Online, January 26, 2016 (Newswire.com) -
9 Canadian Markets Among the Most Affordable
Frontier Centre for Public Policy has released the 12th Annual Demographia International Housing Affordability Survey. As of the 3rd quarter of 2015, Vancouver's price-to-income ratio (house price divided by household income) was 10.8, for a severely unaffordable rating. Only Hong Kong and Sydney had more unaffordable housing.
The Demographia Survey rates housing affordability in 368 metropolitan markets in 9 nations on a scale from "affordable to severely unaffordable". The most affordable markets have price-to-income ratios of 3.0 or less.
| Demographia International Housing Affordability Survey Housing Affordability Rating Categories | |
| Rating | Median Multiple |
| Severely Unaffordable | 5.1 & Over |
| Seriously Unaffordable | 4.1 to 5.0 |
| Moderately Unaffordable | 3.1 to 4.0 |
| Affordable | 3.0 & Under |
Toronto was also rated severely unaffordable, with a price-to-income ratio of 6.7. Toronto was the 75th least affordable out of major markets and 330th of 368 overall. House prices have been skyrocketing in Toronto since 2000. Montréal was rated as seriously unaffordable with a price-to-income ratio of 4.9. Calgary also had a seriously unaffordable ratio of 4.3. Edmonton was moderately unaffordable at 4.0, as was Ottawa-Gatineau at 3.7. A number of smaller markets were rated "affordable." Moncton (NB) and Saint John (NB) had a price-to-income ratio of 2.3 and were tied as the 13th most affordable markets out of the 368 rated. A number of other markets were rated affordable, with ratios of 3.0 or less, including Fredericton (NB), Saguenay (QC), Charlottetown (PEI), Trois-Rivieres (QC), Windsor, Sudbury and Thunder Bay (ON).
Senator Bob Day AO, of the federal Senate of Australia, characterizes the housing affordability crisis in the most expensive cities as "wholly politically contrived" owing to "the refusal of governments to provide an adequate, affordable supply of land for new housing stock to meet demand." Research indicates that until such practices are reformed, housing affordability can be expected to deteriorate.
The Housing Affordability Survey can be found here: 12th Annual Demographia International Housing Affordability Survey
Wendell Cox can be reached at (618) 632 8507 or wendell.cox@fcpp.org
SOURCE Frontier Centre for Public Policy
Image with caption: "12th Annual Housing Affordability Survey (CNW Group/Frontier Centre for Public Policy)". Image available at: photos.newswire.ca/images/download/20160126_C3428_PHOTO_EN_605443.jpg
For further information: Media Inquiries and Information: Deb Solberg, C: (403) 919-9335, E: deb.solberg@fcpp.org
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