A new report says Cascadia’s cities are among the world’s least affordable, with Vancouver ranked 13th worst, Victoria 23rd, Seattle 36th and Portland 60th.
The report, by research firm Demographia, focuses on the ratio of home prices to income. It rightly notes the imbalance between supply and demand, but dismisses the role of interest rates and robust local economies.
Another oversight: It doesn’t mention the cost of transportation, which makes big cities such as New York and Tokyo less prohibitive than the report suggests. If transit options in Cascadia enabled the average family of four to live with one car instead of two, saving at least $400 per month, even pricey housing would be more affordable.
The report says land-use rules are the biggest culprit:
Various planning strategies have driven up the price of housing, such as land rationing (urban growth boundaries and infill requirements), extravagant amenity requirements, excessively high infrastructure fees and approval processes that are unnecessarily lengthy and complicated.