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Resolute 14 · 10-12-2011, 10:01 AM

I'm struggling to find numbers on long term income trends in Calgary, but to help (or obfuscate) the debate:

Housing prices in Calgary over the last 40 years:

Spoiler!

More charts here: http://calgaryrealestatereview.com/2...ales-timeline/

As I said, the median income is hard to find long term, but according to this CBC article from 2008, the median income in the city rose. In 2006, it was just under $31k for an individual and just over $82k for a family. In 2001, inflation adjusted, it was just under $29k and $77k. Or about a 6.5-7% increase in real spending power. Ouch.

Looking at the housing price chart, it appears that in mid-2001, the average price of a home was about $175k. In mid-2006 right before the market shot up like a rocket), about $250k. Inflation adjusting the 2001 average for 2006 dollars comes to $195,000. So a difference of $55k or a 28% increase in home cost vs. the 7% increase in income.

Now, the problem: lies, damned lies, and statistics. All of these charts and totals are median figures, but they simply do not reflect the median person. Calgary has a healthy number of CEOs and million dollar homes that skew the averages upward, and a healthy number of homless and working poor that skew the averages downward. On the balance though, and only from my personal experience, I do think the housing market saw a greater disparity in that time for the average person/family than the raw numbers suggest.

Then again, I was able to buy a condo in 2009 when I had no hope of affording one in 2007, despite the fact that my income was decreasing when adjusted for inflation. In short, Caramon's table became complete BS somehere in mid 2008, but the overall point his rooted in a valid argument.

10-12-2011, 10:01 AM	#166
Resolute 14 In the Sin Bin Join Date: Jan 2003 Exp:	I'm struggling to find numbers on long term income trends in Calgary, but to help (or obfuscate) the debate: Housing prices in Calgary over the last 40 years: Spoiler! More charts here: http://calgaryrealestatereview.com/2...ales-timeline/ As I said, the median income is hard to find long term, but according to this CBC article from 2008, the median income in the city rose. In 2006, it was just under $31k for an individual and just over $82k for a family. In 2001, inflation adjusted, it was just under $29k and $77k. Or about a 6.5-7% increase in real spending power. Ouch. Looking at the housing price chart, it appears that in mid-2001, the average price of a home was about $175k. In mid-2006 right before the market shot up like a rocket), about $250k. Inflation adjusting the 2001 average for 2006 dollars comes to $195,000. So a difference of $55k or a 28% increase in home cost vs. the 7% increase in income. Now, the problem: lies, damned lies, and statistics. All of these charts and totals are median figures, but they simply do not reflect the median person. Calgary has a healthy number of CEOs and million dollar homes that skew the averages upward, and a healthy number of homless and working poor that skew the averages downward. On the balance though, and only from my personal experience, I do think the housing market saw a greater disparity in that time for the average person/family than the raw numbers suggest. Then again, I was able to buy a condo in 2009 when I had no hope of affording one in 2007, despite the fact that my income was decreasing when adjusted for inflation. In short, Caramon's table became complete BS somehere in mid 2008, but the overall point his rooted in a valid argument.