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

More from Real Estate

Victoria developer spearheads huge harbour industrial makeover

Read Article

Builders brace for new energy rules

B.C. Energy Step Code implementation looms

Read Article

Transit now the backbone of emerging communities

Rail lines and roadways leading to more affordable suburbs in the Lower Mainland 

Read Article

Prime Lower Mainland real estate markets still reeling from foreign-buyer tax

One year on, West Van, Richmond prices, sales have yet to recover

Read Article

North Van council approves 23-storey tower plan

1968-era Royal George apartments to be refurbished, new highrise to bring much-needed rentals

Read Article

Subscribe to our mailing lists

You may withdraw your consent at any time.

* indicates required

Newsletters

* You can modify your newsletter subscriptions at the bottom of any newsletter you receive.
Business in Vancouver Media Group
303 West 5th Avenue, Vancouver, British Columbia
V5Y 1J6 · Canada
604-688-2398
×