RE/MAX also reveals the most affordable markets to move to
The majority of Canadians are willing to relocate if it means they can afford a home elsewhere, according to a Leger survey commissioned by RE/MAX Canada.
It was also revealed that more than 50% of those open to relocating said they would travel for more than 100km just to attain homeownership.
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For other people, the sacrifices they are willing to make come in different forms: 56% would compromise on the type of home purchased, 29% would split homeownership with family or friends, and 27% would rent a part of their home for additional income.
This openness to sacrifice comes as 43% of respondents identified soaring house prices as the tallest barrier to entering the market. Others named obstacles include a higher cost-of-living (35%), a shortfall in salary (24%), market volatility (24%) and rising interest rates (24%) – with the latter increasing by 6% from 2021.
Christopher Alexander, president of RE/MAX Canada, said the survey was indicative of buyer eagerness to engage with the housing market in spite of the many sacrifices that often come with it.
“While we wait for governments to implement a national housing strategy to boost Canada’s supply of affordable housing, in the short-term the market is starting to cool and balance itself out, bringing some much-needed relief from the sky-high prices that we experienced during much of the pandemic,” Alexander said. “This trend is largely being driven by higher interest rates.”
Read more: Survey finds majority of young homeowners’ income goes to mortgage
So, where should these Canadians consider relocating?
Based on the average selling price, Manitoba has replaced Winnipeg as the most affordable market as per RE/MAX Canada’s 2022 Housing Affordability Report. Brandon is followed by Regina, Saskatchewan; St. John’s, Newfoundland and Labrador and Moncton, New Brunswick.
On the other hand, Red Deer, Alberta is considered the most affordable market when based on the share of income spent on mortgage payments at 25.8%. Regina and Brandon rank in second and third place at 26.9% and 27.7%, respectively.
