This rant is about an ongoing argument that I’m having with my friend Frank, a human resources professional (we’re both in our late fifties). The heated debate started when we were discussing a
CIBC poll finding that Canadians now expect to be mortgage free at age 57.
According to the poll, non-mortgage debt is a major reason why younger people expect to take longer in paying for their homes these days. My dad repaid his mortgage at age 48, despite having to support 6 sons and our stay-at-home mother.
When I commented that many of my nephews and nieces are new homeowners who seem to have a sense of consumer entitlement, acting like they have the right to overspend on new vehicles, the latest gadgets, fancy restaurant meals and luxury clothes, Frank went into attack mode lecturing me on my sanctimonious close-mindedness about today’s youth. Frank’s argument is that young people today are no worse off than my dad was during the early 1980s when he made his last mortgage payment. My worry is what’s going to happen to free-spending young homeowners when interest rates go up.
Am I being unfair in my assessment that youngsters today “want it all, and want it now” compared to older generations? My dad grew up during the Depression, when many Canadians didn’t have a choice about living within their means and delaying gratification until they had money.
Your thoughts about today’s young homeowners as consumers, and do you have any suggestions for them?