It’s getting even easier to purchase a home in Edmonton, with the price of houses and the income needed to purchase one falling over the last month.
A new report from Ratehub.ca calculated the minimum annual income required to buy an average home in some of Canada’s major cities based on September and October 2024 real estate data.
The report details how changing mortgage rates, stress test rates, and real estate prices impact the income required to buy a home.
According to the report, the average home price in Edmonton was $396,800 in September, a $2,600 price decrease from the previous month.
The average income required to purchase a home also fell significantly in Edmonton over the last month, dropping by $1,540 to $82,450.
“Steadily dropping mortgage rates made buying a home slightly more affordable in most of Canada in October,” Ratehub said.
“The amount of income needed to qualify for a mortgage on the average-priced home decreased in 12 of 13 cities.”
Ratehub noted that the average five-year fixed mortgage rate dropped to 4.86%, compared to 5.04% in September, and the mortgage stress test lowered to 6.86%.
Fredericton, Victoria, Halifax, and St. John’s were among just a handful of Canadian cities that experienced rising house prices this past month.
Vancouver led the way in terms of improved affordability, with $4,540 less in income required to purchase the average home compared to September.
Toronto also experienced a big improvement in affordability. The average home price dropped by $8,500 to $1,060,200, and borrowers needed $4,380 less income to qualify for a mortgage.