In Toronto, the neighbourhoods with markedly lower condo inventories are seeing faster growth in average unit price.
Data from the Toronto Real Estate Board showed that the downtown core saw its average unit cost rise by 55% from July 2014 up to July 2019, ending up at $692,592 last month. Meanwhile, the City of Toronto’s overall average condo price increased by 66%, up to $627,927.
A new analysis by real estate information portal Zoocasa stated that in those five years, condo price growth in the market was particularly observed in the city’s east and far northwest extremities.
“While provincial and federal policies introduced to cool the market have had a pulldown effect on sales and price growth between late 2017 – mid 2018 … over a five-year time period, dramatic price increases have persisted in pockets across the city,” Zoocasa explained.
The greatest growth was apparent in locales where condos sold for below the city’s average.
“These neighbourhoods also have an overall lower inventory with sales that are significantly lower than in more central neighbourhoods, which can contribute to heating prices.”
West Hill, Centennial Scarborough saw the most dramatic increase, with a massive 147% upward spike during those five years to end up at $340,750.
The Scarborough Village, Guildwood also had a significant 140% growth. The area’s average condo price went up from $176,711 (2014) to $424,344 (2019).
Just close behind at third place was Malvern, Rouge with its 128% growth. As of July 2019, the average condo value in the neighbourhood was at $377,295.
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate