Overview

• The Oct. 2 report finds the national affordability gap narrowed from 80% in September 2023 to 34% in August 2025.
• A Bank of Canada policy rate now at 2.5%, down from above five per cent, has reduced mortgage costs.
• Toronto and Hamilton recorded the largest improvements, yet average prices there remain well above what typical households can afford.
• Halifax has the widest gap at 74%, while Edmonton has the smallest at 4%, underscoring sharp regional differences.
• Calgary, Montreal and Quebec saw affordability deteriorate, though the PBO says mortgage carrying costs in those cities remain relatively low.