Renting grows twice as fast as home ownership, census shows | TBEN News

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The number of households renting their homes has grown twice as fast as the number of owners, according to census data.

Statistics Canada revealed on Wednesday that the number of households renting their homes grew by more than 21 percent between 2011 and 2021. By contrast, the number of households owning a home grew by just eight percent over the same period.

Although the gap is narrowing, there are still many more owners than those who rent. Last year, more than 10 million households owned their homes — about twice as many as the five million who rent.

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All in all, Canadians were less likely to own their own home than in 2011.

The shift in home ownership has been particularly pronounced among the generation that tends to be most likely to buy: young adults.

In 2011, about 44 percent of 25-29 year-olds owned their homes. By 2021, that percentage had fallen to 36.5 percent.

The drop-off for the next age group was almost as pronounced: from 59.2 percent for the 30- to 34-year-olds to 52.3 percent.

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Overall, there was a clear demographic gap between those who own and those who rent. Baby boomers — defined by the data agency as anyone between the ages of 56 and 75 by 2021 — made up 41.3 percent of all homeowners in Canada.

Meanwhile, millennials — between the ages of 25 and 40 in 2021 — made up 32.6 percent of all renters.

While both owning and renting come with costs, those who own their homes have been fortunate enough to offset those costs with a significant increase in their home’s value. That does not apply to everyone who rents.

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Even worse for renters, the average cost of keeping a roof over their heads has risen more than the owners have experienced. The average cost of lodging among tenants has increased 17.6 percent over the past five years, from an average of $910 per month in 2016 to $1,070 in 2021.

That’s about twice the 9.7 percent increase for owners, whose average monthly costs went from $1,130 in 2016 to $1,240 last year.

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