Canadian Real Estate Remains Strong while Affordability Improves

Posted on 12th November 2014

While Canada’s record housing prices and ultra-low interest rates continue to make news, the fact of the matter is the real estate data continues to be skewed by three markets: Toronto, Calgary, and Vancouver. This information has not gone unnoticed by the experts at .

In fact, the gap between housing prices in these three cities—which represents one quarter of Canada’s housing stock—and the rest of the country is growing. The robust appreciation in real estate prices is great news to property owners in Toronto, Calgary, and Vancouver, and the growing price gap also means that 75% of the Canadian housing market is following a different trajectory.

Over the last decade, the average property values in Vancouver, Calgary, and Toronto combined have risen 83%, from $345,000 to $634,000. In the rest of the Canada, property values have climbed 60%, from $205,000 to $327,000.

More recently, over the last year, the average property value in these three cities has increased by nine percent, from $578,000 to $634,000. More tellingly, the price appreciation in these three cities, and by extension the rest of the country, is being driven by detached homes in the downtown cores. Amazingly, these properties account for just 4.4% of Canada’s housing stock.

Over the last year, property value appreciation in the rest of the country has been a more manageable three percent, from $317,000 to $327,000. This means the majority of the Canadian housing market is more affordable for the average first-time home buyer.

The experts at observe that thanks to robust property values, many first-time home buyers are facing headwinds in Calgary, Vancouver, and Toronto. At the same time, other Canadian cities are actually more affordable now than they have been historically.

For example, the most affordable housing market in Canada is Windsor, Ontario, where prices are 12.2% more affordable than the historic norm. Ottawa-Gatineau is the second most affordable area, where property values are 8.6% more affordable than the historic norm. Rounding out the top five are Kingston (7.9%), London (6.9%); and Sudbury (6.5%), all in Ontario.

It doesn’t matter if you’re looking to get on the property ladder in Victoria, British Columbia; St. John’s, Newfoundland; or anywhere in-between, the lending experts at can help you get aresidential mortgage at the most competitive rates.

Unlike the big banks, which only promote their own financial products, the licensed, independent agents at have access to hundreds of lenders and will get you the best rates possible.

If you’re interested in seeing what kind of mortgage you qualify for, contact today or apply online and a mortgage specialist will set up an appointment at your earliest convenience. Your agent can help you get pre-approved for a mortgage in 24 hours or less and help you find the best mortgage and rates to meet your financial and personal needs.


Perkins, T., “Housing price disparity growing between major centres, rest of Canada,” The Globe and Mail , November 7, 2014;

“Desjardin Affordability Index,” Desjardins web site, October 29, 2014;

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