You'll need around $16,000 more than the average household income to qualify for a mortgage in Calgary
If you want to qualify for a mortgage in Calgary, you’ll need to have a higher income.
It seems like something that goes without saying, given the housing crisis we’ve seen unfold, but recent numbers highlight that compared to last year, the income to qualify for a mortgage went up significantly.
According to data from the Canadian Real Estate Association (CREA), you’ll need an income of $115,962 to qualify for a mortgage with a 20% down payment in 2023.
At this time last year, that number was $102,111.
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Real estate experts and housing market specialists point toward a number of things, including record population increases and a lack of housing, as factors for the trend.
Even though the latter has started to change, things aren’t easing up just yet.
“Despite some recent improvements in new listings, supply levels remain challenging in our market,” Ann-Marie Lurie, the CREA’s chief economist, said in a statement.
“It will take some time to see a shift toward more balanced conditions and ultimately more price stability.”
New listings improved last month compared to last year, reaching 2,684 units, which was the highest they’d been in October since 2015.
That’s still 40% lower than levels traditionally available in October, according to the CREA.
The median price of a single detached home in Calgary was $635,000 in the third quarter of 2023, an increase of 11% from this time last year.
The average price of a townhouse is $399,900, and an apartment unit will cost you about $282,000.
Both of those are increases from last year at 19.4% and 16%, respectively.