Despite a slowdown in many markets, Canadian homebuyers are still very active – if the price is right
Canadian home prices continue to ease back from some eyewatering highs, and the moderation of the market is expected to continue.
But even as budgets were being squeezed by inflation and rising interest rates, there remains demand in the housing market, but who are the typical Canadian homebuyers?
A new analysis from Point2Homes.com reveals that the most-searched-for homes in 2022 were in the $200,000-$300,000 price range, less than half the average nationwide price of $640,000.
Millennials were leading the charge for homes with those aged 25-44 accounting for more than 4 in 10 of all searches, and those in their late 20s or early 30s being the most active homebuyers.
This cohort typically include young professionals buying their first home, perhaps as the result of life changes such as marriage or reaching a financial goal in making a home purchase, with the income level that allows them to do so.
At the older end of the Millennial group are repeat buyers who have greater financial ability or who are growing their family.
Older age groups
Among older age groups, 18% of searchers were 45-54 years old, 14% were 55-64, and less than 10% were over 65. Many of this oldest group may be looking to downsize.
Overall, two thirds of home searches were for houses with more than three bedrooms and two bathrooms and between 1000 and 2000 square feet.
Recent data shows that the property boom seen during the pandemic, boosting the net wealth of millions of Canadians, is being reversed as the housing market softens and the financial markets remain volatile.