The five- and 10-year averages for price growth in newer downtown Toronto condos is 15% and 8%, respectively. GTA-wide, the 10-year average is also 8%.
Last year, a record 380,000 people moved to Canada, outpacing the federal government’s immigration target of 300,000 per year set in 2016.
But the positives of younger people joining the Canadian workforce as an aging population retires, are dampened by the rising demand for housing and the resulting upward pressure on home prices.
An analysis from BMO economists Doug Porter and Robert Kavcic cites population growth (which totalled 506,000 in Q2 2018) as part of the reason for a boom in house prices, especially in Vancouver and Toronto.
A rise in construction of housing is underway but follows a lag in supply even as the population increased to 37 million this year.
With forecasts for further increases, the BMO economists say that population growth may spur the BoC to conclude that the economy is growing faster and implement interest rate rises.
Sales have stabilized BMO economist Robert Kavcic says that the policy changes, especially the mortgage stress tests, that were designed to cool the hottest markets, have made an impact along with rising interest rates.
"Sales and price activity got heated even beyond what those demographic fundamentals would suggest and now we're seeing a correction response," he told HuffPost Canada. But "we do think sales are going to stabilize and, in fact, they have stabilized in the Greater Toronto Area."
News of a fixed rate increase might inspire consumers driven by fear of being priced out of the market in Canada.
Even before COVID-19 moved us all to work from home, reevaluations of office space were already underway, but not nearly to the extent they are now.
This consultant and real estate investor said that a third of new construction properties built every year in Ontario have legitimate claims for reimbursement, but they aren't taken advantage of.
New condos going up on King St. E. and Berkeley St. by Lamb Development Corp will be 32-storeys and the new Ontario Line subway route station.
Condominium sales in the City of Toronto surged by 63.2% year-over-year in February to 2,167, according to the latest data from the Toronto Regional Real Estate Board.
According to GTA-based Seth Ferguson, CEO of Multifamily Real Estate Investments Inc., Texas has arguably the most propitious horizon in the Sun Belt.
In 2020 alone, this commercial real estate team did over $60 million in commercial sales in Toronto.
Craig Proctor, top Canadian real estate agent and coach, offers advice on how to dominate during these crazy real estate times. Join his Millionaire Agent-Maker SuperConference March 19-21.
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