Last month, the income needed to buy a home in Calgary increased by $170

It's an expensive housing market in Calgary, and if you want to see home prices skyrocket, you might as well ditch the monthly gym membership.

According to a new report from Ratehub.ca, home prices have risen significantly even when looking at month-to-month changes. The report showed Calgary's median home price in March was $580,400, up nearly $7,000 to $587,000 in April.

The annual income needed to buy into the market for Calgarians to grow has also increased from $170 to $120,650 – a number that seems out of reach for many.

Market conditions worsened across the country, with Calgary's growth rate slowing compared to other major cities.

Ratehub.ca

Halifax came out on top, with home prices close to Calgary, increasing by $17,800 in the month. The average household income needed to sustain this shift is $2,200.

The East Coast as a whole appears to be becoming increasingly unaffordable, as the top three cities requiring the highest income changes are Halifax, Fredericton and St. John's.

“The two main variables that affect home affordability, home values ​​and interest rates, have moved in opposite directions. Interest rates fell and home values ​​rose in 12 of the 13 cities we looked at,” said James Laird, CEO of Ratehub.ca and president of mortgage lender CanWise.

“The rise in home values ​​has been enough that affordability has worsened in 10 of 13 cities despite falling prices.”

Our neighbors to the north saw a modest $50 increase in the additional income needed to buy a home in Edmonton.

Perhaps the most surprising are the cities that have seen the biggest improvements in affordability.

“The three cities where housing affordability improved were Montreal, Vancouver and Victoria. Montreal saw the best improvement, earning $1,170 less for the average home purchase, Laird said.

Ratehub added that homebuyers are expected to return to the market after the Bank of Canada begins cutting overnight lending rates, setting a trend that could emerge at the next announcement on June 5.