Housing Concerns Grow as Over Half of Canadians Fear Losing Their Home Due to Financial Changes
December 13, 2024
Recently, Abacus Data partnered with the Canadian Real Estate Association (CREA), the Canadian Alliance to End Homelessness (CAEH), and the Co-operative Housing Federation of Canada (CHF Canada) to conduct a comprehensive national survey to examine the current state of housing in Canada. This study, which engaged 6,000 Canadian adults (aged 18 and older) and was conducted between September 26 and October 9, 2024, sheds light on the ongoing challenges of housing affordability and accessibility, revealing significant concerns across the country.
This report is the first in a series examining the current state of housing in Canada, with a spotlight on the pressing challenges of affordability and accessibility that have become key concerns for Canadians. The findings highlight the extensive impact of the housing crisis, as these issues continue to dominate public priorities and fuel widespread concern about housing insecurity.
Housing Remains a Central Concern as 2024 Concludes
As 2024 winds down, housing continues to dominate as a critical issue for Canadians. When asked about the most pressing challenges in their communities, 41% of Canadians identified housing affordability and accessibility among their top three priorities, second only to the cost of living (60%). This widespread concern highlights the interconnected nature of economic pressures and housing challenges.
Regional disparities further underline the crisis. Housing affordability and accessibility are of heightened concern in Quebec (47%), British Columbia (46%), and Ontario (43%), regions grappling with some of the steepest costs and most acute housing shortages.
Overall, 9 in 10 Canadians (88%) indicate that they are concerned with the current state of housing, a significant 8-point increase since September 2023. Younger Canadians (18-44) are especially worried, with 91% indicating concern. These numbers reflect growing unease about housing accessibility and affordability and highlight the increasing urgency for action at both local and national levels.
Fear of Financial Instability
Over half of Canadians (58%) are worried about their ability to afford their mortgage or rent, a 6-point increase since September 2023. Younger Canadians and lower-income households are feeling the greatest pressure. Among those aged 18-29, 68% express concern, while 66% of those aged 30-44 share similar fears. Additionally, 63% of Canadians earning under $50,000 annually report struggling to meet their monthly housing costs. These findings highlight the growing financial strain on vulnerable groups amid the ongoing housing crisis.
A striking 57% of Canadians fear losing their home, whether owned or rented, if their financial situation were to change, reflecting the fragile state of housing security across the country. This concern is especially acute among younger Canadians, with 65% of those aged 18-29 and 71% of those aged 30-44 expressing this fear. Similarly, 65% of households earning less than $50,000 annually share these worries. Regionally, residents of British Columbia (63%) and Ontario (61%) are significantly more likely to feel at risk. These findings underscore the precarious state of housing security, particularly for younger generations, low-income households, and those in high-cost regions.
The Personal Toll of the Housing Crisis
The housing market is having a profound and widespread impact on Canadians. Nearly half (43%) are experiencing financial strain, up 2 points since September 2023. Beyond finances, housing challenges are affecting well-being, with 35% reporting a negative impact on quality of life and 33% on mental health. The crisis is also driving relocation pressures, as 29% of Canadians feel forced to consider moving due to rising costs. Additionally, 25% report disruptions to family dynamics, while 24% face strained personal relationships. For 22%, housing issues are delaying or reducing plans for having children.
Demographic trends reveal that young Canadians are bearing the brunt of the housing crisis. Those aged 18-44 are significantly more likely to report that the crisis has affected every aspect of their lives, from financial stability and mental health to family planning and quality of life, compared to those aged 60 and older. This stark divide underscores the disproportionate impact on younger generations, who are facing unique challenges in navigating an increasingly unaffordable housing landscape.
The combination of financial stress, mental health challenges, and the potential for family disruption creates a cycle of anxiety that affects not just individuals but entire families and communities. Addressing the housing crisis is an important step toward improving overall quality of life and ensuring the stability of Canadian households.
Despite Challenges, the Dream of Homeownership Persists
Despite widespread challenges, the dream of owning a home remains strong. Among non-homeowners, 72% still aspire to buy a home, a sentiment that is strongest among younger Canadians – 88% of those aged 18-29 and 83% of those 30-44 hope to own a home someday.
However, this aspiration is tempered by reality. Nearly half (45%) of non-homeowners feel pessimistic about their chances of achieving homeownership or have given up entirely, while 27% losing hope. Young Canadians remain the most optimistic, with 41% of those aged 18-29 and 33% of those aged 30-44 still believing in the possibility of homeownership. However, a significant portion of younger Canadians (33% of those aged 18-34) admit they are optimistic but increasingly worried that this dream may remain out of reach.
This widening gap between aspirations and perceived possibilities underscores the challenges of Canada’s housing market. It reflects an urgent need for housing solutions to bridge this divide and restore hope and confidence in the ability of Canadians to achieve their homeownership goals.
In the past 12 months, 46% of prospective homeowners have begun exploring alternative housing solutions, a trend particularly evident among younger Canadians aged 18-29 (50%) and 30-44 (51%), as well as those living in urban areas (50%). Popular alternatives being considered include rent-to-own programs (42%), tiny or modular homes (37%), shared living arrangements (26%), and co-operative housing (24%).
The Upshot
As 2024 concludes, housing stands not only as a dominant issue but as a reflection of broader societal and economic challenges facing Canadians. The housing crisis has become a critical juncture where affordability, accessibility, and homelessness intersect with deeper concerns about equity and opportunity. Nearly 9 in 10 Canadians express concern about the housing landscape, revealing a shared unease that extends beyond individual circumstances to affect communities and the nation’s future.
The housing crisis is also amplifying inequities, disproportionately impacting younger Canadians, low-income households, and those in high-cost regions. This deepening divide reveals not just gaps in affordability but systemic imbalances that limit opportunity and upward mobility. Addressing housing challenges, therefore, is about more than bricks and mortar; it’s about tackling the social and economic inequities that threaten to erode confidence in the future.
Despite these challenges, the enduring dream of homeownership reflects the resilience and aspirations of Canadians. However, the gap between this dream and reality continues to widen, emphasizing the need for bold and coordinated action. Addressing the crisis will take more than increasing housing supply – it requires a commitment to tackling the systemic issues driving financial insecurity, affordability, and accessibility.
As Canada enters 2025, the way forward demands a recalibration of priorities and bold action. Solutions must extend beyond increasing supply to addressing the root causes of financial insecurity and ensuring housing policies promote inclusion and resilience. Governments, communities, and industry stakeholders must work together to create a housing landscape that not only meets immediate needs but also lays the foundation for long-term stability and opportunity for all Canadians. The road ahead is challenging, but with meaningful action, it is possible to restore confidence and hope in the Canadian housing market.
Methodology
The survey was conducted with 6,000 Canadian adults from September 26 to October 9, 2024. A random sample of panelists were invited to complete the survey from a set of partner panels based on the Lucid exchange platform. These partners are typically double opt-in survey panels, blended to manage out potential skews in the data from a single source.
The margin of error for a comparable probability-based random sample of the same size is +/- 1.27%, 19 times out of 20.
The data were weighted according to census data to ensure that the sample matched Canada’s population according to age, gender, educational attainment, and region.
This survey was paid for by the Canadian Real Estate Association (CREA), the Canadian Alliance to End Homelessness (CAEH), and the Co-operative Housing Federation of Canada (CHF Canada).
Abacus Data follows the CRIC Public Opinion Research Standards and Disclosure Requirements that can be found here: https://canadianresearchinsightscouncil.ca/standards/
