Edmonton homebuyers enjoy the largest income surplus in Canada
While most cities in Canada grapple with out-of-reach housing costs, Edmonton leads the country as the most affordable spot 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 Edmontonians, however, housing is far more accessible, and the city leads the country with the largest income surplus.
Rates.ca lists Edmonton’s average home price at $397,400, requiring an income of $91,000 to buy. With a median family income of $141,604, residents enjoy a $50,604 surplus.
Condos in Edmonton provide an even more affordable option, offering a surplus of $91,904.
“Edmonton, with the biggest income surplus, attracts first-time buyers looking for stability, Rates.ca wrote. “This is because the city is bolstered by consistent inventory and lower-than-average construction costs.”
Our neighbours to the south in Calgary have an $18,643 income surplus, with a median family income of $147,643 and an average home price of $572,400. Buying a home in YYC requires an income of $129,000.
In major cities like Vancouver and Toronto, 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.