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13 Sep

Are You The Average First-Time Buyer?

First Time Home Buyer

Posted by: Krishna Menon

You are a first-time buyer and I bet you’re wondering how you compare to other first-time buyers. There are probably a million questions you’re asking yourself including:

  • Do I look like the average first-time buyer?
  • Who are these average first-time buyers and what does their information look like?
  • What is in their savings accounts and what are they looking to spend?

 

Well, the only way to really get answers to these questions is to do your research or read this article. Numbers add up in such a way that we now have the ability to profile the average first-time buyer.

First-Time Buyers in Canada: The Average

 

You could be in your mid to late twenties, and dreaming about your first home. You’re not wrong, it’s the perfect age to start considering making your first big purchase. Even if it’s five years from now when you can actually afford it, you still need to begin planning for it.

 

Surprisingly enough, for the average Canadian first-time homebuyer, they have three characteristics that are quite unique:

 

  1. The average buyer is usually in their late twenties, like you.
  2. The average home in Toronto and the GTA is valued at a little over $400,000.
  3. The average homebuyer has saved approximately $50,000 for their down payment to put towards their home purchase. Since this would fall under the maximum 20 percent down payment requirement, they’d also need to purchase mortgage loan insurance.

 

When you hear about these characteristics you must be thinking, I am the average homebuyer , right? Well the answer to this is yes, providing you live in Ontario.

Other Interesting First-Time Homebuyer Statistics

There are lots of other interesting first-time buyer statistics around the web, believe it or not.

 

Did you know that nearly a third of new homebuyers expect their parents or other family members to help them financially? Are you one of this 30 percent?

 

Even more interesting, nearly ⅔ (60 percent), of first-time buyers have to delay their buying plans, mainly due to the rising costs within the real estate market. These same numbers apply to first-time homebuyers that set fixed, maximum budget for what they actually want to spend on their home. Most of which would spend more just to get a home they really want.

 

You really need to ask yourself just how ready you are? Are you an average buyer now that you’ve read this article? Maybe you need to save more, plan longer or speak to a mortgage agent to learn more about down payment options for your financial circumstances.

 

My Milton Mortgage team can answer all of your questions and help you plan for a brighter and better future, in a home you love. Contact our team today.