It is not only in larger cities like Vancouver and Toronto that are feeling the surge in home prices. As more people leave the big cities to find more affordable real estate, they are hit with the reality that the cost of real estate in smaller towns has also increased. What does this mean for the people who grew up in these towns and cities?
House prices have changed dramatically and it has left a lot of people angry, upset and bewildered. A lot of people have left the big cities and a lot of those are young people. They have gone on in search of more affordable houses and as such have driven up house prices there. So now people who were born and raised in these smaller towns and cities are having to struggle to be able to afford a home due to the increase in new homeowners from outside. Not only have home prices increased but traffic has increased, people are fighting for daycare spots, access to vets, doctors etc. Everything has changed for people living in smaller towns and cities. With no change to infrastructure and more people migrating to these areas it will be tough for city dwellers.
Housing Prices Affecting Many Aspects of Life
The price increase on houses does not only affect those searching for a home to buy. In this case we can see how it has driven up traffic congestion in smaller cities, has caused strain on the economy of these cities, causing shortages in care for children, animals and more. More vehicular traffic equals more pollution.
People born and raised in these smaller towns who had dreams of staying in their area and buying their own home are now needing to look outside. Many young people had a good life prior to the pandemic and had pictured themselves living in their city for the long haul. Many people had their down payments saved up and were working their way to making a purchase. Now rising prices may mean they can’t afford a home, even with the down payment they had saved up.
It’s hard to keep an optimistic outlook in a situation like this. Especially for those who have taken a hit to their income. Many responsible young people now can’t see the benefits of their savings due to increased housing prices. Many saw an impending crash in the housing market and expected prices to fall. Now instead of being able to afford more houses with their budget they really can’t afford a home or simply can’t.
Did you have your heart set on purchasing a home in a small city or town? Have the increasing prices priced you out of a home? Let us know what is happening in your small town below.