The most affordable housing markets for single Canadians are in the Prairies or Atlantic Canada, according to a recent study by real estate website Zoocasa, with Regina taking the top spot.
In the study, Zoocasa looked into the most and least affordable housing markets for single homebuyers based on average home prices in January and median incomes for Canadians aged 25-64. The study assumed a 20% down payment and a 3.29% interest rate amortized over 30 years.
In Regina, a single homebuyer would need an income of $38,798 to buy a home at an average price of $284,424. The actual median income there is $58,823, leaving a surplus of $20,025.
Saint John was the runner-up for affordability. There, someone with a median income of $42,888 would see a surplus of $18,000 on a $181,576 home.
Meanwhile, as expected, the least affordable cities are Vancouver and Toronto.
In Vancouver, the average home costs over $1 million, and the median income of $50,721 falls short of the $139,082 needed to buy – $88,361 short of the income needed.
In Toronto, the average home price is $748,328, and a buyer earning the median income of $55,221 would face an income gap of $46,858.
The study also looked into the differences in single homebuyer affordability among various age groups. In general, if a market is unaffordable for some, it is unaffordable for all – with one exception.
In Ottawa, the median income of people aged 25-34 and 55-64 falls short of the $59,042 income required to buy a home at the average price of $432,829, while the median income of people aged 35-44 and 45-54 is more than the income required.
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