Over the past two decades, home prices in the US and Canada have skyrocketed, and household incomes haven’t kept up. In 2023, the average Canadian home cost $678,282, more than 10 times the average Canadian annual income. In 2003, for comparison, a home cost just 5.8 times the average household income. And in the US, median household income increased about 60% between 2000 and 2020, while the average price of a home nearly doubled.
Small wonder that people in both countries are increasingly pessimistic about the prospect of homeownership. A Gallup survey from May found the vast majority of Americans (76%) say it’s a bad time to buy a house. It seems that on both sides of the border, more and more people are giving up on ever owning a home.
Here’s a look at the increase in home prices and median household income in Canada and the US, from 2000 to 2020. We have to ask: Is homeownership even a dream worth pursuing now? We’d love to hear your thoughts.
