It is reported that the average selling price of a Canadian home was $391,820 in October, up 8.5 per cent compared to last year.

But a closer look at the numbers shows a split between hot markets in the West, and cooler ones in Eastern Canada. Due to an influx of new, rich immigrants into West Canada, typically B.C, the housing price in West Canada shows an rapidly increasing trend. For example, the average housing price in Great Vancouver is roughly $600,700 now, which was only $393,200 in 2005.

             However, according to the graph above, it demonstrates that house prices have risen faster than incomes. And that the cost to own a house has risen faster than the price to rent a house. It makes much more financial sense to rent a house in Canada that to own one. It is ridiculous that Canadians cannot afford to buy their own house in their country. Therefore, I think that the Canadian government must take effective actions. I suggest that we need to invest in public housing in those high housing price cities, such as Vancouver, so that low wage residents can afford to live.

http://www.rebgv.org/home-price-index

http://www.bnn.ca/News/2013/11/15/Housing-Story-RAW.aspx