Nov 26, 2014
By Scott Walker
Home ownership became more affordable in Canada in the third quarter.
That was despite a broad spike in home prices.
The latest survey on home affordability by RBC Economics shows resales rose for the eighth time in the past nine months in October, primarily due to robust activity in hot markets in Toronto, Calgary, and Vancouver.
Prices were also higher in the top three markets.
But RBC says higher prices were offset by rising household incomes, low and steady interest rates, and cheaper utility costs in many parts of the country.
The report also suggests declines in fixed mortgage rates earlier this year were a key reason for the strength in the housing market since spring.