More and more families in Canada are pulling their money together and buying larger luxury properties, which in turn brings the house into multiple generations, says a new report from Engel & Völkers.
This trend is most common among new immigrants and first-generation Canadian families. “Engel & Völkers is noticing a rise in families coming together and pooling money to purchase luxury properties in the city and its peripheral areas,” Anita Springate-Renaud, a license partner with Engel & Völkers Toronto Central, told Daily Hive. “With the pandemic forcing families to be apart, multigenerational living picked up momentum as a way to one, pool resources and purchase luxury real estate and two, stay connected with family.”
“With Canada setting record-high immigration targets, Engel & Völkers anticipates that this will be a trend to watch in the luxury markets,” Springate-Renaud said.
Multigenerational living is noticeably rising and the 2016 census report from Statistics Canada found that multigenerational households had increased more than any other household type.
“We’re seeing this market trend pick up significantly now in the luxury brackets — many properties which individual families would not be able to afford on their own,” Springate-Renaud said.
There’s also been an increase in the number of buyers purchasing more than one property across the country, especially since the low-interest rates and lower spending during the COVID-19 pandemic.
“Real estate has continuously proven to be a stable and sound investment, and homebuyers have really found value in that throughout the pandemic,” says Springate-Renaud.