Millennials and Gen Z maintain homeownership hopes: Scotiabank poll

The dream of homeownership is alive amongst younger Canadians, according to the latest Scotiabank Housing Poll. Despite more than half of Millennials (55 per cent) and Gen Z (58 per cent) feeling that buying a home is unattainable, most (58 per cent) Canadians aged 18 to 43 are still determined to purchase a home within the next five years.

“Canadians continue to face barriers in today’s challenging housing market,” says Tracy Gomes, senior vice-president of Real Estate Secured Lending at Scotiabank. “While homeownership may feel out of reach for many young Canadians, their determination to achieve it remains unwavering. With the overwhelming amount of information available, especially for first-time and recent homebuyers, we at Scotiabank are here to support our clients with our tailored financial advice and tools to help them achieve their dream of homeownership.

Economic environment

With the economic environment continuing to evolve, including recent decreases in interest rates, more than half of Millennials and Gen Z (56 per cent) still report the current economy is negatively impacting their finances, causing many to delay their homebuying plans. Concerns about the impact of the economy on purchase plans have grown since 2021, particularly among older Canadians, with affordability concerns among younger Canadians (18 to 34) remaining steady over the years. Despite this concern and the fact that homeownership has declined among younger Canadians in recent years, this cohort’s long-term plans to buy a home remain largely unaffected.

Mortgage tools

When it comes to those who have already purchased homes, many younger Canadians are fast approaching mortgage renewal. Nearly three-quarters (72 per cent) of Gen Z homeowners and half (48 per cent) of Millennial homeowners will be renewing their mortgage for the first time, compared to only 14 per cent of Gen X homeowners and 10 per cent of Boomer homeowners. In spite of declining interest rates, this remains a major concern for 68 per cent of Canadians across generations, especially those renewing their mortgages, with 44 per cent prioritizing a competitive rate when choosing a mortgage.

Scotiabank offers a number of tips and tools to help homebuyers prepare, including:
• Find out what you need to get started with Scotiabank’s digital tools, such as the Scotiabank Mortgage Calculator and What Can I Afford Calculator (at scotiabank.com) to ensure your mortgage fits your budget and to help you understand your mortgage options.
• Cut through mortgage confusion and schedule an appointment with a Scotia Home Financing Advisor (also at scotiabank.com) to simplify the process and support your homeownership goals with tailored advice and solutions – 24/7 in person or online.