PRINCE GEORGE, B.C. – The BC Northern Real Estate Board (BCNREB) released their annual edition of the Housing Affordability Indicators (HAI) for Northern British Columbia.
The Housing Affordability Indicators is based on a refreshed data-set that updates baseline variables to 2015. The BCNREB using the HAI estimate the proportion of median household income required to cover the major costs associated with homeownership.
These will include mortgage costs, municipal taxes and fees, and utilities for the average single-family home. The higher the measure, the more difficult it is to afford a home.
Home ownership in most of Northern British Columbia remains very affordable,
especially when compared with the Vancouver region. According to Canada
Mortgage and Housing Corporation stating housing is considered “affordable” if it costs
less than 30% of a household’s before-tax income.
The HAI for Northern BC for 2018 is 26.9%, despite showing a 2-percentage point increase
over the 2017 HAI. The affordability of home ownership is exceptionally favourable
when compared with 118.9% for the Vancouver Area and 66.1% for Victoria.
The BCNREB shares, affordability worsened slightly in 2018 in most northern BC communities, only 100 Mile House reflects an HAI significantly above 30%.
In 2018 the HAI for 100 Mile House was 47.2%. This is the chiefly result of median household income being around 54% of that of Northern BC.
Fort St. John is the only community in Northern BC reporting consistent improvements in
affordability over the reference period, largely due to a persistent drop in house prices
over the period. Kitimat remains the most affordable community in Northern BC with an
HAI of just 20.6%.