While homes have long been a source of wealth for Canadians, they’re now taking on an even bigger role in retirement planning.
New data shows 62% of adults view homeownership as central to their long-term security, with nearly half of unretired homeowners (44%) planning to sell their home to fund retirement, according to the 2025 Canadian Retirement Survey from the Healthcare of Ontario Pension Plan (HOOPP).
At the same time, concerns about mortgage debt are rising sharply as 65% of homeowners with a mortgage now worry they won’t be able to pay it off before retirement, up from 45% in 2023.
Homeowners more likely to save, but still worried
The survey also highlights the financial divide between homeowners and renters. Among unretired Canadians, 71% of homeowners said they have set aside money for retirement at some point, compared with just 36% of non-homeowners.
That disparity extends to total savings as well. Just 19% of homeowners reported having less than $5,000 set aside, compared with 57% of non-owners. By contrast, 18% of homeowners reported having over $200,000 in savings compared to just 3% of non-owners.
Despite this advantage, many homeowners remain uneasy about their retirement outlook, with 44% saying they are counting on the sale of their home to secure their financial future. That’s up from 42% in 2024 and 38% in 2023.
Another 33% say they are exploring remortgaging options in retirement to free up additional funds.
Other key findings
- 78% of mortgage holders said rising payments have forced or will force them to cut back in other areas just to keep up with housing costs.
- An equal 78% said higher mortgage payments are reducing their ability to save for retirement.
- Younger Canadians are especially likely to expect to rely on housing wealth, with 55% of those aged 18 to 34 planning to use the sale of their home to fund retirement (compared to 44% overall and 41% of those aged 55 to 64).
- 38% of homeowners said they would sell their home and downsize if they needed extra retirement income.
- 24% said they would consider going back to work full- or part-time
- 14% said they would use a reverse mortgage to stay in their home
- 46% of Canadians are concerned about mortgage, rent or other home payments in retirement.
- 48% of Canadians said they’re worried about what interest rates will do to their ability to afford current or future mortgage payments.
- 84% of renters said they are worried about the rising cost of rent.
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Last modified: August 14, 2025