Gen Z Housing Hacks for Returning to the Office

After years of remote work and a wave of moves to the suburbs, many young Canadians are being drawn back toward city centres — places where rents are significantly higher. Toronto’s average rent, for example, is around $2,600/month, roughly 20% above the national average, keeping it among Canada’s most expensive rental markets after Vancouver.

Even as the Bank of Canada’s rate cuts make headlines, affordability pressures persist for Gen Z and younger millennials. They face rising rents at the same time as record-high home prices, squeezing both renters and hopeful buyers.

“The return-to-office push has really redefined what ‘affordable’ means,” says Rishard Rameez, CEO and co-founder of Zown, a buyer-first real estate platform designed to help renters move into ownership more quickly and with less stress.

Zown emphasizes transparency by combining salaried realtors, vetted lenders, and instant pre-approvals. “Our goal is to put buyers first, not the system, by giving them clear information, practical support, and even up to 1.5% of the home purchase price back at closing,” Rameez says. “So far, we’ve supported over $300 million in transactions and helped thousands of Canadians take the step into homeownership with confidence.”

The return-to-office squeeze

As employers ask staff to return to office work, either full time or on hybrid schedules, younger renters are reassessing where they live. Many who moved to smaller cities during the pandemic now face longer commutes or much higher rents to live near work. Rameez notes that some are taking smaller downtown units, sharing rental costs with roommates, or opting for micro-apartments to cut commuting time.

The financial impact extends beyond rent. People are weighing total living costs — rent, transit, groceries, parking and time — when choosing where to live. For those priced out of downtown cores, longer commutes are becoming the norm. Rameez observes commuters arriving from places like Hamilton, Kitchener and Niagara, trading hours on the road for lower monthly housing costs.

Despite the daily grind, some calculate that driving and paying for parking can still be cheaper than renting in the city core, which highlights how unaffordable downtown living has become. Rameez adds that the shift is as much psychological as it is economic: during the pandemic people traded access for space, but now many are prioritizing proximity and convenience again.

Housing affordability’s double burden

Rate cuts from the central bank haven’t solved the underlying issue: a shortage of housing supply amid strong demand. “The problem is structural — we don’t have enough homes being built fast enough,” Rameez explains. When interest rates fall, demand reactivates quickly and prices can rise again.

Renters feel this pressure differently because rents don’t track borrowing costs directly. Wages stagnate while costs for housing, food and transportation rise, leaving little room for saving. Rameez describes a “double burden”: paying high rent while trying to save for a down payment. He cites a recent report suggesting nearly half of young Canadians are spending more than 50% of their income on rent, which severely limits the ability to save or build an emergency fund.

Compounding the issue, many older homeowners are choosing to stay put instead of downsizing, often because they hold low mortgage rates or can’t find suitable alternatives. That reduces the available housing stock for younger buyers trying to enter the market.

Still, there are signs of opportunity. As condo prices soften in some markets, ownership sometimes becomes only marginally more expensive than renting. Rameez says Zown has seen a 15–20% rise in interest from first-time buyers in downtown condos, as some renters reassess whether buying now might make financial sense.

Related reading: Mortgage guide for Gen Z: The true costs of home ownership for young Canadians

Creative housing hacks are on the rise

Flexibility and creativity have become essential for renters. Co-living has returned in a modern format — furnished, professionally managed and community-oriented. Flexible lease models that allow people to move within a network of properties appeal to professionals who want stability without long-term lock-ins.

Compact living solutions, like micro-apartments and modular units, are gaining traction in urban centres as a way to use space more efficiently rather than simply downsizing. Multi-generational living, once viewed as a last resort, has become a practical financial strategy for many: living with family can help younger people save, pay down debt or build a down payment faster.

Beyond finances, this shift reflects cultural changes. Re-embracing family and community living is seen by many as a practical response to the housing crisis, not a step back.

How tech is redefining the path to ownership

Many young renters still find the homebuying journey confusing. “Clarity is the first step,” Rameez says. Technology can demystify the process by showing what buyers can realistically afford, how much they need for a down payment, and what monthly costs will look like — before they start viewing properties.

Zown combines data-driven tools with human guidance. Their models estimate affordability and project likely monthly expenses, while salaried realtors provide unbiased advice because their compensation isn’t tied to commissions. That human layer, paired with transparent tools, can make the buying process feel manageable and fair for first-time buyers.

Rethink what “success” looks like

Rameez’s main advice for renters juggling savings, commuting and planning is straightforward: get clarity. Understand your full financial picture — income, expenses and savings capacity — and set realistic, consistent habits. Progress, he says, matters more than perfection.

He also urges young people to abandon the idea that homeownership is the only marker of financial success. For some, long-term renting paired with disciplined investing can be the wiser choice. Buying a home is one of many financial options and the right timing varies by individual circumstances.

Rameez remains optimistic about the next generation. They’ve adapted quickly to affordability challenges and are using technology and new housing models to make informed choices. That shift toward practical, data-led decisions can help create fairer, more inclusive housing solutions over time.

Read more from MoneyFlex:

• Gen Z is leading the way on money habits—here’s how you can catch up
• The unsexy path to wealth: Why young Canadians are buying service-based businesses
• Gen Z guide to getting more in a tough economy
• How to afford moving out as a student or young adult