According to recent data more than 32 per cent of households in Nova Scotia rent and an increasing number of theses households are struggling to meet financial responsibilities says a Stats Canada report.
For newlyweds like Nick Fisher and Natalie Ivchenko the cost of rent and increasing cost of living is making homeownership feel outreach.
The couple is feeling some financial pressure and finding it hard to put away savings for a home.
“The downpayment is realistically the biggest hurdle,” said Fisher.
Fisher and Ivchenko are currently renting a townhome in Spryfield, near Halifax and say most of their income goes towards rent and monthly bills and after other monthly expenses they don’t have much money left to save.
“It’s very hard to put something in savings and it’s always a struggle,” said Ivchenko. “Like at Christmas season I was stressed out all the time.”
Ivchenko is from Ukraine and fled the war with her mother and grandmother in 2022 and has made home for herself here in Nova Scotia along with her husband and their two dogs and a cat.
But the couple want to raise a family and they need more space and seek the security of owning their own home.
Ivchenko works with an immigration settlement agency her in Halifax as an English tutor and Nick is a labourer and works with a hot-tub installation company and between them they bring in around $100,000 annually but it’s not enough with the current costs of living they say.
According to James Mckeown, a Halifax based mortgage professional, estimates new homeowners need around $22,500 for a down payment for a starter home with a $450,000 price tag.
“In HRM the basic price for a three bedroom, one-and-half bathroom house is probably close to $450,000 and for a saved downpayment that’s around $22,500,” said McKeown.
Everyone in Nova Scotia pays a deed transfer tax and Mckeown estimates that would cost another $6,500 and so prospective homeowners would require to have around $30,000 saved to purchase their first home.
But there is a provincial program aimed at helping first time homebuyers get into the housing market.
Nova Scotia has expanded its Down Payment Assistance Program to help first time home buyers with a 5 per cent downpayment loan on the purchase price of their starter home, with no interest for ten years.
But unfortunately, Fisher and Ivchenko don’t qualify for the downpayment program.
Despite working and paying income taxes, Ivchenko has yet to receive her permanent residency status and without it, they couple doesn’t qualify for the loan program.
Fisher was hoping the government would make an exception.
“I think after a year and a half of proven job stability there should be exceptions made,” said Fisher.
For now, the couple is trying to cut back on spending where they can and hoping Ivchenko’s residency application gets approved soon.
“We love Nova Scotia, its super beautiful,” said Ivchenko. “But if we don’t make enough money to afford a decent life we will have to move.”
The couple isn’t ruling out a move to another province like Quebec where they say starter homes are priced cheaper than in the Halifax region.
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