According to the most recent statistics provided by the Canadian Real Estate Association, the national average price of a home is currently sitting at approximately $632,000. This comes as a direct result of a number of interest rate increases that were implemented by the Bank of Canada in the course of this year (CREA).
The affordability situation facing Canadians is a huge concern, and as a result, it’s possible that many people won’t be able to afford this price.
A recent study that was carried out by Point2 Homes investigates how much residential space Canadians can receive for approximately $300,000, which is roughly half of the average price of a home throughout the country. The findings of the study come from surveying 43 of Canada’s most populous communities.
The online real estate search service claims that residents of some regions in Quebec and Atlantic Canada, such as St. John’s, Newfoundland, are getting the best bang for their buck in terms of the value of the homes they purchase. In these areas, a budget of $300,000 can, on average, be used to acquire residential space measuring more than 139 square metres (1,500 sq. ft.). In example, homes in Quebec’s Trois-Rivières and Saguenay regions offer the greatest amount of space for the lowest possible price.
The survey, which was released in October, states that cities in Quebec offer the best value for the money. “The Prairie provinces, which include Saskatchewan, Alberta, and Manitoba, in addition to Newfoundland, are important participants in the Canadian affordability game.”
However, in major urban hubs such as Vancouver and Toronto, a budget of $300,000 is only sufficient to purchase a property with an average space of 22.6 to 22.9 square metres (243 to 247 square feet).
According to the findings of the study, “for the same amount of money, one property in Trois-Rivières or Saguenay could hold the equivalent of more than six properties in Vancouver, Toronto, or downtown Montreal.”
According to the findings of the study, the sum of $300,000 is insufficient to purchase residential space measuring 46.5 square metres (or 500 square feet) in 20 of the most populous cities in Canada.