Nearly a third of young Canadians have put their home-buying plans on hold

Rising interest rates and the overall higher cost of living are causing a large number of Canadians to postpone their homebuying plans.

Nearly one in five Canadians (19%) say they plan to “delay or de-prioritize” the purchase of a home, according to the results of a recent survey commissioned by Royal LePage survey and conducted by Leger.

That percentage rises to nearly a third (29%) for those between the ages of 18 and 34.

“A large portion of homebuyers have moved to the sidelines since the cost of borrowing began its rapid increase in March,” Karen Yolevski, COO of Royal LePage, said in a release. “Everyday expenses have gone up, and compared to periods of pandemic lockdown, Canadians are saving less and spending more money on services today, including travel and entertainment.”

Of those who said they are delaying their purchase, a majority (60%) said they have put their plans on hold indefinitely. The other 40% said they still intend to buy, but at a later date.

The findings are an improvement compared to the results of a similar Scotiabank survey conducted back in April.

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