Home buying looks good for most Canadians
Thinking of buying a new home? You may not be alone in your thoughts.
According to the BMO Housing Confidence Report, nearly half of Canadian homeowners intend to buy a property in the next five years signalling a high level of confidence in the housing market.
Despite reports of a cooling down in market, in our eastern Ontario neighbourhood 'For Sale' signs are popping up everywhere. The houses are only staying on the market a few weeks -- if that.
It seems that everyone on our street is catching the moving bug after witnessing their next-door-neighbours packing up and heading for larger homes in desirable neighbourhoods.
Across the country, the report found that intentions vary from city to city. For instance, the intent to buy in Vancouver is on the rise by five points to 58 per cent; while Calgary has dropped by 13 points to 39 per cent; and the Greater Toronto Area (GTA) and Montreal have held steady at 59 per cent.
Provincially, the Atlantic Provinces have seen the largest increase in home buying intentions.
Sal Guatieri, Senior Economist, BMO Capital Markets, adds, "The improvement in affordability reflects continued income growth nationwide and softer home prices in a few regions since the summer.
"That said, affordability remains an issue in the detached markets of Vancouver and Toronto, pushing more buyers in to the condo market."
The report also reveals that 46 per cent of homeowners under the age of 40 are planning on buying a larger home and are three times more likely to move into a more expensive neighbourhood within the next five years.
While the perceptions of mortgage affordability have improved amongst Canadians since the fall, fewer mortgage holders are making spending or saving cutbacks to afford their mortgage payments.
But remember, before you buy your next home, do your research, get pre-approved for a mortgage and only buy what you can afford.
By Donna Donaldson, MSN Money
Do you plan on moving within the next five years? What is motivating you to move? What barriers, if any, do you feel are preventing you from moving?
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