It seems like the news is full of negativity about the housing market slow-downs, the mortgage stress tests that shut millennials out of home-ownership, the low inventory, the slowing economy…
Although it may seem gloomy to many, there are a few silver linings – and I’m all about silver linings!
The Canadian dream of home-ownership is still alive, it just might look a bit different than our more traditional ideas of owning a home.
First of all, the make-up of home buyers has changed from the “traditional” trend of buying with a partner/spouse. According to the recent RBC Home Ownership Poll, 28% of those polled say they need help and are purchasing, or planning or purchase, with their family. That is almost as many as those who say they can purchase alone (32%).
Compared to past years, buying a home with a partner or spouse has been steadily declining (42% vs 49% in 2017), while non-traditional trends, like purchasing a home alone (32% vs 29% in 2017), are climbing!
It’s also clear that what’s happening in today’s market is having an impact on buyers with 56% of Canadians thinking it’s better to wait until next year to purchase a home. And almost have of those are prepared to push the purchase out two years or more.
Here are some more highlights from the poll:
In the poll, 8-in-10 Canadians say a home or condominium purchase is still a good investment. When we look at the condo market, there is a lot happening. This year, a record number of condos are set for completion in the Greater Toronto area, which will likely slow price growth.
Non-traditional housing and co-owning arrangements are popping up across the country. The focus is on community and co-housing projects that generally consist of individual homes with shared amenities. These amenities generally contain a kitchen and dining room.
While it’s try that the government policies have made it harder for some to qualify, the new ‘shared equity program and the RRSP withdrawal increase may help some of those people.
As we find ourselves in the Spring market, listing start to increase as buyers and sellers come out of hibernation! It’s important for home-buyers to educate themselves about mortgages, including how to qualify in this new stress-test environment. I can help you navigate the ins and outs of the mortgage process, from qualifying to approval and through to closing. It’s what I do!
And if you don’t qualify right now, I will show you ways to increase your likelihood of qualifying in the future.
Let’s talk! Because, yes…you can fulfill your dream of home-ownership.
It's me again! I will be posting articles with more in depth information regarding specific mortgage scenarios. I do my best writing when my kids are asleep...