in Canadian real estate, where the average selling price of a home has surged more than 50 per cent in the last two years, according to Reuters.
Upwards of 41% of housing in some provinces held by multiple-property owners But the headlines have led some Canadians to question whether they can — or should — take the plunge from renting a home to owning one.Here’s what you need to know.In many ways, buying a home is seen as a marker of adulthood.Canadians have a “deeply ingrained view” of housing as a “good, stable investment” and as something that everyone is “striving to buy,” said Paul Kershaw, founder of Generation Squeeze.That view doesn’t come from thin air.
Housing prices have been growing and growing across the country in the last 20 years, with the national average home price in February 2022 jumping to more than $800,000 — a 20-per cent increase from the same month last year, according to the Canadian Real Estate Association.Because of this price increase, many view housing as a wise investment.
Instead of “throwing away your money” by giving it to a landlord, you’re building equity and — depending on the market — will likely see the money you spent on a house grow, if recent trends are any indicator.Another upside is the fact that there’s no capital gains tax on your primary residence.