Source: The 2017 Genworth Canada – First-Time Homeownership Study
**The median home prices reported reflects the prices paid by first-time homebuyers, which may differ from the prices paid by homebuyers of all types in each city or region
The survey notes higher median down payments in Toronto and Vancouver, which appear to be driven by higher savings and larger gifts or loans from family members. While the median down payment nationally is 12%, the amount ranges from 10% in Atlantic Canada to 20% for both Toronto and Vancouver. Overall, 63% of buyers surveyed made a down payment of less than 20%.
Between 2015 and 2017, the study indicates that the proportion of the Canadian population that are first–time homebuyers has declined from 7.3% to 5.8% representing a difference of 1.5% or a 21% decline. Remarkably, the overall profile, behaviors and motivations of first-time homeowners have remained largely consistent. Areas of significant change however include
“This research continues to show that despite differences by region, first-time buyers are doing their homework and have responded to market conditions well, entering homeownership on a solid financial foundation,” said Mr. Levings.
From January 28 to February 9, 2017, interviews were conducted with 1,803 Canadians, aged 25-40 who purchased their first home within the previous two years. The results were analyzed by Environics Research Group to gain deeper insights into the Canadian preparedness and financial fitness of buyers. The 2017 findings were compared to a similar study in 2015 to identify new attitudes and trends.
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About Genworth MI Canada Inc.
Genworth MI Canada Inc. (TSX: MIC) through its subsidiary, Genworth Financial Mortgage Insurance Company Canada (Genworth Canada), is the largest private residential mortgage insurer in Canada. The Company provides mortgage default insurance to Canadian residential mortgage lenders, making homeownership more accessible to first-time homebuyers. Genworth Canada differentiates itself through customer service excellence, innovative processing technology, and a robust risk management framework. For almost two decades, Genworth Canada has supported the housing market by providing thought leadership and a focus on the safety and soundness of the mortgage finance system. As at March 31, 2017, Genworth Canada, had $6.7 billion total assets and $3.8 billion shareholders’ equity. Find out more at www.genworth.ca.
SOURCE Genworth Canada
For further information: Susan Carter, Vice President, Marketing & Communications, Genworth Canada, 905-287-5520