Canadian Real Estate: 10 Most Affordable Places to Buy (2022)

Despite recent cooling in Canadian real estate markets due to rising interest rates, the fact remains that housing prices are still hovering at a high, relatively speaking. Add to this the record-high inflation rate, which reached 8.1 per cent in June, up from 7.7 per cent in May, and there’s no arguing that housing affordability in Canada has taken a big hit. While this is particularly true in major markets such as Toronto and Vancouver, as well as their suburbs, there’s still affordable housing to be found in Canada – and Canadians are willing to relocate to find it.

RE/MAX Canada’s 2022 Housing Affordability Report analyzed 24 major housing markets across the country (for Quebec market insights, please visit RE/MAX Quebec) to determine where homebuyers can own a home for the lowest price.

Affordable Canadian Real Estate, Defined

Before we get into the “where” of the most affordable Canadian real estate, let’s take a look at what it actually means.

In a new survey conducted by Leger on behalf of RE/MAX Canada, we asked Canadians to define affordable housing. Thirty-eight per cent of survey respondents define housing affordability as a home they can afford that meets their basic needs, and includes some liveability elements, such as green spaces and restaurants. Eighteen per cent of Canadians define it as allocating only 30 to 40 per cent of their monthly household income toward housing costs, including mortgage payments.

Where are Canadians Finding Affordable Housing?

Sixty-four per cent of Canadians said they are willing to move in order to buy an affordable home. However, half of them are willing to only move 100 kilometres or less from their current location. Meanwhile, 38 per cent said they would move to a different city, province or region. regardless of distance.

Without further ado, here are 10 places where you can carry the mortgage of a home, for less than 40-per-cent of the average income.

10 Most Affordable Places to Buy Canadian Real Estate

1. Red Deer, Alberta

• Average Home Price (January 1 – June 30, 2022): $356,779.00
• 20% Down Payment: $71,355.80
• Mortgage Amount: $285,423.20
• Monthly Mortgage Payment: $1,716.00
• Average Monthly Income: $6,636.88
• % of Monthly Income Allocated to Mortgage: 25.86%

2. Regina, Saskatchewan

• Average Home Price (January 1 – June 30, 2022): $323,950.00
• 20% Down Payment: $64,790.00
• Mortgage Amount: $259,160.00
• Monthly Mortgage Payment: $1,558.00
• Average Monthly Income: $5,782.71
• % of Monthly Income Allocated to Mortgage: 26.94%

3. Brandon, Manitoba

• Average Home Price (January 1 – June 30, 2022): $310,252.00
• 20% Down Payment: $62,050.00
• Mortgage Amount: $248,201.60
• Monthly Mortgage Payment: $1,492.00
• Average Monthly Income: $5,381.25
• % of Monthly Income Allocated to Mortgage: 27.73%

4. Edmonton, Alberta

• Average Home Price (January 1 – June 30, 2022): $408,961.00
• 20% Down Payment: $81,762.20
• Mortgage Amount: $327,168.80
• Monthly Mortgage Payment: $1,967.00
• Average Monthly Income: $6,636.88
• % of Monthly Income Allocated to Mortgage: 29.64%

5. Thunder Bay, Ontario

• Average Home Price (January 1 – June 30, 2022): $370,761.00
• 20% Down Payment: $74,152.20
• Mortgage Amount: $296,608.80
• Monthly Mortgage Payment: $1,783.00
• Average Monthly Income: $5,987.71
• % of Monthly Income Allocated to Mortgage: 29.78%

6. Saskatoon, Saskatchewan

• Average Home Price (January 1 – June 30, 2022): $373,410.00
• 20% Down Payment: $74,682.00
• Mortgage Amount: $298,728.00
• Monthly Mortgage Payment: $1,796.00
• Average Monthly Income: $5,782.71
• % of Monthly Income Allocated to Mortgage: 31.06%

7. St. John’s, Newfoundland

• Average Home Price (January 1 – June 30, 2022): $332,900.00
• 20% Down Payment: $66,580.00
• Mortgage Amount: $266,320.00
• Monthly Mortgage Payment: $1,601.00
• Average Monthly Income: $5,089.92
• % of Monthly Income Allocated to Mortgage: 31.45%

8. Moncton, New Brunswick

• Average Home Price (January 1 – June 30, 2022): $337,992.00
• 20% Down Payment: $67,598.40
• Mortgage Amount: $270,393.60
• Monthly Mortgage Payment: $1,625.00
• Average Monthly Income: $4,864.95
• % of Monthly Income Allocated to Mortgage: 33.40%

9. Calgary, Alberta

• Average Home Price (January 1 – June 30, 2022): $528,440.00
• 20% Down Payment: $105,688.00
• Mortgage Amount: $422,752.00
• Monthly Mortgage Payment: $2,541.00
• Average Monthly Income: $6,636.88
• % of Monthly Income Allocated to Mortgage: 38.29%

10. Winnipeg, Manitoba

• Average Home Price (January 1 – June 30, 2022): $437,460.00
• 20% Down Payment: $87,492.00
• Mortgage Amount: $349,968.00
• Monthly Mortgage Payment: $2,104.00
• Average Monthly Income: $65,381.25
• % of Monthly Income Allocated to Mortgage: 39.10%

-Average residential sale prices are based on local Canadian real estate broad data across all property types, provided by RE/MAX brokers and agents.
-2022 income is based on LifeWorks 2022 Salary Projection Survey
-Average mortgage and monthly payment based on CIBC mortgage calculator at 20% down payment of the 2022 average residential sale price, at 5-year fixed closed, 5.34% interest rate, amortization 25 years, monthly

How Do Other Markets Fare on the Canadian Real Estate Affordability Scale?

While affordable Canadian real estate can be found and purchased in regions from coast to coast, affordability continues to be a huge challenge in some other cities and towns, where average mortgage payments can account for up to 109 per cent of the average income. Explore the Canadian real state chart below for more local insights.