Around 40 per cent of parents of young homeowners helped their children financially when they purchased the property, according to a new poll for the Ontario Real Estate Association (OREA).
The the results of the survey, conducted by Abacus Data, were announced in a news release on Tuesday.
The OREA said that 4 in 10 parents of young homeowner adults, classified as aged 18 to 38, helped their children when they bought the property. Of those who helped, 44 per cent used their savings while 15 per cent borrowed from their retirement savings or investments.
The results showed that on average, those who gifted money gave $73,605 while those who loaned it provided $40,878.
The poll also showed that nearly 90 per cent of Ontario parents agree that it’s more difficult to buy a home today compared to when they were younger.
“Parents are becoming increasingly worried that their children may not be able to achieve the dream of home ownership, so they are pulling out all the stops to help them get their foot in the market,” OREA CEO Tim Hudak said in the statement.
The poll also showed that 80 per cent of Ontarians believe the cost of housing is making the province a less attractive place to live and work, said the OREA.
“We are in a housing affordability crisis being driven by severe lack of supply, and increased demand, especially around ‘missing middle’ type properties,” Hudak said.
“Without meaningful action at all levels of government, Ontario’s millennials and young families will be forced to look outside the province for their first home, leading to brain drain and negatively impacting our economic competitiveness.”