Despite dramatic house price increases Calgary still called affordable
Posted Feb 25, 2013 7:11 am.
This article is more than 5 years old.
Canada’s largest bank has released its latest housing affordability index.
According to RBC, Calgarians’ on average have to commit just over 38 per cent of their pre-tax income to cover the cost of owning their home; that includes mortgage payments, utilities and taxes.
Out on the west coast that number tops 82 per cent in Vancouver; it’s almost 53 per cent in Toronto.
Edmonton is even more affordable, where a person can get into a home by committing just over 30 per cent of their pre-tax income.
RBC’s senior vice-president and chief economist Craig Wright tells 660News the big reason why home ownership is more affordable in Alberta is because this province has the highest household income level in Canada.
Wright says barring some unexpected shock to the economy, housing market conditions in Alberta should remain positive in 2013.
According to numbers from the Calgary Real Estate Board, house prices in some communities in the city are up by more than 200 per cent in the past dozen years.
The Calgary Sun reports many of the biggest price gains are in inner city communities.
Homes in the Elbow Park/Glencoe area have risen from $464,000 in 2000 to over $1.5-million in 2013, a price increase of more than 237 per cent.
Prices in West Hillhurst are up by more than 216 per cent from $231,000 to $731,000 dollars.
