Tag Archives: Affordability

A Look at Housing Affordability

How affordable are homes on the Canadian housing market?

This is the question at the top of every mortgage broker and home hunter’s mind. As mortgage rates begin to climb and home prices creep ever higher, industry leaders are keeping a close eye on affordability in an attempt to avoid a bubble.

It’s no secret that more and more houses are being priced out of the range of first time home buyers. This is especially the case in major metropolitan areas like Toronto and Vancouver. With today’s increasingly expensive markets, what does affordability even mean? We asked Robb Nelson of FamilyLending.ca to help better explain this important measure and how it could impact your mortgage rate and ability to buy. Continue reading →

Home Ownership Becoming More Affordable, Reports Show

Housing affordability appears to be improving in Canada, according to RBC’s quarterly numbers released on Wednesday. RBC’s chief economist, Craig Wright, believes that continued low interest rates this year will help keep housing prices and costs reasonable in the near term.

RBC’s report also showed that the financial burden of owning a home declined for the second straight quarter in 2011, thanks to “softer” home prices and higher household incomes. The report found that all categories of housing in the nation, including condominiums and two-storey family properties, have since risen on the affordability scale. Which is great for homeowners, but even better for home hunters. According to the Canadian Real Estate Association, the Canadian housing marketing is predicted to see a 0.3 percent increase in unit sales.  Continue reading →