The majority of Canadians (76 per cent) who don’t own property feel that entering the housing market is out of reach, according to a recent CIBC poll. However, over half (56 per cent) of this group are still optimistic and hold on to the homeownership dream — though just 28 per cent are currently saving up for a down payment.

Overpriced markets: largest barrier for non-homeowners

Not saving for a down payment seems mostly caused by an inability rather than unwillingness, as this inability was cited as one of the main barriers to homeownership (63 per cent). The largest barrier, noted by 70 per cent of the group, is overpriced markets.

“Housing affordability is a challenge across the country and many Canadians could use guidance on how to make their homeownership dream a reality,” says Carissa Lucreziano, vice-president, financial planning and advice, CIBC. “About 80 per cent of those we surveyed said they need advice to help them navigate the market.

Homeowners making changes to manage mortgage payments

To manage their mortgage payments, just over half of variable rate mortgage holders (51 per cent) say they’ve been spending less on everyday things. 21 per cent are paying down their mortgage faster with lump sum payments.

As for fixed-rate mortgage holders, they’re preparing for renewals in the coming years, with about 45 per cent expecting to cut back on daily expenses, while 34 per cent planning to shop around for the best rates.

Other creative ways to own property being considered

It was also found that 48 per cent of Canadians are considering moving outside a major city to get more for their money, and 26 per cent say they’d consider buying a home with friends to afford homeownership.