TORONTO, Nov. 23 /CNW/ - Almost half of Canadians (48%) aged 18-34 years old bought a first house that was at least 21 years old, according to the TD Canada Trust Generational Homeownership Survey. On the other hand, those 55+ chose newer homes with only one-quarter (27%) of that group purchasing a property 21 years or older for their first home.
The TD Canada Trust Generational Homeownership Survey was conducted to understand the differences in behaviours and attitudes of Canadians across the generations when purchasing their first home. "The TD Canada Trust Generational Homeownership Survey showed that one of the most significant differences in behaviour for first-time home buyers across the generations is the age of the home they purchased," says Chris Wisniewski, Group Product Manager, Real Estate Secured Lending, TD Canada Trust. "This behaviour suggests today's first time home buyers are looking for cost-effective options, which in urban centres are often older homes."
Possibly looking for a more affordable option, younger Canadians were the most willing to take on a fixer-upper (35%) as their first home compared to 24% of those now 55+ who did the same when they were first time homebuyers.
"While older homes often sell for a more attractive price, first-time buyers need to keep in mind that the purchase price and mortgage payments are not the only costs associated with owning a home," says Wisniewski. "An older home may need more work which means putting some money aside for repairs and renovations. Getting a home inspection and asking an expert such as a real estate agent will help you estimate some of these additional costs before you buy."
The location of their first home was a key factor for all Canadians, but younger first-time buyers were most likely to admit that location was a top priority for them (78% vs. 70% of 35-54, and 64% of 55+). And younger Canadians are most likely to have selected a city or town (64% vs. 50% of 55+) for their first home purchase as opposed to suburbs (28% vs. 35% of 55+) or rural location (8% vs. 14% of 55+).
Indicative of their preference for city living and the wide availability of condos in urban markets, when asked what type of home they purchased, younger Canadians, 18-34, were more likely than other groups to purchase a condo as their first home (18% vs. 9% of Canadians), but the majority did buy a house (65%).
While there are more condominium options than ever before in Canada, first-time buyers today are still looking for traditional houses no matter the age or location of the property. Seventy-five per cent of first time buyers across the generations purchased a house.
ABOUT THE TD CANADA TRUST GENERATIONAL HOMEOWNERSHIP SURVEY
The 2009 TD Canada Trust Generational Homeownership Survey was conducted through interviews with 900 adult Canadians across the country, to understand the behaviours and attitudes of Canadians across the generations when purchasing their first home between the ages of 18 and 34. The survey was conducted by Angus Reid Strategies between August 6 and 11, 2009. The sample size includes 300 men and women for each age group of 18-34; 35-54 and 55+.
About TD Bank Financial Group
The Toronto-Dominion Bank and its subsidiaries are collectively known as TD Bank Financial Group. TD Bank Financial Group is the sixth largest bank in North America by branches and serves approximately 17 million customers in four key businesses operating in a number of locations in key financial centres around the globe: Canadian Personal and Commercial Banking, including TD Canada Trust and TD Insurance; Wealth Management, including TD Waterhouse and an investment in TD Ameritrade; U.S. Personal and Commercial Banking through TD Bank, America's Most Convenient Bank; and Wholesale Banking, including TD Securities. TD Bank Financial Group also ranks among the world's leading online financial services firms, with more than 5.5 million online customers. TD Bank Financial Group had CDN$545 billion in assets on July 31, 2009. The Toronto-Dominion Bank trades under the symbol "TD" on the Toronto and New York Stock Exchanges.
SOURCE TD Canada Trust
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