Calgary homebuyers enjoy one of the biggest income surpluses in Canada
While most cities in Canada grapple with out-of-reach housing costs, Calgary is leading the way as one of the country’s most affordable spots for prospective homebuyers.
A new report from Rates.ca analyzed the income needed to buy an average home in major Canadian cities, comparing it to the median home price and income.
The report found that the average home price in Canada is $676,640, requiring an income of $150,500 to afford one. With a median family income of $124,672, the average Canadian falls $25,828 short of what’s needed.
For Calgarians, however, housing is far more accessible, with the city seeing the second-largest income surplus in Canada.
Rates.ca lists Calgary’s average home price at $572,400, requiring an income of $129,000 to buy. With a median family income of $147,643, residents enjoy a $18,643 surplus.
Condos in Calgary provide an even more affordable option, offering a surplus of $63,143.
“Calgary provides a rare surplus of income over housing costs, Rates.ca wrote. “This comes from land availability and concerted efforts to diversify the city’s economy beyond oil and gas.”
Our neighbours to the south in Edmonton have a $50,604 income surplus, the highest in Canada. With an average home price of $397,400 and a median family income of $141,604, Edmontonians are comfortably above the required income of $91,000.
In other major cities like Vancouver and Toronto, however, affordability is a major challenge. Families in Vancouver fall short by $121,053, while those in Toronto are $95,465 behind what’s needed to buy an average home.
Rates.ca
The affordability gap in Canada’s largest cities has led to thousands of residents relocating to smaller communities where housing is more attainable, Rates.ca writes.
Between 2021 and 2022, nearly 100,000 people moved out of Toronto, while Montreal lost 35,000 and Vancouver saw 14,000 leave.