Owning a home in Canada, except in Alberta, has become even more expensive, according to the latest housing report just release by RBC Economics Research.
The report says the costs of owning a home rose for the third straight quarter across all housing segments in the first quarter of 2010.
"Although home ownership became more costly in the first quarter of 2010, affordability measures are still moderately above the long-term average and below peak levels," said Robert Hogue, RBC senior economist. "We expect affordability to deteriorate throughout 2010 and 2011, but this should be limited as more balanced supply and demand conditions will take much of the steam out of the housing market," he said.
The report projects the cost of owning a home will continue to rise and the main contributing factor is the expected interest rate hike.
In Quebec, housing affordability declined moderately, as well as in Ontario and Atlantic Canada. Alberta is the only province to show a drop home ownership costs.