The majority of millennials dream of becoming homeowners one day. Such desire is largely influenced by their parents, who have set the following standard for young adulthood: graduate, land a stable job, get married and buy a home (ideally before 30 years of age). Unfortunately, millennials today face significant financial hurdles that prevent them from following that trajectory and cause them to put important priorities on hold.
In a recent HSBC survey entitled "Beyond the Bricks: The meaning of home," 1,000 Canadian millennials voiced their stances on home ownership. The survey found the following results, which aren't too surprising:
- 82 per cent said they planned to buy their first home within the next five years
- 27 per cent admitted they didn't have a budget in mind
- 37 per cent currently own their own homes, but were only able to purchase them with financial assistance from their parents
- 20 per cent moved back with their parents to save up for a down payment
Almost a third of Canadian millennials have also said that they would delay marriage or having children in order to save up for their dream home.
An unforgiving job market and volatile housing market contributed greatly to the millennial struggle. With an unemployment rate of 13.2 per cent for young adults aged 15 to 24 and houses averaging $500,000 across Canada, it appears that the pace of life for Generation Y is significantly delayed compared to that of Generation X.