Real Estate

Toronto is a city where even the ‘rich’ can’t afford an average-priced house

  • Last Updated:
  • Mar 21st, 2017 10:39 am
Sr. Member
Jan 14, 2009
675 posts
193 upvotes
Vancouver, BC
ahlaker wrote:
Mar 17th, 2017 5:43 pm
It seems bizarre that a rich person making $300k, with $500k in cash, can "only" afford a "median" house in inner-city Toronto. But that's just me. If that's not strange to you, then we can agree to disagree.
The way Canadians waste their money on frivolous spending I'm surprised we can afford anything. One can make $1 million dollars and can't afford a detached house. Just look at all those professional athletes and lotto winners who go broke.

It's not that bizzare because you picked one of the most desirable city on this planet. Canada ranks very high for quality of life. Clean air, drinkable water, safe and stable all around. We are surrounded by big oceans and an impenetrable wall to the south. Bad people can't get to us. The world is not a safe space but Canada is closer than most places.
Deal Fanatic
User avatar
Nov 19, 2004
7099 posts
886 upvotes
Cambridge, ON
Not discounting the hardship to afford a house these days, but years to save $100k when they were making $225k plus whatever the spouse was making before taking leave? They clearly were not that vested in saving the money. You can't complain when you are spending frivolously.
Deal Guru
Feb 29, 2008
14869 posts
1553 upvotes
Montreal
What is the 99th percentile income in Toronto. Can't seem to find city specific numbers.
Deal Addict
May 31, 2007
3762 posts
755 upvotes
Flavour wrote:
Mar 17th, 2017 2:34 pm
A couple making 225k in Toronto is not rich. It's laughable that a "chief economist" would say they are 1%ers when they are clearly not.

It does show how bad our tax system is that any of their income would enter the top tax bracket. Although with RRSP and other deductions that wouldn't be true either.

Clearly this couple need to save more and not purchase the "average house" like most first time house buyers.
I would say they are 1% earners, look at this: (2K away from 2014 definition)

"To be in the top 1 percent in 2014, a taxfiler must have earned a total income of at least $227,100. Over 268,500 Canadians were in this high-income group. "

http://www.statcan.gc.ca/daily-quotidie ... 1d-eng.htm

This is just singe income (not duel income)

Median family income Toronto 2014 $75,270

http://statcan.gc.ca/tables-tableaux/su ... 7a-eng.htm
Deal Addict
Jul 18, 2016
1344 posts
430 upvotes
I find it amusing seeing this article about what can be bought across Canada for a million dollars.

https://ca.finance.yahoo.com/photos/1-m ... 51254.html

I wouldn't even choose to rent the home available in Newmarket, Ontario, yet its for sale for close to a million dollars. This is a crazy way to spend your money and time. The energy, time and effort that you need to expend everyday in your jobs ( husband and wife ), to be able to afford such a crappy home! Really? You guys who buy homes in the greater To, onto area are actually living this way? I have a much much nicer little rental home that costs me a measilly $1400/month to maintain, however I guess I'm not in the Toronto area.
Deal Fanatic
User avatar
Mar 31, 2008
8999 posts
1020 upvotes
Toronto
Clearly this guy is out of touch with reality. He seems bitter because either he can't afford a place or his children. And his assumptions are typical out of touch academic jibberish.

And maybe this guy has such lavish tastes, vacations, high rent while his wife stays at home, is why he can only afford to save a certain amount a year.
Deal Addict
User avatar
Dec 27, 2009
2947 posts
999 upvotes
Ottawa, ON
Maybe they were paying off student loans, etc.? Maybe they haven't been earning that kind of money for long. There's lots of reasons they could take years to save 100K.
Deal Fanatic
Dec 11, 2008
6806 posts
370 upvotes
Chickinvic wrote:
Mar 18th, 2017 9:57 am
Maybe they were paying off student loans, etc.? Maybe they haven't been earning that kind of money for long. There's lots of reasons they could take years to save 100K.
While true, then why are they expecting to be able to buy an average home after just earning and saving for such a short period of time?
Member
Mar 9, 2009
421 posts
143 upvotes
Thornhill
zakarydoks wrote:
Mar 17th, 2017 7:12 pm
The way Canadians waste their money on frivolous spending I'm surprised we can afford anything. One can make $1 million dollars and can't afford a detached house. Just look at all those professional athletes and lotto winners who go broke.

