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More to the foreign investment story

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Justin da Rosa | 13 Jul 2016, 08:15 AM Agree 0
The full effects of China’s influence on Canada’s housing market may not yet have been felt, according to a leading economist
  • Ranjit Randhawa | 13 Jul 2016, 10:54 AM Agree 0
    The government details only direct foreign buying. There are no figures of indirect buying by foreigners through their Canadian relatives.
  • Frances M. | 13 Jul 2016, 01:29 PM Agree 0
    I may be wrong, but my sense is that a lot of foreign ownership is hidden, for example in the Toronto condo market, by investors using a Canadian citizen as a conduit for buying up large numbers of units. I sold my very nice (larger, higher floor) unit in an enormous condo project in Liberty Village because it turned out to have approx. 75% rentals, and lots of people behaving badly (e.g. irresponsible young people with too many dogs, drug dealers, pimps and prostitutes) Within a year, the common elements appeared to be 10 years old. Unsavoury.
    I have to believe that many owners were clueless as to who was renting their unit, as a typical investor would be concerned about the quality of their tenants.
    Comments?
    • Frances M. | 13 Jul 2016, 01:31 PM Agree 0
      Oops - hadn't seen Ranjit's comment until after I posted mine. So at least one person concurs.
  • Scott | 14 Jul 2016, 10:58 PM Agree 0
    I suppose it depends on what the investor's goals are. I personally like cash flow first and property appreciation second. An investor who is using a property as a holding vehicle for a large amount of cash may be operating under the assumpation that a $1 M house/condo will be worth the same or hopefully more in a year or more. Those individuals are going to be in for a very rude awakening if the property is not maintained professionally. I guess letting the property sit vacant eliminates the risk of tenants trashing the property but that seems like a waste to me. If it's rented out and professionally managed, it should bring in some income for the owner. My thoughts anyways.
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