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Housing affordability sees modest improvements through Q3, 2011: RBC

RBC’s third quarter Housing Trends and Affordability study showed “modest improvements” in housing affordability for Canadians as global financial markets continued to face uncertainty and interest rates crept lower.


The following is an excerpt from the report on Saskatchewan: Although RBC’s affordability measures for Saskatchewan continue to be above their long-term averages, widespread improvement was recorded in the third quarter. The measures fell for all housing types—between 0.8 and 0.9 percentage points—and reversed part of the increases (in some cases, substantially) from the previous quarter. Saskatchewan home buyers seem fairly comfortable with current affordability levels. Indeed, they were quite active in the third quarter, with resales rising nearly 6% from the second quarter to their highest levels in two years. Hefty gains were seen in Saskatoon and, to a lesser extent, Regina. Home prices in the province maintained their steady ascent, showing modest gains for most housing types. The Saskatchewan housing market will continue to be well supported by strong economic growth in the coming year.


Although the report lacks commentary on the Saskatoon market, the charts on page 8 of the report show slight improvements for the percentage of income required to carry a mortgage on a Saskatoon home, in spite of marginally higher prices.


Read the entire report here.


I’m always happy to answer your Saskatoon real estate questions.  All of my contact info is here. Please feel free to call or email.


Norm Fisher
Royal LePage Vidorra

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