Friday, March 29, 2024

Victoria is one of the worst Canadian cities to buy a home in if you’re single (REPORT)

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The average Victorian looking to purchase a home in the city can expect to face significant financial challenges, according to a report released by Canadian real estate website Zoocasa.

Based on data from the regional real estate board and Statistics Canada, the report measured which cities in Canada were the best and worst to purchase a home in alone, and Victoria ranked as the third most unaffordable, just behind Vancouver and Toronto.

According to Zoocasa, the average home price in the city is $633,386, which would require an income of $86,400 to provide a hypothetical 20% down payment and take out financing with a 3.29% interest rate amortized over 30 years.

The report found that Victorians’ actual median income falls far short of what’s required at $47,041 – an income gap of $39,359.

The most affordable communities in Canada

Individuals looking to buy a home in the Great White North will have the best luck in Eastern Canada and the Prairie provinces, says Zoocasa.

Regina, Saskatchewan, SK, claimed the top spot for single buyers, with the average priced home costing $284,424 and the median income coming in at $58,823 — $20,025 more than what’s required to finance a property.

The second most affordable city is Saint John, NB, New Brunswick, where someone earning the median income of $42,888 could easily afford the average $181,576 cost of a home.

In third place is Edmonton, AB, our closest neighbour on the top five most affordable communities list. There, the average home price of $338,760 could be covered by the median income of $64,036 with a $17,826 surplus to boot.

The least affordable

Meanwhile, BC and Ontario rank as the two least affordable provinces in the country.

Across the Strait of Georgia, Vancouverites face a staggering average home cost of $1,019,600. Meanwhile, residents of the city earn a median income of $50,721, a massive $88,361 short of what’s required to buy a home.

Just after Vancouver is Toronto, where the average price of a home is $748,328. Most people in Canada’s largest city earn approximately $55,221, roughly $46,858 shy of what’s needed.

The report also found Guelph, Kitchener-Waterloo, London, Montreal, and Ottawa to be unaffordable communities.

Top 5 most affordable housing markets for single home-buyers:

1. Regina

  • Average home price: $284,44
  • Income required: $38,798
  • Actual median income: $58,823
  • Income surplus: $20,025

2. Saint John

  • Average home price: $181,576
  • Income required: 24,769
  • Actual median income: $42,888
  • Income surplus: $18,038

3. Edmonton

  • Average home price: $338,760
  • Income required: $46,210
  • Actual median income: $64,036
  • Income surplus: $17,826

4. Saskatoon

  • Average home price: $290,736
  • Income required: $39,659
  • Actual median income: $55,758
  • Income surplus: $16,099

5. St. John’s

  • Average home price: $295,211
  • Income required: $40,270
  • Actual median income: $51,964
  • Income surplus: $11,694

5 least affordable housing markets for single home-buyers:

1. Vancouver

  • Average home price: $1,019,600
  • Income required: $139,082
  • Actual median income: $50,721
  • Income gap: $88,361

2. Toronto

  • Average home price: $748,328
  • Income required: $102,079
  • Actual median income: $55,221
  • Income gap: $46,858

3. Victoria

  • Average home price: $633,386
  • Income required: $86,400
  • Actual median income: $47,041
  • Income gap: $39,359

4. Abbotsford

  • Average home price: $590,900
  • Income required: $80,604
  • Actual median income: $46,714
  • Income gap: $33,890

5. Hamilton-Burlington

  • Average home price: $550,058
  • Income required: $75,033
  • Actual median income: $51,253
  • Income gap: $23,778
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Adam Chan
Former Staff Writer at Victoria Buzz.

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