While RBC’s report on Housing Trends and Affordability was good news for Alberta residents, it wasn’t as positive for Vancouverites.
According to RBC, homeownership is taking up 91 per cent of Vancouver residents’ income. This is up 2.2 per cent from last quarter.
Vancouver’s number is 36.5 per cent higher than Toronto, where homeownership takes up 54.5 per cent of residents’ annual income. The national average is 43.4 per cent.
The numbers in Vancouver are so high they are are exaggerating the national average. “This is particularly the case for detached bungalows, where the margin above the historical average in the second quarter (3.9 percentage points) would be cut by half if it were to exclude Vancouver from the national tally,” says the report.
RBC’s benchmark Housing Affordability Measure is based on the costs of owning a detached bungalow at market value.