For many Canadians, buying a home feels impossible (Photo generated through AI).
The prices of homes in places like Paris, Lisbon, and New York City are just too high for many individuals.
Toronto also faces affordability challenges that push potential buyers to search elsewhere.
However, did you know that Brampton and Mississauga are also counted among the 20 least affordable cities worldwide for homebuyers?
This insight comes from a recent study analyzing global housing prices that includes these three Ontario cities alongside some of the most well-known living hotspots globally.
To put this into perspective, residents in these Ontario cities find it harder to buy homes than those living in Madrid, London, and Barcelona-other cities featured on the list.
This analysis was conducted by Remitly, a money transfer service aiding buyers with property purchases across the globe. The rankings evaluated 151 cities and took into account property prices, average salaries, mortgage rates, interest rates, down payments/deposits, and other factors to determine where homes are most and least affordable.
The report offers insights for both individuals and couples while showing how much of an average home they can realistically afford based on their income levels within their communities.
Leading the pack as the least affordable city is San Jose, California-home to major tech companies-where high home prices create barriers even for high-income earners trying to buy property.
“Our study reveals that even a couple who earn the local average salary ($86,605), pooling their funds together, would barely be able to afford half (54.6 per cent) of the average property,” says Remitly. “This could mean they would have to stretch themselves financially, often finding larger down payments or asking for financial help from family to be able to make their dream of owning a home a reality.”
California overall proves challenging for buyers; four other locations besides San Jose fill out the top five positions.
The others include Los Angeles, Long Beach, and San Diego in that order.
The most unaffordable city in Canada is Vancouver which ranks fifth on this list.
“Our study shows that a single buyer earning an average income of $54,778 would only be able to afford 34.9 per cent of an average property. Even couples can manage only nearly 70 per cent. This means those wishing to settle in the city might need large deposits or assistance from family-or they may turn towards renting instead,” explains Remitly regarding Vancouver’s situation.
This brings us back to Ontario.
Sitting at number 12 globally according to Remitly’s findings suggests that an individual with an average income can only purchase 41.5 per cent of a home while dual-income families manage about 83 per cent affordability on an average property
Mississauga holds the 13th spot among the world’s least affordable cities.
A key factor contributing to Mississauga’s low affordability ranking is that single persons can afford just 42.7 per cent of an average home price while two incomes raise it slightly higher at 85.5 per cent-not quite enough for complete affordability. According to data from Remitly , Mississauga ranks as North America’s tenth most expensive housing market.
<p Meanwhile in Brampton , it's noted by Remitly that singles can afford around 44.7 per cent of typical housing costs there with combined earnings from couples reaching around 89.4 percent adequacy level.
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The report offers insights for both individuals and couples while showing how much of an average home they can realistically afford based on their income levels within their communities.
Leading the pack as the least affordable city is San Jose, California-home to major tech companies-where high home prices create barriers even for high-income earners trying to buy property.
“Our study reveals that even a couple who earn the local average salary ($86,605), pooling their funds together, would barely be able to afford half (54.6 per cent) of the average property,” says Remitly. “This could mean they would have to stretch themselves financially, often finding larger down payments or asking for financial help from family to be able to make their dream of owning a home a reality.”
California overall proves challenging for buyers; four other locations besides San Jose fill out the top five positions.
The others include Los Angeles, Long Beach, and San Diego in that order.
The most unaffordable city in Canada is Vancouver which ranks fifth on this list.
“Our study shows that a single buyer earning an average income of $54,778 would only be able to afford 34.9 per cent of an average property. Even couples can manage only nearly 70 per cent. This means those wishing to settle in the city might need large deposits or assistance from family-or they may turn towards renting instead,” explains Remitly regarding Vancouver’s situation.
This brings us back to Ontario.
Sitting at number 12 globally according to Remitly’s findings suggests that an individual with an average income can only purchase 41.5 per cent of a home while dual-income families manage about 83 per cent affordability on an average property
Mississauga holds the 13th spot among the world’s least affordable cities.
A key factor contributing to Mississauga’s low affordability ranking is that single persons can afford just 42.7 per cent of an average home price while two incomes raise it slightly higher at 85.5 per cent-not quite enough for complete affordability. According to data from Remitly , Mississauga ranks as North America’s tenth most expensive housing market.
<p Meanwhile in Brampton , it's noted by Remitly that singles can afford around 44.7 per cent of typical housing costs there with combined earnings from couples reaching around 89.4 percent adequacy level.
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