Historically, the word used was “speculator”, which referenced a real estate investor taking a short-term approach. “That’s not who the market is today, it’s not a speculator’s market anymore,” said Peter Politis, president and CEO of Greybrook Realty Partners.
Even the government is promoting real estate investment as a long-term activity. For instance, the adjustment to the timeline necessary to qualify for the HST rebate has meant that investors who want that rebate will have to hold a property for at least 12 months.
There’s no doubt that there is opportunity in the Toronto market as far as ownership goes. “The amount of immigration that comes into Toronto on an annual basis and the demand for physical housing is extremely strong,” added Politis. “There is demand for units. There will always be a buyer.”
But financing, for those investors who want to build their portfolio, will continue to create issues. “That’s probably the most limiting factor to growth,” said Politis.
“I don’t think it is capital or even opportunity. [Financing] will put the biggest ceiling on people and their ability to build a portfolio in real estate.”
Greybrook Realty Partners is the Platinum Sponsor of CREW’s InvestorForum, which will be held at The International Centre in Toronto on March 28 and 29.
Find out more about the event and register to attend
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The word “investor” was once a bad word in real estate, but as the trend towards a more long-term focus grows, the word is shaking off its negative connotations.