First-time homebuyers rising, as Canadians turn to family gifts and inheritance | Daily Hive

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More Canadians are leaning on financial help from family and using credit to handle unexpected housing costs, according to new data from the Canada Mortgage and Housing Corporation (CMHC).

The 2025 Mortgage Consumer Survey, which looked at the experiences of nearly 4,000 homeowners across the country, shows that first-time homebuyers are playing a bigger role in the market. They made up 12 per cent of mortgage activity this year — up from 10 per cent in 2024 — with many citing financial readiness and investment opportunity as the main reasons for buying.

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On average, first-time buyers had rented for more than six years before making the leap to homeownership.

Among those new buyers, 41 per cent received financial gifts, often from family, to help with their down payment — averaging over $74,000. Still, most said they could have bought without the gift, though it would have required sacrifices.

More people are also relying on credit to cover unplanned housing expenses. Only half of first-time buyers paid for surprise costs using savings, down from nearly 80 per cent last year. Legal fees, repairs, and inspections were among the top expenses, with many turning to credit cards or lines of credit to cover them.

Mortgage renewals remain the most common type of transaction, making up 65 per cent of activity. A growing number of renewers and refinancers are opting for shorter amortization periods, while nearly a third of refinancers reported using one form of credit to pay off another — suggesting rising use of debt consolidation.

Renovations are also on the rise, with most mortgage renewers and refinancers planning to upgrade their homes within five years. Reasons include personal customization and increasing property value.

Despite rising costs and economic uncertainty, confidence in the housing market remains strong. About 80 per cent of Canadians surveyed believe buying a home is still a solid long-term investment, and most feel they secured the best mortgage deal available.

In British Columbia, mortgage activity saw a notable rise — from 13 per cent of national activity in 2024 to 18 per cent in 2025 — signalling renewed interest in homeownership in the province.

The findings paint a picture of a changing housing landscape where more buyers are getting creative to make homeownership possible — even if that means relying on family, credit, or making sacrifices.

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