Low interest rates not motivation enough to list home for most Canadians: Poll
Home prices in many Canadian markets have climbed to records during the pandemic, but it seems the majority of homeowners are planning to stay the course, and haven’t yet been tempted into listing.
Sixty-seven per cent of respondents to a new survey of more than 1,500 people from the Canadian Imperial Bank of Commerce say low interest rates have not motivated them to sell their home. Instead, it seems homeowners are looking to improve their asset, with just over one in three saying they’ve renovated their homes in the past 12 months, with nearly the same amount planning renovations in the next year.
“As a potential homebuyer, these results suggest that supply won’t be improving in the near term,” Carissa Lucreziano, Vice President of CIBC Financial and Investment Advice, said in a release.
“Which makes it essential to understand what you can comfortably afford within your budget, and work with an advisor before you start looking at homes to have appropriate financing options in place.”
At the same time, 47 per cent of all renters polled say they are unable to afford a home, with 34 per cent listing coming up with the down payment as the main hurdle.
Nearly a third of all surveyed renters say they’ll only be able to afford a home if they get an inheritance or gift from their family.