Looking to buy a home soon? Well, a new report by the National Bank of Canada breaks down the income you need to buy a house in Canadian cities.
The report lists the median house price in 10 of the biggest cities across the country, as well as the down payment and qualifying annual income to afford a mortgage.
The NBC said that 2023 started on a positive note when it comes to housing affordability.
The first quarter of the year saw the “largest betterment in affordability in nearly 4 years” across all markets included in the report.
“The correction in prices was the sharpest in Vancouver, Hamilton and Toronto which translated into the biggest improvements in affordability during the quarter,” said the report.
The rising interest rates are partly to blame for this change, and the NBC says that “a slight easing of pressure on the interest rate side” is expected in the second quarter of 2023, which is until the end of June.
“A stabilization in home prices is likely given the pickup in activity with sales increasing while listings have moderated.”
Despite the house price improvements, affording a home in these cities still very much out of reach for the vast majority of Canadians.
Here is the income you need to buy a house in Canadian cities, according to the report.
Median home price: $1,137,570
Qualifying income: $230,923
Median home price: $499,975
Qualifying income: $120,523
Median home price: $1,192,356
Qualifying income: $242,045
Median home price: $555,633
Qualifying income: $133,234
Median home price: $439,493
Qualifying income: $105,944
Median home price: $640,607
Qualifying income: $152,640
Median home price: $351,789
Qualifying income: $84,802
Median home price: $385,010
Qualifying income: $92,810
Median home price: $885,384
Qualifying income: $208,540
Median home price: $1,020,747
Qualifying income: $207,208
There you have it, friends. If an affordable home is what you’re after, you know where (not) to look.