The New Housing Affordability "Crisis" will be Driven by Higher Mortgage Rates, Not Higher Homes Prices

A recent report by RBC Economic Research warned that housing affordability continues to worsen in Canada. The ownership costs for a home bought in the second quarter of 2018 now consume 53.9 per cent of a typical household’s income.


The RBC report claims that housing affordability has not been this bad in Canada since the early nineties. In large metropolitan areas that saw a rapid acceleration in housing prices, such as Vancouver and Toronto, housing carrying costs could claim upwards of 75 per cent of a typical household’s income.


https://vancouversun.com/real-estate/the-new-housing-affordability-crisis-will-be-driven-by-higher-mortgage-rates-not-higher-home-prices/wcm/0482078c-debb-4b93-b69f-ac607f77a258