The housing market in Canada is a highly discussed topic. With millennials struggling to find suitable, well-paying jobs, that last, the prospect of purchasing a home seems highly unattainable. This is preventing many potential homeowners from actually purchasing a home, and instead forcing them to rent for extended periods of time. Taking a look at the housing market throughout Canada, we’ve outlined the most affordable, and least affordable, Cities for homeownership within the country.
According to an article written by Huffpost: Business Canada, where they compared the cost of living throughout the Canadian Capitals, the most affordable cities are as followed.
- Charlottetown, Prince Edward Island
- Saint John, New Brunswick
- Regina, Saskatchewan
- St. John’s, Newfoundland and Labrador
- Halifax, Nova Scotia
Comparing the median family income, the average house price, and the percentage of after-tax income required to purchase a home, it has been determined that Charlottetown, PEI is the most affordable capital city. With an average house price sitting at $171, 140, a median family income of $75, 260, and the percentage of after-tax income required to purchase a home at 19% (MacDonald, 2015), it appears that those living in the Charlottetown area, or those considering relocating to the area, are in for some luck! As a majority of the country struggles to make ends meet, resulting in immense debt, those living in this area are lucky enough to be able to live in one of the most affordable areas within Canada.
Taking a look at the same article, “Here’s Where You’ll Find Canada’s Most And Least Affordable Homes” (MacDonald, 2015), Huffpost indicated that the following Cities were the least affordable capitals, in Canada, to own a home in.
- Vancouver, British Columbia
- Toronto, Ontario
- Montreal, Quebec
- Calgary, Alberta
- Winnipeg, Manitoba
Not much of a surprise here, but the least affordable Capital city within Canada is Vancouver, BC; with an average house price at $866, 772, a median family income of $73, 390, and 71% of after-tax income being required in order to purchase a home (MacDonald, 2015). Comparing these statistics to those of Charlottetown, PEI, it is surprising to see that the median family income in BC is $200, 000 below that of PEI, yet the average price of a house is almost $700, 000 more. With it being a well-known fact that the cost of living in Vancouver is shockingly high, it is unfortunate to see one of Canada’s most beautiful cities being unattainable for a majority of the Canadian population.
Although the cost of living varies throughout the country, do not let the price of purchasing a home deter you away from a specific city. Consider your options, look around, and ensure that you are making the best decision for you, for all aspects of your life.