RBC House Affordability

[Nathy]

The RBC report analyzing house affordability for August 2013, shows a 19.4% of affordability measure for Condominium in the Calgary region. Does it mean it is undervalued? As we should stay in the 25 to 39%

 

[Thomas Beyer]

It means condos are affordable because wages are high and prices relatively low.

 

[Nathy]

Thank you. I understand that, however is it good to invest if it is in the undervalued percentage? As anything under 25% on the affordability index is considered undervalued.

 

[Thomas Beyer]

it is one indication, but not enough research.