It's not that bizzare because you picked one of the most desirable city on this planet. Canada ranks very high for quality of life. Clean air, drinkable water, safe and stable all around. We are surrounded by big oceans and an impenetrable wall to the south. Bad people can't get to us. The world is not a safe space but Canada is closer than most places.
You just described every western city. It's a joke how weak of an argument you have, that you have to resort to the drinkable water argument. The weather here sucks 8 months of the year. You could buy a mansion in the Hamptons for $2 million dollars, it's a much nicer place to live than the labour camp that is the GTA.
Sr. Member
User avatar
Dec 13, 2016
526 posts
380 upvotes
Sick and tired of all the whiny Canadians who complain they should be able to afford houses in a major Canadian city. Absolutely ridiculous and childish.

The fact is everyone in Canada has access to multimillion healthcare treatment if something goes wrong. I can only imagine the shock and disbelief if this was ever taken from you.....Yet you let the real estate define you.

There "may" be a bubble if the average price in Toronto was over 3mil. At these prices it's less than a cost of treatment Canada will be paying for you eventually.

Grow up.
Sr. Member
Jan 14, 2009
675 posts
193 upvotes
Vancouver, BC
hmm wrote:
Mar 18th, 2017 10:37 am
You just described every western city. It's a joke how weak of an argument you have, that you have to resort to the drinkable water argument. The weather here sucks 8 months of the year. You could buy a mansion in the Hamptons for $2 million dollars, it's a much nicer place to live than the labour camp that is the GTA.
You started your argument with a false premise. Toronto is not that expensive compared to other desirable cities. I have not seen Toronto in the top 10 of any global ranking. The trend of urbanization is not going to reverse and in Canada , Toronto and Vancouver are the cities of choice. You could go buy in the Hamptons, it's a free country, let's keep it that way. Do not let your anger lead to hate.
Deal Addict
User avatar
Dec 27, 2009
2947 posts
999 upvotes
Ottawa, ON
speedyforme wrote:
Mar 18th, 2017 10:09 am
While true, then why are they expecting to be able to buy an average home after just earning and saving for such a short period of time?
With a $225K annual income, in any normal housing market they would easily be able to do so. It is the super inflated markets like Toronto and Vancouver that would make it hard.
Deal Addict
User avatar
Dec 27, 2009
2947 posts
999 upvotes
Ottawa, ON
BiegeToyota wrote:
Mar 18th, 2017 11:23 am
Sick and tired of all the whiny Canadians who complain they should be able to afford houses in a major Canadian city. Absolutely ridiculous and childish.

The fact is everyone in Canada has access to multimillion healthcare treatment if something goes wrong. I can only imagine the shock and disbelief if this was ever taken from you.....Yet you let the real estate define you.

There "may" be a bubble if the average price in Toronto was over 3mil. At these prices it's less than a cost of treatment Canada will be paying for you eventually.

Grow up.
Since you don't even live here, why are you so interested in a Canadian website and forums? I'm sure you don't need to listen to any whining wherever it is you are located. You seem to have a lot to say for someone who has checked out of Canada.
Sr. Member
Jan 14, 2009
675 posts
193 upvotes
Vancouver, BC
Chickinvic wrote:
Mar 18th, 2017 4:19 pm
With a $225K annual income, in any normal housing market they would easily be able to do so. It is the super inflated markets like Toronto and Vancouver that would make it hard.
That's your opinion. Markets do not care about opinions and feelings.

Top