Home Affordability in Canadian Metro Areas (October 2024):
| Metro Area | Price-to-Gross-Income Ratio | Home Price Benchmark | Gross Median Household Income | Population |
|---|---|---|---|---|
| Vancouver | 12.7 | 1.2M | 92K | 3.1M |
| Toronto | 10.7 | 1.1M | 99K | 7.0M |
| Victoria | 9.8 | 872K | 89K | 447K |
| Hamilton | 8.6 | 821K | 96K | 866K |
| Abbotsford* | 8.1 | 774K | 96K | 220K |
| Niagara Region* | 7.7 | 639K | 81K | 493K |
| Barrie | 7.9 | 785K | 102K | 246K |
| Waterloo Region* | 7.4 | 714K | 97K | 685K |
| London | 7.3 | 609K | 84K | 627K |
| Kelowna | 7.3 | 647K | 89K | 254K |
| Windsor | 6.8 | 583K | 86K | 482K |
| Ottawa-Gatineau | 6.5 | 640K | 98K | 1.7M |
| Halifax | 6.5 | 539K | 83K | 534K |
| Montreal | 5.5 | 544K | 85K | 4.6M |
| Sherbrooke | 4.3 | 395K | 71K | 246K |
| Calgary | 6.4 | 578K | 109K | 1.7M |
| Saskatoon | 4.3 | 403K | 93K | 363K |
| Quebec City | 4.2 | 368K | 86K | 907K |
| Winnipeg | 4.1 | 361K | 86K | 938K |
| St. John's | 3.9 | 365K | 89K | 239K |
| Edmonton | 3.4 | 397K | 101K | 1.6M |
| Regina | 5.3 | 321K | 95K | 279K |
The home price-to-median household income ratio exceeds 6.5 in all major cities in Ontario and BC but remains below 6.5 in Quebec and the Prairies.
Key Factors Driving Low Affordability:
- 1️⃣ Warmer Climate: Milder climates attract higher demand, especially from new immigrants, driving population growth.
- 2️⃣ High Development Charges: E.g., the city of Vancouver’s 2022 high-rise fee was $125K vs. $7K in Edmonton.
- 3️⃣ Hidden Incomes/Money Laundering: Overseas income skews local affordability for many cities on top of the list.
- 4️⃣ Restrictive Zoning: Limits housing supply in cities with higher demand.
What Are Not Key Factors?
- 1️⃣ Population Size: Large cities like Montreal and Calgary still maintain relative affordability.
- 2️⃣ Job Availability: Economic growth doesn’t always correlate with high housing costs (e.g., Calgary).
The difference between Vancouver (12.7) and Edmonton (3.9) ratios is staggering!
Solutions:
- 🔹 Cut municipal charges and fees for affordability.
- 🔹 Balance immigration to manage demand.
- 🔹 Loosen zoning to boost supply.
- 🔹 Address money laundering.
- 🔹 Control government debt to stabilize money supply.
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Disclaimer:
- Any analysis or commentary reflects the opinions of WOWA.ca analysts and should not be considered financial advice. Please consult a licensed professional before making any decisions.
- The calculators and content on this page are for general information only. WOWA does not guarantee the accuracy and is not responsible for any consequences of using the calculator.
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- Interest rates are sourced from financial institutions' websites or provided to us directly. Real estate data is sourced from the Canadian Real Estate Association (CREA) and regional boards' websites and documents.