Skip to main content

Featured

Navigating Europe: Essential Tips for Canadian Travelers in 2024

As a Canadian traveler venturing across the Atlantic to explore the rich history, diverse cultures, and stunning landscapes of Europe, there are several key considerations to keep in mind. Whether you’re backpacking through cobblestone streets or savoring croissants in a Parisian café, these ten tips will enhance your European adventure: Visa Requirements: Know Before You Go Research visa requirements for each European country you plan to visit. Some countries allow Canadians to enter visa-free, while others may require a Schengen visa. Ensure your passport is valid for at least six months beyond your travel dates. Currency Exchange and Payment Methods Familiarize yourself with the local currency. Euros are widely accepted, but some countries (like the United Kingdom and Switzerland) have their own currencies. Use credit cards for convenience, but carry some cash for smaller purchases. Health Insurance and EHIC Card Obtain comprehensive travel insurance that covers medical emergencies.
Post a Comment
Read more
Labels

To Rent or Buy? Rental Costs Still Lower Than Buying in Most Markets

As rents continue to soar in Canada, many Canadians are left wondering whether it’s more cost-effective to rent or buy a home. Despite the surge in rental prices over the last two years, an analysis conducted by Zoocasa reveals that average monthly rental rates in most major markets across the country are still less than average monthly mortgage payments.

The Numbers: Renting vs. Buying

  • The average monthly rent for all property types in Canada was $2,174 in December, marking an 8.4% year-over-year increase.
  • In contrast, the average monthly mortgage payment for all property types was $3,253.
  • Zoocasa calculated average rent prices using data from Rentals.ca, combining the average price of one-bedroom and two-bedroom rentals. Average home price data were sourced from the Canadian Real Estate Association (CREA) and individual city real estate boards. Monthly mortgage payments were calculated using Ratehub.ca’s affordability calculator, assuming a 20% downpayment on a home of average price in each market, with a 25-year amortization and an interest rate of 4.84%.

Market Disparities

While the gap between renting and buying has narrowed, in Canada’s most expensive housing markets, it remains substantial. Here’s a snapshot

  1. Toronto: The average monthly rental in December was $2,918, compared to an average monthly mortgage payment of $4,888.
  1. Vancouver: The average monthly rent came in at $3,180, while the average monthly mortgage payment was $5,353.

However, some markets show a more favorable balance:

  • Quebec City: The difference between renting and buying was just $54 ($1,501 for average monthly rent vs. $1,555 for an average monthly mortgage payment).
  • Regina: The gap was $62 ($1,311 for average monthly rent vs. $1,373 for an average monthly mortgage payment).

Other markets with narrower gaps include Edmonton, Calgary, Saskatoon, Montreal, and Halifax. Surprisingly, Winnipeg is the lone market where the average monthly mortgage payment ($1,526) is slightly less than renting ($1,531).

Canada faces a housing affordability crisis driven by higher interest rates, housing supply shortages, and surging population growth. Shelter costs, including mortgage interest and rent, remain a significant driver of inflation. In December, shelter inflation increased by 6% year over year, according to Statistics Canada. Rent prices continued to rise, jumping 7.7% year over year.

In summary, while the rent vs. buy decision varies by location, renting still offers a more affordable option for many Canadians, especially in markets with sky-high home prices.


Labels:

Comments

Post a Comment