For home buyers in Toronto who feel increasingly pressured out of the market by elevated costs, there is no better destination right now than Thunder Bay, according to a new analysis of data from Ontario’s real estate boards by information portal Zoocasa.
The study noted that buyers in Thunder Bay would only need $31,067 in income (as of August) to purchase an average home priced at $227,750. The required purchase income is far below the market’s median income of $66,163, which means that an average household buying a home will still have $35,096 left over.
Ontario’s other affordability destinations right now are:
Average Home Price: $272,523
Required Income: $37,174
Median Income: $68,736
Average Home Price: $433,684
Required Income: $59,158
Median Income: $85,981
Average Home Price: $632,395
Required Income: $86,264
Median Income: $103,809
Average Home Price: $493,358
Required Income: $67,298
Median Income: $83,045
Read more: Southern Ontario hosts Canada’s fastest-selling markets
On the opposite end of the spectrum, Toronto – while only the second least affordable as of August – still requires $107,111 in income to purchase a home on the average price point of $785,223. Median household earners with incomes of $65,829 will find themselves $41,282 short in their purchase.
This is despite the condo segment – dubbed by various observers as a viable affordability choice – representing approximately 56% of Toronto’s residential real estate sales volume last month.
Richmond Hill took the top spot of Ontario’s most unaffordable market in August. Median earners with incomes of $88,535 would be $47,962 short in a purchase of an average home priced at $999,311.
Mortgages are more manageable than rent in these Toronto locales
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