General Canada Real Estate Statistics: 5 Facts About Canadian Properties

Real estate is a fickle topic to take over.

Today the market is stuffed. Tomorrow, it could be in drought and sacrificing its prices to attract buyers.

With all the changes it goes through, the buyers, agents, and even the government are left to adjust accordingly.

So, what exactly do they do in times like these?

Let us tell you all about it!

1. Property Prices Could Plummet Down by 40%

As a response to the constant hiking inflation rate worldwide, the Canadian real estate market is found overheated and is believed to crash.

In accordance with the mortgage rate reaching 5.5%, housing prices will plunge by 40%. But, that is, if the mortgage rate does reach the said percentage.

40% is a pretty big percentage for the market to drop into if you really think about it. And if assessed critically, this could impact the market negatively in the long run.

2. 66.5% of Canadians Own Personal Property

In contrast to the high percentage of renters and landlords in the United States, homeownership in Canada has hiked up to 66.5%.

However, even though nearly two-thirds of their population own personal properties, the majority still fear the price hikes that are to come in the future.

3. 10% of Canadian Homeowners Hold Titles to Several Other Properties

As we have previously stated, the majority of the population still fears the property price hikes that are to come. And this is probably why.

Once you get to experience the benefits and see the potential of investing in real estate, chances are, you’ll probably want to invest more.

And that is possibly why 10% of their population owns more than a single property to their name.

Almost half of these people use their first property’s equity to make their following purchases. It is a clever way to take on the market. Besides, there is no law preventing them from owning more than a single home.

Remember that this percentage is equal to the number of homeowners as well. So if this percentage ever hikes, the percentage of renters in Canada will too.

4. Canada’s Federal Government Gave $70 Billion to Make the Real Estate Market More Affordable

The Federal Government of Canada has launched a 10-year national housing strategy plan in an effort to make homeownership within the reach of its citizens.

This project has cost the government $70,000,000,000 and is in response to the rising rates of homelessness in the country.

And, just when you think their government could not be more generous, there will be a First Time Home Buyer Incentive program for all citizens.

If you manage to meet their set conditions, you will be entitled to an incentive that will reduce 10% of your home’s price.

5. 40% of Canadian First-Time Homebuyers are Waiting for the Prices to Drop

While this may seem like a common thing buyers do, it surely is a big commitment in these times of skyrocketing house prices.

In fact, this is pretty much a gamble for these homebuyers because there is a good chance that these prices would never drop. So, the high prices they are in currently may be the lowest price they will ever see.

Surprisingly, they are willing to wait for a longer time. They believe that the state of the current real estate market is not ideal for them to invest in.

So, is this a good or bad idea?

At this time, we don’t really know. There are chances that the market will drop and chances that it will continue to inflate. The real question is, how long are these people willing to wait?