Posted by: MonsterMortgage.ca
Recently, CAAMP (Canadian Association of Accredited Mortgage Professionals) released a home-buyers report outlining the habits of Canadians when it comes to purchasing home, this includes how Canadians buy homes, who are the buyers of homes in Canada, what types of homes are Canadians buying, the process in which Canadians go through in order to buy homes and how Canadians finance their mortgages.
Here are some interesting tidbits from the Spring 2015 Home Buyers Report.
These homes being purchased creates a great amount of economic activity across numerous different avenues of industries. Industries such as moving, construction, finance, legal services, landscaping, and real estate sales are all affected by the purchases of new homes each year. With all these new homes, it is inevitable that there will be a number of mortgages to compensate. With mortgages comes a sense of debt to be repaid for by every single homeowner.
With this debt to consider, the Canadian Association of Accredited Mortgage Professionals (CAAMP) has documented housing market trends and semi-annual reports on mortgage lending in order to help reveal the benefits and risks in acquiring different mortgages. The Spring report also specifically researches the home buyers and their decision making process towards the financial perimeters of that decision.
We know that there are around 620,000 home buyers each year, but this can be broken down even further into what category each home-buyer falls into. About 45% (280,000) of these home buyers are recorded to be first-time buyers. A majority of these first-time buyers are considered to be in their late 20’s to early 30’s. About 20% (130,000) are considered to be second-time buyers with the demographic to be mostly around also the late 20’s to early 30’s. Lastly, about 33% (210,000) of the remaining home buyers are considered to be third-time buyers with the age ranging from 45 to 65.
Based on the CAAMP report, around 57% (360,000 units) of these homes are recognized as apart of the detached category. This is a big chunk of the housing market in Canada each year. another main category to account for are the semi-detached and row homes taking about 60,000 of the units per year. Condominiums units are considered to be estimated around 19% (120,000 units) of the remaining homes. The average price of all units are around $347,000 according to surveys that have been recording since 2013.
For more statistics and in depth graphs of the above information visit CAAMP’s Profile of Home Buying in Canada