Majority of Canadians Say It’s Better to Own than Rent

QuickBooks and Other Applications vs. Property Management Software
April 16, 2019

Majority of Canadians Say It’s Better to Own than Rent

Despite stratospheric prices in the country’s largest housing markets, a majority of Canadians still see the value in owning a home compared to renting.

That’s one of the findings in RBC’s annual Home Ownership poll, which revealed 66% of Canadians believe it makes more sense to buy vs. rent.

Despite prices falling over the past year, homes are still significantly more expensive in many markets compared to a several years ago. The issue of affordability means that buying a home and living “house poor” is the reality for one in four (25%) of Canadians, the poll found.

It noted “house poor” refers to those who overextend themselves and end up spending 30-40% or more of their income on home ownership and related expenses.

“While nearly all Canadians (92%) admit that mental stress is a potential impact of being house poor, almost half (47%) say it’s worth the sacrifice,” reads the report.

Given the shifting conditions in the real estate market, 56% of respondents said it would be better to hold off on a house purchase until next year. Of those, 45% said they would be willing up to wait two years to make their purchase—or 55% of 18- to 34-year-olds—since a majority (54%) believe house prices will continue to fall.

Those in B.C. (68%) and Ontario (58%) were most likely to expect a continuing decline in prices.