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

Pandemic reunites 2000s era Victoria rock band The Origin

Saanich musicians recording for first time since 2008

Local authors nominated for Victoria Book Prize awards

Finalists for 2020 announced in two categories

Patrick brothers who shaped modern hockey also tried, but failed, to remove violence

New history thesis shows efforts to sell a “clean game” in Oak Bay

Central Saanich to formally inform Agricultural Land Commission about soccer pitch proposal

Move is meant for information only with no application having come forward yet

B.C. or Ontario? Residential school survivors fight move of court battle

It’s now up to Ontario’s Court of Appeal to sort out the venue question

POLL: Do you plan on allowing your children to go trick or treating this year?

This popular annual social time will look quite different this year due to COVID-19

B.C. transportation minister will not seek re-election

Claire Trevena has held the position since 2017

Body discovered floating in water near Lasqueti Island

JRCC reports personnel aboard fishing vessel made the find

Young B.C. cancer survivor rides 105-km with Terry Fox’s brother

Jacob Bredenhof and Darrell Fox’s cycling trek raises almost $90,000 for cancer research

Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

B.C. migrant, undocumented workers rally for permanent residency program

Rally is part of the Amnesty for Undocumented Workers Campaign led by the Migrant Workers Centre

Preparations underway for pandemic election in Saskatchewan and maybe B.C.

Administrators in B.C. and around the country are also looking to expand voting by mail during the pandemic

Nearly 20 per cent of COVID-19 infections among health-care workers by late July

WHO acknowledged the possibility that COVID-19 might be spread in the air under certain conditions

Most Read