TRENDS By Carolyn Cooper
ENERGY EFFICIENCY, SUSTAINABILITY AND IAQ ARE TOP OF MIND FOR NEW HOMEBUYERS
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n January 2022, members of the Canadian Home Builders’ Association (CHBA) received a preview of the latest Canadian Home Buyer Preference National Study in a presentation by Tim Bailey, chief strategy officer for Avid Ratings. Now in its seventh year, the national study surveyed approximately 19,000 Canadian new homebuyers about their home buying preferences, with roughly 1,500 respondents. According to the study, millennials make up about 38 per cent of total new homebuyers, up 2.2 per cent from the previous year. “So, it is a growing segment of the market as millennials are in the peak family and household formation years,” explains Bailey. Generation X consumers comprised 31 per cent of respondents, while baby boomers were about 24 per cent of new homebuyers – both lower than in 2020. Bailey notes that Generation Z, which weren’t on the radar when the survey first launched in 2015, are now emerging and make up 6.5 per cent of new homebuyers. The survey found that energy efficiency and sustainability are top of mind with new homebuyers, and 60 per cent say an
Top 10 Preferred Home Features 1. High efficiency windows 2. Energy efficient appliances 3. Overall energy efficient home 4. Walk-in closets 5. Kitchen island 6. HRV/ERV air exchange system 7. Open-concept kitchen 8. Linen closets 9. Two-car garage
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“Forty-six per cent stated their motivation to invest in energy efficient features is lower utility costs,” says Bailey, “but this segment has been shrinking from 53 per cent last year. So, we are seeing that the motivation to incorporate energy efficient designs as standard features has been changing.” Bailey says smart technology is also showing greater demand. “The most important smart home features are Wi Fi thermostats, and 84.4 per cent of homebuyers say that these are a must have or a really want feature.” The next most popular smart technology preferred by respondents is smart lighting, followed by security systems. When looking at most important features, a detached two storey was w desirable to 45 per cent of respondents, 43 per cent wanted a secondary primary suite, 16 per cent of respondents wanted a four-bedroom home, 26 per cent want two and a half baths iin their home. In terms of preferred home types, 72 per cent of respondents said that when considering their next home o tthey would choose a single detached home, which Bailey says has increased by 27.7 per cent since 2015. Of that, 45 per cent of respondents wanted a two-storey house, while 27 per cent wanted a bungalow. The pandemic has had a significant impact on how people invest in their homes. “We’re seeing an increase in importance in this concept of rooms, directly attributed to the fact that we’re increasing the pressure on the home, with more people in the home,” says Bailey. Other important features to homebuyers included a legal secondary suite (53 per cent), a second primary suite (43 per cent), and a main-floor primary suite (52 per cent), all of which Bailey says point to the trend of “aging in place.” For that reason, he says older homebuyers are also willing to pay for convenience/luxury features such as motion sensor lights, snow melt for driveways and stairs, and a master light switch. This article is based on a webinar presented by CHBA. The survey is free to CHBA members.
10. Large windows
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overall energy efficient home is a must have, while 50 per cent say they must have a certification or rating by a designated program. High-efficiency windows and HRV/ERV air exchange systems are the other top sustainability features cited by respondents.
www.chba.ca B u s i n e s s
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