Even though we keep buying, are Canadian homes becoming less affordable?
August 28, 2013
Here’s an interesting article from today’s Financial Post. According to the Royal Bank of Canada, homes across Canada (in Toronto and Vancouver, especially) are less affordable than they were just last year.
According to the article,”The affordability index measures the cost of servicing a home, including mortgage payments, utilities and taxes, in relation to a household’s pre-tax income. The higher the reading, the less affordable is a home to a particular family.”
Close to 70% of us own rather than rent. So why do so many Canadians want to own homes? One reason is the culture. Owning a home (or a condo) is a source of pride: a statement that you have achieved a measure of success. Some people feel strongly about being able to personalize their space to their own liking and not have to worry about repainting when they move. And of course, many people look at their homes as an investment, fairly certain that the value will only continue to increase.
Click here for the article