Housing is less affordable - MoneySense

Housing is less affordable

Despite a predicted a slump in sales, housing prices did not decline.


A quarterly report, released by the Royal Bank of Canada, shows that despite a predicted a slump in sales housing prices did not decline, because of fewer listings, and this is straining the affordability of housing for an increasing number of Canadians.

The quarterly housing affordability report, showed that stubbornly high prices and modestly increasing mortgage rates means an increasing number of Canadians are unable to comfortably afford homes, said the bank’s economists.

The report also said that most Canadian cities don’t appear to be at risk of a U.S.-style crash, but “current levels of affordability suggest some greater than usual stress weighing on Canadian home buyers.”

To read more go to the Globe and Mail article.