Greater Victoria is the 16th least affordable city of 309 cities surveyed across the world. (Twitter/Greater Victoria Harbour Authority)

Victoria ranks as 16th least affordable city in the world

Vancouver, as well as the Fraser Valley, Nanaimo and Comox Valley also crack the Top 25

A survey tracking global housing affordability shows Greater Victoria is the 16th most unaffordable housing market in eight major countries.

The 16th Annual Demographia International Housing Affordability Survey ranks Victoria in 294th place out of 309 housing markets in eight countries across Asia, North America and Europe in terms of affordability (as of the third quarter of 2019). Hong Kong is the least affordable and Vancouver the second-least affordable market.

The survey tracks middle-income housing affordability and ranks markets by the ‘Median Multiple,’ the median house price divided by the median household income. The higher the multiple, the greater the gap between the cost of housing and income. The survey considers housing affordable if the median multiple is three or less.

RELATED: Assessments down across most of Greater Victoria as real estate market softens

RELATED: More than 7,200 properties sold in Greater Victoria in 2019

Looking at the big picture, the survey has found a “moderation” of house price increases in some of the least affordable major markets. “However, the trends were insufficient to materially improve housing affordability,” it reads.

Looking at Canada, its median multiple for 50 markets is 4.4 — or “seriously unaffordable.” By comparison, Greater Victoria’s median multiple is 8.1 (or “severely unaffordable”), a figure that makes the region more affordable than Greater London (15th) and Toronto (7th) among others but also more expensive than Honolulu. Notably, three other B.C. locals crack the Top 25 when it comes to unaffordability — the Fraser Valley (20th), Nanaimo (21st) and Comox Valley (22nd).

Vancouver’s median multiple is 11.9, while Hong Kong’s is 20.8.

The report finds that middle-income households “have been largely priced” out of the median price housing by spiraling cost increases across Australia, the United States and Canada.

As such, the report finds that escalating housing prices represent a direct threat to the historical trends that have created the so-called middle class across North America, Europe and parts of Asia.

“These higher housing costs are a threat to the middle-income lifestyle, because they reduce discretionary income and thus, the standard of living,” it reads.

One notable Canadian element found in the study concerns the list of the 10 most affordable markets.

They include three Canadian cities, led by Alberta’s Fort McMurray, with a median multiple of 1.8.

“Fort MacMurray has suffered serious economic disruption as a result of petroleum market developments and product transport shortages,” it reads. Two other Canadian markets also crack the Top 10, Fredericton, N.B. and Saint John, N.B.


Like us on Facebook and follow @wolfgang_depner

wolfgang.depner@peninsulanewsreview.com

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Sooke stands up against bullying on Pink Shirt Day

This year’s theme, “Lift Each Other Up” reflects the origins of Pink Shirt Day

Fiddler on the Roof brings timely message to Oak Bay stage

Musical starts Friday in Dave Dunnet Theatre

Life complicated when water not secure

Water issues have real-life impacts in Sooke Region

UPDATED: Pat Bay Highway blockade ends three hours later

About 80 people from four major Peninsula First Nations blocking major highway

Work begins on Otter Point Road project in Sooke

The project now has a fall completion date following a long delay

VIDEO: Province promotes ‘lifting each other up’ on 13th annual Pink Shirt Day in Victoria

Students, MLAs, community members gathered at B.C. Parliament Buildings Wednesday

Prepare for new coronavirus like an emergency, health minister advises

About 81,000 people around the world have now become ill with COVID-19

B.C. residents in Wet’suwet’en territory have right to police presence: Public Safety Minister

Nevertheless, Bill Blair said officials remain ‘very anxious’ for the barricades to come down

Winnipeg police investigating graffiti on RCMP and other buildings

Manitoba Justice Minister Cliff Cullen denounced the vandalism

B.C. seniors’ watchdog calls for better oversight after recent problems at Retirement Concepts care homes

‘There is no financial incentive right now to be a good operator’ - Isobel Mackenzie

Trucking company fined $175K for Kootenay creek fuel spill

Decision handed down last Friday in Nelson court

B.C. Liberals call for ban on foreign funds to pipeline protesters

Sierra Club, Wilderness Committee back Coastal GasLink blockades

Donations pour in for family who lost father, son in fatal crash on B.C. highway

Mike Cochlin and sons Liam and Quinn were travelling on Highway 5A

Vancouver Island RCMP officer assaulted during traffic stop

On Feb. 21, a member of the Comox Valley RCMP was assaulted… Continue reading

Most Read