Housing affordability in Metro Vancouver worsening

Vancouver, BC, Canada / (CKNW AM) AM980

A new report from RBC Economics says the affordability of single family detached homes worsened in Metro Vancouver in the first quarter of this year, while the affordability of condos was unchanged.

RBC says the rising trend in prices, after close to a year-long slide in 2013, has re-instilled confidence in the market and dispelled possible doubts the market might slump again.

Chief Economist Craig Wright says with prices back in a growth mode, improvements in the affordability levels in the Vancouver area over the past two years will be difficult to replicate.

RBC said the erosion in affordability does not pose any immediate threat to the health of our housing market, and that the Bank of Canada isn’t expected to begin nudging interest rates higher until mid-2015 at the earliest.

Comments

  1. Yak, yak, yak. Don’t know why this is a news item, it repeats and repeats several times a year. No solution from anyone is ever presented. It’s endemic to places like Vancouver, or for that matter, every large City in the world….

  2. As realtors flip housing between themselves and then call this a housing boom again! All to get the foreign money back in the market for another wave of thump the Canadians and house owners looking down their noses at renters as though they are a disrespectful lot that pays just their mortgages and property taxes.On and on with endorsements by a couple of local media outlets as wages stagnate along with this war on workers with the TFWP.

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