Karen Yolevski, Chief Operating Officer for Royal LePage’s Corporate Brokerages, notes that the decision to co-own a home is “increasingly made for financial reasons.” She says the trend is a testament to today’s elevated borrowing rates.As interest rates and inflation continue to etch away at affordability, some Canadians are opting to break into the housing market with the help of friends, family, and acquaintances.
And the data agrees. Royal LePage says that 76% of co-owners cite affordability as a “major motivating factor” in the decision to co-purchase a property. Meanwhile, 32% say that the choice to co-purchase a property followed the Bank of Canada’s first interest rate hike last March. “By dividing the cost of a home between more people, Canadians can not only get their foot on the property ladder more easily, but also expand their home search to more desirable locations or larger properties that may not have been accessible with their budget alone,” says Yolevski.