Renting in Canada? Here's how quickly you could've bought a home instead — try not to cry
If you've been paying rent in Vancouver or Toronto, you might want to sit down for this — because the amount you've spent on rent in the last five years could have easily covered a down payment on a home.
In some Canadian cities, renters have spent two, three or even four times the amount required for a minimum down payment, according to a new report from Zoocasa.
The real estate site compared the total cost of an average rental in various Canadian cities over the last five years to the minimum down payment needed to buy an average home in 2025, and the results highlight just how much money renters are sinking into housing without building any equity.
The numbers reveal a staggering truth about the Canadian housing market — in every major city, the cost of rent over five years exceeded the amount required for a down payment.
Even in high-cost markets like Toronto and Vancouver, renters have paid significantly more in rent than what they'd need to buy an average-priced home. In Vancouver, renting over the last five years would have cost around $136,308 — 42% more than the $96,312 required for a minimum down payment on an average home for sale right now in that city.
In Toronto, the numbers are even worse, with renters spending $133,464, which is a shocking 69% more than the down payment needed to buy the average home in the 6ix this year.
And the trend isn't limited to Canada's most expensive cities. In mid-priced markets like Ottawa, Hamilton and Halifax, renters could have paid for two or three minimum down payments just with their rent.
In Calgary, five years of rent added up to $82,752, while a minimum down payment for an average home there is just $37,390 — meaning renters could have covered that down payment more than twice over. Meanwhile, in Winnipeg, Regina and Saskatoon, five years of rent could have covered three to four down payments, making homeownership feel frustratingly within reach for long-time renters.
Zoocasa's report highlights how fast rent adds up and why it can be a major barrier to saving for homeownership. While renting offers flexibility, the downside is that every dollar spent on rent is money that could have gone toward equity in a home instead.
In some cities, renters could have covered a down payment in less than two years just by redirecting their rent money. In Regina, for example, renters only needed about a year and a half of rent payments to match the $16,385 required for a down payment. In Edmonton, it would have taken just under two years.
Of course, this doesn't mean everyone could have just stopped renting and bought a home. The ability to save for a down payment depends on income, expenses and other financial commitments — and most importantly, you need a place to live while you're saving.
But the report paints a clear picture of the financial challenge facing Canadian renters — especially those in high-cost cities where home prices keep climbing. The longer someone rents, the more difficult it becomes to enter the housing market, as home prices increase faster than many people can save.
For those hoping to make the jump from renting to homeownership, Zoocasa highlights a few options that could help. Programs like the First Home Savings Account (FHSA) allow first-time buyers to save for a down payment with tax advantages. New rules also allow lower down payments for homes priced up to $1.5 million, reducing upfront costs in expensive markets.
Plus, renters can now report their payments to credit agencies through the Landlord Credit Bureau, which could improve their credit scores and make mortgage approval easier.
Ultimately, while renting may be unavoidable for many, understanding just how much rent adds up over time could help people make more informed financial decisions. Whether that means choosing a lower-cost rental market, taking advantage of homebuying programs or strategizing ways to save, renters who dream of homeownership may have more options than they think.
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