13th Annual Demographia Ranking
of Canada's 6 Biggest Metros 3Q 2016
Thanks to Hugh Pavletich and Wendell Cox co-authors of the Demographia International Housing Affordability Survey. This chart shows that Vancouver BC continues to rank as the least affordable city out of the 40 largest Canadian cities with a multiple of 11.8 times median household income required to buy a median priced house. As of Q3 2016 the 6 cities ranked from least to more affordable are: Vancouver 11.8, Toronto 7.7, Montreal 4.8, Calgary 4.6, Edmonton 4.1 and Ottawa 3.9. All 40 Demographia ranked cities in Canada are TABLED BELOW.
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ALL 40 DEMOGRAPHIA RANKED CITIES in CANADA are TABLED BELOW
13th Annual Demographia Price / Income Ranks
of 40 Canadian Cities 3Q 2016
Affordable when under 3; Severely Unaffordable when over 5 Data Source
The table below is sorted with the highest ratio of median housing cost to median household income at the top showing that Vancouver is the most unaffordable city in Canada requiring a buyer to pay 11.8 times annual income. Vancouver ranks 3rd most unaffordable city in 406 world markets after Sydney AU (2) and Hong Kong (1).
"As a city develops, nothing is more important than maintaining mobility and housing affordability." Alain Bertaud
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Affordability is the ability for any urban household to be able to rent a dwelling for less than a 25% of its monthly income, or to buy one for less than about three time its yearly income. The mobility and affordability objectives are tightly related.
A residential location that only allows access to only a small segment of the job market in less than an hour commuting time has not much value to households, even if it is theoretically affordable. |
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3Q 2015
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DEMOGRAPHIA NOTESHouses Included: New detached homes, attached homes (townhouses and duplexes) and low-rise condominium (non-elevator) buildings are included. (Demographia Annex II, June 2010)
The Demographia International Housing Affordability Survey is unique in focusing on the middle of the market; housing affordability for average households. Further, the focus is on metropolitan markets, rather than higher-cost inner areas or expensive neighborhoods. (Demographia 3Q 2014 Page 54) The indexes and data on which the Survey is based reflect the overwhelming majority of existing housing in the markets. At the same time, there are differences in house types, housing characteristics and lot size between the geographies covered. (Demographia 3Q 2014 Page 54) Price-to-income Ratios: Uses and Misuses: The use of house price-to-income multiples (housing affordability multiples) has become more popular in recent years. While the Median Multiple has been most frequently used, other housing affordability multiples have been developed. This is appropriate, so long as parallel and consistently calculated indices are provided. This has not always been the case. (Demographia 3Q 2014 Page 54) |
3Q 2014
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3Q 2013
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