Without exaggeration on a daily basis every conversation I have with a friend, acquaintance or stranger inevitably stems from the ‘weather’ into ‘real estate’ or vice-versa. Moving back to what I wanted to share with you, real estate has always been a prime or if I may say popular choice among Canadians towards growing their equity.
Everyone that owns a home eventually wants to invest in another home. However with the uncertainty within the real estate market, due to news rules being implemented by the government & increasing interest rates the impact seems to be more psychological, well understandably.
Over the years the baby boomers have encouraged their offspring’s to get into the market & supported them through sizeable down payments. The economist discussed that we as human beings only use 400 – 500 square feet of our home towards daily activities & investing in a smaller home, good location where there is a demand for rentals would be a smart way to invest, as shelter is a primary need for survival. The larger homes are a lifestyle choice that majority of Canadians aspire to own.
Research indicates that 28% of Canadians feel the need to move every 5 years! More surprisingly, 14% of owners wish they could move every year!
Major reasons to move:
- The family is growing – 42%
- Change of employment – 37%
- The family size shrinks (death, departure of children, etc.) – 20%
- Retirement – 18%
- Came into money – 14%
- The house needs renovations – 14%