rooted-ness that it affords, appears more and more out of reach for many, especially in the major urban centres where most of us live.
Homeownership just doesn’t seem realistic for most, especially when we glance at the Toronto real estate listings, which reached an average selling price of $817, 642, at last check in March 2018, according to the Toronto Real Estate Board.
Renting, whether its Toronto houses, Vancouver condos, or Montreal walk-ups, is now the de-facto way many of us experience city life..
Homeownership steadily increased from 1991 to 2006, but has seen almost no growth since 2006, according to Statistics Canada. Over 30 per cent of the 14.1 million Canadian households rent, and millennials at 30 are far less likely to own a home than boomers did at 30 years old.
It turns out, the likely reason is not because Canadians prefer the renting lifestyle, but simply because they can’t afford a home.
Zoocasa surveyed renters, on their aspirations, obstacles and obstacles and found in its annual Housing Trends Report 2018 that while the vast majority of millennials, 84 per cent, still aspire to own a home, it’s likely a long way off..
Only 8 per cent of millennials are renting because they prefer it, while 33 per cent are renting while they save for a down payment, 29 per cent because renting is cheaper and 26 per cent because they can’t afford a mortgage.
Even though renting appears second choice for millennials, it’s unlikely they’ll move on anytime soon as 38 per cent, currently renting have under $5,000 saved for a down payment. (Based on the average Canadian home price of $491,065, even a minimum 5-per-cent down payment is far greater, at $24,553).
It looks like renters are staying put for a while. With that in mind, how are they finding the current situation?
A bit better in Ontario since April 2017, when the provincial government announced its Fair Housing Plan and expanded rent controls.
One year later, more than half of Ontario renters, 54 per cent, agree the new rent cap has helped with their aﬀordability.
But over in Vancouver, renters are really struggling. where the median price for one-bedroom rentals hit $2,000 in 2018.
It’s unclear what the future holds so its best to look at the many bright sides of renting: someone else takes care of the lawn, your money is more liquid and you can pack up and move for a job or a new love with nothing holding you down.
The findings are based on a survey conducted in March 2018 of 1,431 respondents who live in Canada. The estimated margin of error is +/- 2.6 percentage points, 19 times out of 20