According to an annual survey recently taken by Genworth Financial Mortgage Insurance Company Canada, one of the private mortgage insurers in Canada, first-time homebuyers are the ones that are currently the driving force behind the Canadian housing market, and that they will be for the next several years to come.
The survey questioned 1,533 Canadians about their state of financial well-being, and it’s currently first-time homebuyers that seem to be the most optimistic about their mortgages, and other aspects of their financial life. Results found that one-third of first-time homebuyers thought now was a good time to invest in the housing market – that’s up 25% from what the results showed last year at this time. 59% of first-time homebuyers also said that they were able to save for their down payment in less than two years, eliminating the need for the majority of homebuyers to take out mortgage insurance and put further strains on the housing market.
The survey also revealed some other stats that, could show we’re not as eager to take on more debt than we can afford; and that we realize that in order to get something, such as house, you have to do the work in order to get it. And that’s really all the housing market needs in order to remain healthy, doesn’t it? Here are the other stats revealed by the study:
- 94% of respondents said that they’d rather own a home than rent, although they realize the former can mean extra work and effort.
- 94% of those surveyed also said that they believe owning a home brings a bigger sense of security and emotional well-being.
- 60% said that in addition to home ownership, retirement is also important, with this group saying they already have a long-term plan for financing their retirement years.
- Another 58% said that their biggest financial goal is to pay off their mortgage as quickly as possible.
- 36% said that they were able to save a substantial amount of money this year while still paying off their bills.
- Even with these positive numbers, 72% of homeowners still expect their financial situation to improve even more over the past year.
- However, only 54% of non-homeowners believe that their financial situation will improve over the next year.
Along with the release of the survey Brian Hurley, chairman and chief executive of Genworth Canada released a statement saying, “First-time homebuyers are the engine that will drive the housing market in the next few years.” According to these stats, it seems as though they just might.
