Around half of Ontario millennials are unhappy with their current accommodation setup, which has been spurred by the COVID-19 pandemic.
According to a new study by Properly, as the pandemic moves into 2021, 48% of millennials report being happy with where they live — compared to 67% prior to the pandemic.
In Ontario, millennials age 24 to 29, are three times more likely to want a new home in 2021 compared to the rest of the population. Of this millennial population, 45% wanted a detached home, 57% wanted a backyard, and 44% wanted more square footage. Also, around 34% wanted to be closer to green space and 28% wanted a better home office.
The results of the study are taken from over 800 participants, which was conducted from November 20 to 23.
“People’s priorities are shifting profoundly, which is leading to a dizzying pace of change in the housing market,” said Anshul Ruparell, co-founder and CEO of Properly in a statement.
“Home is now more important than ever, and many people are suddenly dreaming of a lifestyle in which nature, space, and a home office take on greater importance — resulting in a housing market that’s more competitive than ever before. The traditional approach to real estate doesn’t make it easy for millennials in their quest for homeownership.”
The study noted that since the pandemic began, over three times as many millennials bought a home compared with the rest of the adult population.
“As we move into 2021, many of the millennials who say they desire a new home are actually going to act on it,” the report said.
Around 8% are planning to buy a new home in 2021 — twice the number planned by the rest of the population. However, the need for this specific demographic in wanting to buy a home is causing an imbalance in the current housing market.
Ontario’s millennials are facing a shortage of detached homes.
According to the most recent TREBB data, since 2019 listings for detached homes have decreased by 30.4%, the number of days a detached home is on the market dropped from 26 to 16 days, and detached home prices have increased by 14.8%. This creates obstacles for millennials in buying the property they want.
Ontario millennials are facing a difficult situation if they want to buy a property, especially as the pandemic creates an uncertain housing market.
The push to buy outside of the city centre becomes more appealing, as the urban areas struggle to adapt to the new environment.