York Region has definitely become a place where people want to live and work. The recent 2016 Canadian census found that the median household income in York Region has increased by 17 percent in the last ten years.
The median household income in York Region is now $95,776, which is a jump of 16.9% from 2006, when it was $81,496. Not only that, but ¼ of York Region’s households have a median household income of over $150,000. In Markham, the median net household income is $89,028, which is almost on par with the rest of the region.
What does this mean?
Basically, a rise in median household income means that some segments of York Region’s population are making more money per family. Because of this, they can contribute more to the community and the local economy, which is definitely a boon all around. There are a number of factors pertaining to why household income increases, which part of which can be attributed to inflation. As well, although the median household income has increased, it doesn’t mean it is so for all members of the region. In general, it is a hopeful sign that there is an increase and not a stagnation or decrease.
Other factors at play
While this could be pure speculation, a lack of affordable housing in the Toronto area may have those with greater incomes moving towards regions like York Region, where they can obtain a similar house than they can in Toronto, for much less money.
Even with the rising house prices in Markham and York Region, having an increase in median household income means that residents are better able to pay their mortgages and buy homes.
Making more money, but spending a lot more
Unfortunately, even with the rise in income, Canadians all over Canada are also increasing their debt loads. Canadian household debt is steadily rising and is at a record high currently. Household spending accounts for 65% of total spending in a family and this includes food, clothing and yes, your Markham home. Mortgage credit accounts for 70% of total outstanding debt in a family, with the other 30% being loans, lines of credits and credit card debt.
Spend what you can afford
If you are considering buying a home in Markham or other parts of York Region, you are best to get a preapproval from a qualified lender and then speak to a real estate professional about what you can get for your budget. Let me know how I can help.