A further three in ten say they cannot afford to buy a home for now
The homebuying aspirations of millions of Canadians appear to have been ended by stubborn inflation that is impacting two key everyday expenses.
With rent and food prices outpacing more general inflation which is easing, a new survey reveals that 41% of respondents have conceded that they will not be able to own their own home, and a further 30% have decided they have to put that part of the Canadian Dream on hold.
The Angus Reid Institute’s Economic Stress Index survey also found that 51% say it remains a challenge to keep up with their household food needs, with this around the same level as it has been since rising to this level in 2021. For lower income households (less than $50K) 65% report that food costs remain difficult to meet.
Housing costs remain challenging with rents up 9% year-over-year nationwide and three in five renters said they are finding it hard to make their monthly rent payments. With the dual challenge of food and rent costs restricting disposable income that could otherwise be used to save towards a down payment on a home.
Just 6% of respondents are actively in the housing market now including one in ten in the 18-34 age group.
Overall, one third of respondents put themselves in the survey’s ‘struggling’ category with 23% ‘thriving’, 22% ‘comfortable’, and 22% ‘uncomfortable’.
Despite the tough times though, fewer poll participants said they are in a worse financial situation now than they were a year ago (down 7 points since September 2023) and fewer people expect to be in a worse situation in 12 months’ time (down 5 points).
