Now is THE Time to Invest in the Toronto Condo Real Estate Market.May 28, 2021
Buying a condo in Toronto can be one of the smartest and best things you can do for your finances. Remember, most millionaires got that way by investing in real estate, and condos are a great way to start.
As Toronto’s real estate market has moved into a more balanced market, there is greater inventory, meaning you have more properties to choose from. Gone are the days where only a handful of attractive properties were for sale. In today’s market, you can find something that can work for the most reasonable price ranges.
Today we will share the reasons why the Toronto Condo Market is a great market to invest in.
Renting in Toronto is expensive, and in many cases, it’s cheaper to own than to rent. Of course, there are costs to consider other than your mortgage. Maintenance, taxes and utilities add to the monthly expenses.
When you own, part of your mortgage payment is building equity in the condo that YOU own, so if you have a ready down payment and are paying down your landlord’s mortgage, now might be a good time to buy.
Interest rates are at an all-time low right now, and a first-time buyer could carry a mortgage with 20% down and have an affordable monthly payment.
If you have the means to do it, buying a condo in Toronto for investment can be one of the best decisions you can make. Holding investments long-term is the best way to make serious gains. So, buy now and sell later for maximum profits.
With home prices still quite high, the Toronto condo market will continue to be the affordable alternative. The demand for condos will continue, and prices will continue to rise. There’s no doubt about it. But those who’ve already bought can sit back and benefit from the promising Toronto condo appreciation.
While the rental Market is down in Toronto and across the GTA, investors deciding to purchase a pre-construction condo should not be looking too closely at current rental market data because things will change within the time frame that the condo nears completion.
This pandemic has forced people to reconsider where they live and has put some financial strain on many Canadians, especially those who lost their jobs due to COVID-19 lockdowns that have negatively impacted businesses across the country.
With COVID-19 vaccines here, the fall of 2021 should see a strong resurgence and demand for condos within the Toronto real estate market.
There is a strong possibility that offices will reopen sooner rather than later, bringing a lot of business back into the downtown core.
It is only a matter of time before people will begin to return to their offices gradually.
Once activity ramps up in mid-2021, it won’t be surprising to see condo prices rising to new levels. So the advantage of buying now is that new condo prices are still quite competitive as developers are more interested in attracting demand than over-pricing units.
You can still invest in a pre-construction unit. Pre-con properties give you time to save a deposit over several years before committing to a mortgage. By the time the project is built, the rental and Airbnb markets will have had time to recover, so demand is likely to be higher, and you’ll be able to charge more.
Toronto has the second-fastest-growing downtown office market in North America. This has companies paying top dollar when any space becomes available. Toronto’s commercial real estate market has attracted several high-profile tech companies in the past year, including Uber, LG Electronics, Netflix and Microsoft.
Industrial spaces are commanding even higher prices with a record-breaking year-over-year. Investing in commercial real estate may cost more upfront than some other real estate investing avenues, but the equity gains and rent roll you can achieve with this type of investment are so worth it.
You have asked, and we have answered, this is the time to invest; call us today at 416-566-2850 to discuss the various options available.