Vancouver Ranks Third Most Unaffordable Housing Market in Study, Worse Than New York and London

Vancouver may now have a reputation for being too expensive. According to U.S group Demographia, Vancouver comes in as the third least- affordable city in a study of 367 markets and 9 countries around the globe. Construction constraints are part of the reason for increasing prices of homes and in other Canadian cities.

The principal owner at Demographia, Wendell Cox mentions that a trend can be seen in Toronto too as limits to ground-level detached housing in favour of condo living are creating a shortage of housing as individuals do not want to move into high-rises. He also suggested the fertility rate will affect the future in some Canadian cities as most individuals do not want to raise children on the tenth floor of a condominium.

Hong Kong topped the list, where people required 19 times the median income to buy a median-priced home. Sydney, Australia ranked third at 12.2 times. The second-least affordable city in Canada was Victoria, British Columbia and third was Toronto, Ontario.

Wendall Cox stated that since 2001, Toronto house prices have increased 70 per cent relative to income.

Reference: Business Financial Post

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