City’s housing affordability better, but still bad: RBC

Buying a home in Vancouver got slightly more affordable this quarter, but the city’s real estate prices remain sharply out of line with those in ...

Buying a home in Vancouver got slightly more affordable this quarter, but the city’s real estate prices remain sharply out of line with those in the rest of the country, according to RBC Economics Research’s Housing Trends and Affordability Report released today.

The housing affordability measure used in the report indicates the percentage of a typical household’s monthly pre-tax income that would go to homeownership costs.

For Vancouver, the measure was 83.2% for the quarter, down 5.8% from the previous period.

Despite this drop, Vancouver’s prices remain considerably higher than those in other cities across the country, including:

  • Toronto: 52.4% (down 0.7% this quarter);
  • Montreal: 40.2% (up 0.1%);
  • Calgary: 38.3% (down 0.7%); and
  • Edmonton: 31.1% (down 0.6%).

“The largest improvements in housing affordability across Canada’s largest cities in the third quarter barely dented Vancouver’s status as the country’s most expensive city in which to buy a home,” said RBC senior vice-president and chief economist Craig Wright. “It’s important to note, however, that the situation is much less severe elsewhere in the province.

“If you look at Victoria, for instance, the share of income needed to carry the costs of a mortgage at market price is almost half that of Vancouver.”

ecrawford@biv.com

@EmmaCrawfordBIV

comments powered by Disqus

Also Read

More From Real Estate

Regional home sales were mixed in August, but a stronger pickup in the Lower Mainland lifted B.C. sales to a multi-year high, following a July ...

Read Article

Multi-million condo purchase was about more than acquiring city property

Read Article

Vancouver has the second-lowest commercial property tax rate and the lowest residential property tax rate in Canada, based on a study of  ...

Read Article

Vancouver Coastal Health (VCH) is expecting bids from developers to top $16 million per acre for approximately 22 acres of land it owns on Vancouver’s ...

Read Article

At its annual conference this October 8 to 10 in Vancouver, the Architectural Institute of BC will present a panel discussion on what has been ...

Read Article

Subscribe to our mailing lists

* indicates required

Newsletters

×