What Motivates First Time Home Buyers? Survey Says…
Genworth Canada’s 2019 First-Time Homeownership Study provides a snapshot of the demographics of Canada’s first-time homebuyers (FTBs), what’s motivating them and what they’re buying. The study surveyed more than 1,800 Canadians aged 25-40 who purchased their first home within the previous two years.
Among other things, they found out that first-time buyers are more financially savvy than they have been in the past with 76 per cent of them having a long-term financial plan for retirement. Some other findings include:
- Price is more important than square footage
- Commuting distance to work is more important than other house characteristics
- Condominium purchases are growing with 21% of them purchased by FTB’s
- The vast majority of FTB’s do their homework and get financially pre-approved for a mortgage before making an offer
- 37 per cent of FTBs received a gift or loan from the Bank of Mom & Dad; up from 32% in 2017
- Newcomers is a growing segment of the FTB market
It’s good to know that home buying is alive and well among millennials despite the struggles we know today’s world brings. The savvy of young people in financial management and planning is impressive and speaks well to the future of home ownership trends.