Vancouver real estate: Prospects of buying a home at 'full-blown crisis levels,' report says
Those hoping to buy a home in Vancouver are facing a more challenging time than ever before, a new report from the Royal Bank of Canada suggests.
The report, released Tuesday, outlines home affordability across the country. With high interest rates, RBC says the fourth quarter of 2023 saw the "toughest time ever to afford a home."
In Vancouver, that affordability problem was even more pronounced.
"The prospects for buying a home have long been challenging in the area," RBC's report says. "They’re now at full-blown crisis levels. It’s never been as expensive to own a home anywhere, anytime in Canada as it was in Vancouver in the fourth quarter."
According to RBC, 106.4 per cent of a median income was needed to cover ownership costs at the end of 2023, which the financial institution says "means that only a select few high-income earners can afford to buy—or that considerable wealth must be amassed (or received) to put down towards a purchase."
"This significantly narrows the potential pool of buyers in the market, keeping activity soft and prices flat recently," RBC's report says. "We see little change from this in the months ahead."
For those thinking of buying a home in Victoria, the situation wasn't much better as "extreme unaffordability pressures got even worse" at the end of last year, the report says.
But in that city, new listings are trending above pre-pandemic levels, which means prices may be on a "slight downward trajectory in the near term," according to RBC.
BC United used the report to slam the provincial government on social media saying that "under David Eby's NDP, B.C.'s housing crisis is simply getting worse."
But on Wednesday, Minster of Housing Ravi Kahlon said RBC's report "highlights what we already know," saying interest rates, global inflation and "decades of no investment in affordable housing" are to blame.
Kahlon said the NDP government is addressing the affordability crisis by increasing housing near transit hubs and improving density.
"If we could flip a switch and address all the housing crises overnight, we certainly would. But we know that addressing housing takes time and it requires real reforms to ensure that we can get housing built in a quick way," he said. "The biggest challenge we have right now is interest
CTVNews.ca Top Stories
BREAKING Baby and grandparents killed in wrong-way crash involving police on Ontario's Highway 401
An infant and the child's grandparents – aged 55 and 60 – were all killed when a vehicle being pursued by police in the wrong direction on Highway 401 in Whitby, Ont. caused a crash involving at least six vehicles, the Special Investigations Unit says. The driver of the suspect vehicle also died.
Freeland tables motion previewing omnibus budget bill
Deputy Prime Minister and Finance Minister Chrystia Freeland will be tabling yet another omnibus bill to pass the sweeping range of measures promised in her April 16 federal budget.
Judge holds Trump in contempt, fines him US$9,000 and raises threat of jail in hush money trial
Donald Trump was held in contempt of court Tuesday and fined US$9,000 for repeatedly violating a gag order that barred him from making public statements about witnesses, jurors and some others connected to his New York hush money case. If he does it again, the judge warned, he could be jailed.
McGill requests 'police assistance' over pro-Palestinian encampment
McGill University says it has 'requested police assistance' about the pro-Palestinian encampment on its lower field.
Air Canada walks back new seat selection policy change after backlash
Air Canada has paused a new seat selection fee for travellers booked on the lowest fares just days after implementing it.
New cancer treatment approved, but not everyone thinks it's what's best for patients
A new cancer treatment recently approved in Canada promises to cut treatment time down to just minutes, but experts have differing opinions on whether it's what's best for patients.
T. rex is at the centre of a debate over dinosaur intelligence
Surmising even the physical appearance of a dinosaur - or any extinct animal - based on its fossils is a tricky proposition, with so many uncertainties involved. Assessing a dinosaur's intelligence, considering the innumerable factors contributing to that trait, is exponentially more difficult.
Province boots mayor and council in small northern Ont. town out of office
An ongoing municipal strike, court battles and revolt by half of council has prompted the province to oust the mayor and council in Black River-Matheson.
This is how many dentists have actually signed up for Canada's new free dental program
A new Canadian dental care program is offering the hope of free care to millions, but while 1.7 million people have signed up for the plan, only about 5,000 dentists have done the same.