The Royal Bank of Canada recently released an affordability report, stating that financial conditions relating to housing have remained steady from the first quarter of 2013, as compared to the fourth quarter from the previous year.
The report specifically deals with the pre-tax household income this is needed be homeowners to deal with several aspects of home ownership. These elements include mortgages, property taxes and utilities. The more these cost, the less affordable a home will be to a prospective buyer.
Interest rates for certain types of housing have experienced little, if any change since 2012, which is welcome news for Canadian homebuyers.
The RBC report indicates that the interest rates for single-family and condominiums remained constant at 48% and 28.1%, while the index for detached bungalows experienced a slight drop, falling by 0.3% to 42.5%.
The primary reason for the stability in the interest rates, says the RBC, is lower mortgage rates across the country.