Amid predictions for a modest 2016, home prices in many Canadian markets continue to soar, and much of the growth is coming from an unlikely source: millennials. Canadians ages 16 to 36 are over nine million strong; they’re now the largest cohort in our workforce, and they’re entering their prime home-buying years.

Frank Magliocco, Canadian real estate lead at PwC, does not expect high demand—and related house price increases—to ease up any time soon in hot urban markets like Vancouver and Toronto. He points to growth in condos, rental apartments and mixed-use urban developments as proof that young buyers don’t fear big mortgages (or big leases): “In large part, [growth] is driven by millennials wanting to go to where the action is.”

Here’s why young buyers are able to get into the market—and who stands to gain from it.

79% of millennials still believe owning a home is attainable according to a 2016 poll, despite mushrooming prices raising barriers for first-time buyers

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These are big numbers, but they don’t scare fledgling buyers, perhaps because young Canadians are, on average, wealthier than previous generations.

$155,000: Average net worth of Canadians under 35, 94% higher than Canadians at the same age in the late ’90s

Still, we know wealth isn’t distributed equally, so many are finding different ways to own a home

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$1 trillion: Value of inheritances that will be passed along, largely to millennials, in the next two decades—the largest intergenerational transfer of wealth in Canadian history.

As a result, more than half already own a home—and they’re not just buying crappy fixer-uppers

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This is set to benefit many who sell, build and manage homes—especially those who work in high-density urban markets

Top business prospects in real estate:

  1. Private local owners and developers
  2. Brokers
  3. Institutional owners and developers
  4. Investment managers
  5. Homebuilding and residential land developers

Sources: PwC; Canadian Real Estate Association; BMO Bank of Montreal; Pollara Strategic Insights; TD Economics; Generation Squeeze; and Department of Finance Canada

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Will your company benefit from the new generation of home buyers? What other services and products will new property owners need? Let us know by commenting below.

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