Canadians dream of owning single-family homes

The “Canadian dream” — owning a single-family detached home — remains a desirable goal among buyers across Canada, a new survey shows.

Yet it’s increasingly out of reach in many cities — though Alberta is arguably an outlier as it remains relatively affordable, says Benjy Katchen, chief executive officer of Wahi, a digital real estate brokerage that commissioned the recent survey of more than 1,500 Canadians.

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“One of the things that Calgary and Edmonton have an advantage over Toronto and Vancouver, for example, is Vancouver is hemmed in by mountains, and Toronto has the lake and the greenbelt that surrounds it,” he adds.

Calgary and Edmonton, in contrast, can keep growing their housing supply of single-family homes because these municipalities face fewer geographic constraints, he adds.

In Edmonton, 4,212 single-family homes were under construction in February, accounting for 28 per cent of all activity in the new market, Canada Mortgage and Housing Corp. statistics shows.

Apartments accounted for the most activity, at nearly 54 per cent, largely due to the fact that one new multi-family project can encompass hundreds of new units.

In Toronto, by comparison, more than 5,600 single-family homes were under construction in February, making up about six per cent of new homes activity. Apartment unit construction accounted for nearly 88 per cent of all activity in February there.

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Supply and affordability challenges aside, the survey found 61 per cent of respondents state the single-family home is their preferred housing type, followed by condominium apartments. Another 11 per cent aren’t sure, and 4 per cent cite “other options.”

Among the features sought in a single-family home, the backyard is tops at 76 per cent. A renovated kitchen and bathroom are most important for 59 per cent, and a finished basement ranks third at 42 per cent.

Top features among condominium buyers is a renovated kitchen and bathroom at 68 per cent followed by a parking garage at 53 per cent and visitor parking at 36 per cent.

Parking is an evergreen concern among all buyers in Edmonton, says realtor Nathan Mol with Liv Real Estate.

“Parking is big no matter the housing type.” Among those preferring single-family homes, 39 per cent ranked a garage as a leading desirable feature.

Despite being the top housing choice, single-family homes are increasingly costly, even in Edmonton. The average price of a single-family home in the Greater Edmonton Area in February was $568,000 up nearly 12 per cent year over year.

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Still, it’s much more within reach for buyers than the Greater Toronto Area where the average price was more than $1.4 million.

The most important feature for almost all buyers is the right number bedrooms, often with one serving as a home office, Mol says.

The next feature most sought-after quality is a well-maintained and move-in ready home. When it comes to affordable single-family homes on the market, few fit that description.

“Nine out of 10 listed properties probably need quite a bit of work, and when a good one does come up, people jump on it.”

Given the tight conditions, many first-time buyers are choosing less costly housing types that still meet their requirements, he adds.

With reduced purchasing power, many now look to condominium apartments — the most affordable housing segment with an average price of $217,000 in February.

By comparison, the next less costly housing type was townhomes at $301,000.

Apartment condos “were often getting skipped in recent years,” Mol further notes.

“But they’re more popular now among first-time buyers largely because of affordability.”

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