Lately the cost of housing and everyday spending has some Torontonians reminiscing about the good old days, or at least the not-so-bad ones.
And one new study will even make you shed a tear and wish you could double back.
Zoocasa, a real estate website, looked at the cost of living compared to the benchmark home price in 15 Canadian cities over a five-year period.
Zoocasa used 2022 Market Basket Measure (MBM) data from Statistics Canada and January 2024 benchmark home prices from the Canadian Real Estate Association.
“A city’s market basket measure (MBM) defines the amount a family of four would need to have in disposable income to enjoy a basic standard of living. In other words, a family earning below a city’s market basket measure is considered to be living below the poverty line,” the report reads.
So, picture this, the year is 2019 and your dream home cost a little over $746,500.
And to keep your family of four fed, clothed and sheltered throughout the year it will set you back more than $46,975.
Now, fast forward to 2024 and it costs over $55,262 to maintain your family’s needs. And your ideal house comes with an over one million dollar price tag.
Since 2019, Toronto’s benchmark home price rose by 42.8 per cent.
“With home prices rising at a rate much faster than the cost of living, many Canadians are finding it increasingly difficult to find affordable housing options,” Carrie Lysenko, Chief Executive Officer of Zoocasa said in the report.
“We need to see a shift in Canadian property options in order to help bridge the gap between income levels and housing costs.”
The data also highlighted how home prices are rising faster than the cost of living in 13 out of the 15 cities studied.
“Even in cities where the cost of living is on the rise, the relatively stable home prices present a unique opportunity for homebuyers to enter the market. This underscores the importance of exploring options beyond the primary metropolitan areas or single-family detached homes for those seeking affordability in today’s market,” Lysenko added.
According to the report, Calgary has the highest MBM at $55,771, while Quebec CMA has the lowest at $45,411. Meanwhile, the MBM in Moncton increased by 18.4 per cent over five years, but home prices increased by just over 100 per cent from 2019 to 2024.
Smaller housing markets in Canada remain the most affordable with St. John’s having the least amount of change to its cost of living. The city’s MBM increased by only 15.2 per cent over five years, while home price growth rose by 25.1 per cent from 2019 to 2024.
