High property prices are pushing millennials out of Vancouver. (Wikimedia Commons)

Millennials in Vancouver get least value for their real estate dollar: report

A 20% down payment in Greater Vancouver will you a home in Moncton

What kind of house can the average millennial afford to buy, depending on where they want to live in Canada?

People aged 25 to 31 years old earn an average salary of about $38,000 a year, according to a report Thursday by Royal LePage, which translates into a typical maximum homebuying budget of about $203,000.

That won’t go very far. The aggregate Canadian home value sits at about $605,500, Royal LePage says.

“A growing number of peak millennials will save, pool their money with a partner and/or borrow funds from their parents, many of whom are downsizing in retirement and can financially contribute to their child’s first home purchase,” the real estate company said in a release.

“While peak millennials are largely able to afford their monthly mortgage expenses, coming up with an adequate down payment often proves to be the greatest hurdle to homeownership among the demographic.”

A 20-per-cent down payment for a home in Greater Vancouver or the Greater Toronto Area – about $160,000 – is about the same price as a home in Moncton.

READ MORE: Strict mortgage rules slow B.C. home sales

The average Canadian home was listed for $325,000 to 425,000 in the first quarter of the year, and got you 1,269 sq. ft. spread out over 2.7 bedrooms and 1.8 bathrooms.

In Greater Vancouver, that cash would only buy you 788 sq. ft. with 1.5 bedrooms and 1.2 bathrooms.

That’s if you can even get them. There were only five active listings in Vancouver itself between $325,000 and $425,000.

Millennials are already buying the least expensive homes at the bottom of the housing market, said Royal LePage advisor Adil Dinani.

But with housing prices continuing to rise, he said, they’re starting to compete with homebuyers who wouldn’t usually be buying cheaper homes.

“From what we are observing, the majority of purchasers within this age range are getting assistance from their families to find enough money for a down payment on a starter home,” said Dinani.


Like us on Facebook and follow us on Twitter.

Just Posted

Abbotsford woman speaks out after she fainted and bystanders ignored her

Meghan Canavan says bystanders walked by with no offer of help after she fainted recently

Fraser Valley Bandits reveal mascot name

Berry the Bandit officially unveiled, makes first public appearance tomorrow

End ‘exploitative’ parking fees at Lower Mainland hospitals, group says

HospitalPayParking.ca is criticizing a new contract between health authorities and Impark

UFV celebrates 2019 HOF class

Third annual Cascades Hall of Fame event occurs on Friday night

Your daily commute and weather forecast: Jan. 22, 2019

A bit of rain over the next couple days, then into another sunny stretch. Plenty of congestion today.

New Canada Food Guide nixes portion sizes, promotes plant-based proteins

Guide no longer lists milk and dairy products as a distinct food group

Heavy snowfall expected for Coquihalla, Okanagan valley

Coquihalla highway, the Connector, and Highway 3, from Princeton to Allison Pass are getting snow.

Judge annuls hairdresser’s forced marriage to boss’ relative

Woman was told she’d be fired if she didn’t marry boss’s Indian relative so he could immigrate here

Video: Runaway Coquihalla dog returned to owner

Archer, the dog found roaming along Coq. Hwy. on Jan. 19, has been reunited with owner

Liberals look to make home-buying more affordable for millennials: Morneau

Housing is expected to be a prominent campaign issue ahead of October’s federal election

Man accused of threatening to kill ‘as many girls as I see’

Christopher W. Cleary wrote he was angry because he’d never had a girlfriend and wanted to ‘make it right’ with a mass shooting

Cannabis-carrying border crossers could be hit with fines under coming system

Penalties are slated to be in place some time next year

Canadian talent abound on newly revamped Vancouver Whitecaps squad

Lineup is full of new faces after the organization parted ways with 18 players over the off-season

Most Read