The minimum annual income required to buy an average-priced Victoria home climbed to $184,800 last month, according to an online mortgage brokerage.
Looking at 10 major cities in Canada, RateHub found home affordability — based on the minimum income required to buy an average-priced home — got worse in eight cities, including Victoria and Vancouver, which saw an increase of $1,480 in minimum income. Braden Wheatcroft, broker-owner and business coach of RE/MAX Camosun, said people are watching their buying power decrease because of increased interest rates.
While home prices and the minimum income required to buy an average home in Victoria are high, Wheatcroft cautioned that averages are misleading, and said people should not be put off from talking to a real estate professional about their specific situation. High house prices can also lower birth rates, because people who spend a greater proportion of income on shelter are likely to have fewer children or none at all, which leads to an aging population unless offset by immigration, Wiltshire said.