Condominium sales in downtown Toronto have been slowing down as a result of the COVID-19 pandemic. Now could be a great time to invest in the Toronto condo market and take advantage of the lower condominium prices that we are seeing for the first time in over a decade.
Condominium prices in Toronto have stayed at a stagnant level recently, while home prices have skyrocketed. When you are looking to invest in Real Estate, why not invest in the most affordable sector? Condominiums have been steady and are more affordable than houses in Toronto which makes it a great sector to invest in.
Now that we are in the Spring market, we have already seen condominiums start to pick up in pricing. Many of them are starting to sell for above-asking prices again. The small window of opportunity to invest in the Toronto condo market is coming to a rapid end.
Toronto Real Estate is constantly evolving and growing, with an increase in immigration announced by the government and the vaccine rollout underway. The Toronto condo market is one sector that is sure to see substantial gains quickly. The gap between condominium prices and homes in Toronto is becoming so wide that condominium prices will be going up very soon. As an investor, you want to capitalize on the current market because it won’t last too long.
The majority of Canadians are expected to be vaccinated by September, when the Fall Real Estate market hits. With most businesses and students returning back to the city I expect rental prices to go up. As people start to return to the downtown core, it will in turn drive up condominium prices and demand.
Long term investment
Real Estate is the best long-term investment that your money can buy. Whether you are a first-time investor or experienced, 2021 has shown signs of being the year of the condo, as they are the most affordable option. Single-family detached homes have been listed for record-high prices and will only continue to grow in Toronto.
Often buying a single-family home is unattainable, and condominiums are the last affordable and attainable option to get into the Real Estate market currently. Canada has an unprecedented rate of homeownership of 68.55 percent, and with the prices continuing to rise I see that dropping even more within the next 20 years.
Because I chose to invest in the Toronto condo market when I turned 18, I was able to substantially gain enough equity within a few years to buy several more properties. Investing in Real Estate can help you build wealth for yourself rapidly and safely. The best time to buy was yesterday and today is better than tomorrow.
With the interest rates at an all-time low, your money can be much better served gaining value in a condominium than sitting in your bank. Instead of waiting around to see how the market is, you could be investing in your future and building equity.
Toronto Development
Things are only continuing to develop in Toronto, and condos are the future of housing for the GTA. Condominiums are the only affordable option of housing in a metropolitan city like Toronto.
As COVID-19 starts to recover and immigration rates return there will be a higher demand for rental properties in Toronto. As the government plans to bring over 1.2 million immigrants over to Canada within the next three years, this will significantly boost the market. The Greater Toronto Area’s housing market benefits from new immigrants, where cultural and labor diversity attracts newcomers worldwide.
The Toronto Real Estate market has been very steady, and COVID-19 has been the first incident in over a decade that has affected the market and caused fluctuations in pricing. Being able to buy at a time where the prices aren’t going up for the first time in over a decade is a fantastic opportunity for investors. Now is the time to get into the market before prices start to rise. As prices haven’t come down in over a decade, investors will rarely get a chance like this for a very long time.
When deciding to invest in the Toronto condo market, it is important to remember your financial budget and limitations. Making sure you have a pre-approval in place is crucial in such a competitive market.
Pre-construction
Pre-construction condos are popular and can be a great investment. I have been buying pre-construction since I was 18 years old. Did you know that you can’t buy 90 percent of the projects launched in Toronto without a pre-construction specialist like me? A lot of the properties in Toronto are only sold by Brokers who specialize in pre-construction, like our team. We can help guide what the best available projects are for investors. The benefits of pre-construction are that you are buying brand new. You can also put down less money over a longer period of time which gives the investor more leverage. This is a better option for investors who need to spread out their payments over a longer period of time.
All imported windows will be costing 60 percent more, and prices for construction will continue to go up as materials and cost of labor increase. The longer you wait to buy pre-construction properties, the more expensive the prices could be.
Toronto is on a huge growth trajectory and condominiums are the way of the future in a densely packed city. Once everything is back to normal and people return to the city you will have missed out on the lower prices of what could have been a great investment opportunity. Real Estate has been proven to be a great investment and if you have the capital to buy now in a lower and stagnant market, take this opportunity as it won’t come by very often. If you want to invest in the Toronto condo market you can check out our FREE guide to investing. Book a call with our team today and we can help guide you through the process of investing in downtown Toronto Real Estate.
