Homes & NeighbourhoodsThe Ultimate Guide to Toronto's Real Estate Condo

The Ultimate Guide to Toronto's Real Estate Condo

The Ultimate Guide to Toronto's Real Estate Condo

Most people who buy condos in Toronto often come for work, family, and even investments. One of these profitable investments include condos. Even so, many people are confused as to why they should invest, especially when there may be other potentially profitable investments they can take advantage of. However, below are some of the reasons why you should take the time to invest in condominiums in the Toronto area.

Why You Should Invest in Condos in Toronto

Finances

In order to bring in revenue, you have to have a good, basic financial foundation. Because of this, there are often many benefits when you invest in condos, especially before pre-construction.

These benefits include:

  • Earning passive income
  • Purchase and building beautiful condoms that will allow you to sale for profit
  • Buy at a low deposit
  • Not being subjected to mortgages or loans

The reason for this is, surprisingly, found in politics. In 2005, Toronto enacted the "Places to Grow" policy, which allowed an area called the 'Greenbelt' to be protected. Because of this protection, land had become scarce. As such, many developers had to build properties outside the Greenbelt. Since then, the amount of low rise properties declined, and high rise properties rose. This has allowed an increase of high rise development to replace reduced low rise sales. For more information about this, you can click here: www.theyslcondos.ca.

Population Growth

The population growth has also been a reason why investing in condos in Toronto has been so profitable. Accordingly, there is approximately between 260,000 to 280,000 new immigrants to Canada every year. These immigrants often come from big cities like Toronto and Vancouver. In order to keep up with housing, developers have had to build an estimated 40,000 a year. In the next 20 years, around 2 million people will be coming to this area, meaning that over 800,000 homes are needed to accommodate them. Because of these developments, there is a growing demand for these houses, including condos. As such, this can be an incredibly profitable venture for you. What's more, because of this growth, the number of vacancies are incredibly low, despite the increasing supply of condos.

The Rental Market

Despite the myths that there are too many condos in Toronto, the need for condos has actually quadrupled. Not only this, but the prices for these condos over the last years. In fact, in 2015, the average rent price for Toronto is approximately around $1,910.25. The reason for this increase is because in Toronto and other big cities, there is no rent control. This means that landlords are able to adjust the price based on the market, rather than government officials.

What's more, the cost of living in Toronto is often lower than other cities. For example, say you have a million dollars, and want to spend it on living space. If you live in London, you would only get 271 sq. ft., but if you live in Toronto, you get 1,620 sq. ft. This shows that Toronto is one of the most affordable cities you could live in, despite its growing prowess in economic stature.

From the population growth, to the growing market for condos, Toronto is a place where many people can invest in condos and earn a profit in return. This beautiful area will be home to an enormous amount of people, and as such, is a good investment. Despite that, there are many mistakes that people often make when investing. You can find more about the tips and tricks to avoid these mistakes in the next chapter.

Comments (0)

*Please take note that upon submitting your comment the team at OLM will need to verify it before it shows up below.