City of Saskatoon recognizes that "housing affordability has eroded in Saskatoon"

From the 2012 Budget

HOUSING AFFORDABILITY
Because of increasing economic activity in Saskatoon, as noted earlier, home prices have also
increased. While this has created new wealth for many homeowners in Saskatoon, it has also
eroded housing affordability in the city. Since 2005, as shown in the chart below, the median
price of a home has grown faster than the median income, resulting in an erosion of housing
affordability.

Source: City of Saskatoon, Conference Board of Canada

To get a better sense of housing affordability, analysts typically utilize a tool called the Median
Multiple Affordability Index. The Median Multiple is widely used for evaluating urban markets,
and has been recommended by the World Bank and the United Nations and is used by the
Harvard University Joint Center on Housing. It is determined by dividing median house prices by
gross annual median income. A rating, or multiple, of 3.0 or less is considered to be affordable. The chart below shows the Index in the Saskatoon context. Since 2007, housing affordability has eroded in Saskatoon. For 2010, the index is forecasted to be 4.3.

Here is another take on the medium multiple for Saskatoon compared to Canada.

 

And one more take on Saskatoon's unaffordability.

The average weekly wage in Saskatoon increased by 2.7% in Sept compared to Sept of 2010.  (Don't get Saskatoon confused with the 6.9% average wage increase of Saskatchewan)  And jobs are down by about 6000 (4.3%) since the peak in the spring of 2010.  

No bust, but no boom in jobs or wages either lately for Saskatoon.