Canadian home sales have been breaking records lately and house prices continue to rise. Although it hasn’t quite reached Australian levels yet, it still represents a very healthy market. As reported by CREA (The Canadian Real Estate Association), the Canadian average house price is $365,000, which marks an 8.8% jump from 12 months ago.
The average home price in Manitoba is $222,000, which is well below the national average. At these prices, we’re thinking you might be able to find a decent sized property, even in the province’s most expensive city.
We’ll take a look at the type of housing you can obtain using the provincial average ($222,000) as the reference amount. For our scenarios, we opted for a 5-year fixed rate selected from the best Manitoba mortgage rates, at 3.49%. We’ll assume a conventional mortgage (20% down payment) and that amortization period is over 25 years.
The monthly works out to a very palatable $886, whereas the Manitoba Land Transfer Tax comes to $2,090.
What kind of home you can get in…
Manitoba’s Most Affordable City: Portage la Prairie 2
MLS®: 1101949, 4 bedrooms, 2 bathrooms
This bungalow is actually much larger than it appears; the property is over 2,000 square feet. This home features vaulted ceilings in the living/dining room, a large kitchen with lots of cabinet space, and a four-piece main bathroom.
Manitoba’s Most Expensive City: Winnipeg 2
MLS®: 1110797, 2 bedrooms, 2 bathrooms
This charming home was built before the Great Depression. It’s a cozy 900 square feet featuring maple cabinets and stainless steel appliances in the kitchen. The property has seen $20,000 in renovations over the last three years.
The difference between buying a home in Manitoba’s most expensive city versus the most affordable appears to be two extra bedrooms and double the size. But the truth is, the disparity between housing prices across Manitoba aren’t that glaring, since Winnipeg doesn’t even crack the top 50 of Canada’s most expensive cities. In any event, $222,000 is just enough to get you a detached home anywhere in the province.
* As of July 15, 2011
1 According to the 2011 CREA report: http://www.livingin-canada.com/house-prices-canada.html
2 City affordability as determined by Moneysense: http://list.moneysense.ca/rankings/best-places-to-live/2011/Default.aspx?sc1=4&d1=a&sp2=1&eh=ch