October 2, 2025RED FM News DeskAs political debates over housing affordability continue in Parliament, Canada’s fiscal watchdog says the affordability gap has significantly narrowed nationwide—though the situation varies widely across the country. With the central bank’s policy rate now at 2.5% after several cuts, mortgage costs have become more manageable. However, even with these improvements, home prices in those cities remain well above what is considered affordable. Halifax now holds the widest affordability gap at 74%, while Edmonton fares best among major cities with a gap of just 4%. Conversely, affordability has worsened in Calgary, Montreal, and Québec, though the PBO emphasized that mortgage carrying costs in those markets remain relatively low compared to national standards.