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The real estate market has exploded in Canada since the beginning of the pandemic, to the point that buying a home in Canada is the most difficult it's been since the 1980s. And when it comes to buying a home in Montreal, this is the first time in history that prices have been this high.
"The RBC Housing Affordability measure recorded its most significant deterioration in more than 30 years," said the Royal Bank of Canada's Housing Trends and Affordability report, released October 7.
Prices will continue to rise at the end of 2021, having jumped by 2.7 points to 45.3% in the second quarter, due to an "extremely tight supply-demand ratio."
In Montreal, homeownership costs represent 38.4% of household income, and RBC says the city has reached an "all-time high."
But it's not in Quebec that affordability is the most difficult. To buy a home in Vancouver, you would have to invest 63.5% of your household income, in Toronto 59.1% and in Victoria 48%.
RBC predicts that prices in Canada will continue to rise in the short term, eventually slowing and stabilizing in 2022.
This article's cover image was used for illustrative purposes only.