In recent times, it has become very difficult for potential buyers to purchase a home in Toronto. Between the seesaw of prices and rising interest rates, experts in the area claim that this problem is not new and that it has never really been affordable to buy a house in the GTA. To determine the accuracy of this information, the Zoocasa platform analyzed the current and historical average prices of the city and the average family income (adjusted for inflation), along with interest rates and inflation rates. Although debt was more expensive in the eighties and nineties due to high interest rates and inflation, buying a house was more affordable when analyzing the relationship between average income and average house prices, the report states. In recent decades, loans have become cheaper, but the properties are less affordable as the average prices of homes in Toronto skyrocket, while the average household income grew at a much slower pace. Since 1983, the average total income in Toronto has increased 33% from $ 58,000 to $ 78,000 in 2015 (according to the latest Statistics Canada census.) Comparatively, the average price of housing in Toronto has increased by a staggering 693% from $ 100,000 to $ 800,000. in 2017 (the most recent year for which there are complete figures available), explains the report. Also, Zoocasa discovered that the monthly mortgage payment of an average house in Toronto (assuming a minimum initial payment and amortization of 25 years) would have been $ 1,700 in the 1980s, $ 1,800 in the 1990s, $ 2,100 in the 2000 and $ 3,600 in the 2010 to date . Meanwhile, Toronto's mortgage income debt index stood at 32% in the 1980s, and subsequently exhibited a steady growth trend of 35% in the 1990s and 39% in the 2000s. dramatically up to 60% in 2010 to date, showing that even with double-digit interest rates in the 1980s, mortgage payments accounted for a much smaller portion of household expenses compared to today. The inescapable conclusion is that although residential real estate in Toronto was never on the economic side, new generations have more difficulties than their larger counterparts when it comes to buying a house and paying maintenance costs. If you are in look out for a property in Toronto but want to evaluate your income and future expenses before buying, contact me and I will advise you in the process.