The Greater Toronto Area, Canada’s largest real estate market, is on the fast track to further expansion. Construction of new housing developments in the GTA significantly increased in August, according to a report from the Canadian Mortgage and Housing Corporation.
The report states that a total of 224,900 new units began construction last month, a noticeable increase over the 208,000 units that broke ground in July.
In markets such as Atlantic Provinces and British Columbia where stats increased only slightly in August, the surge was attributed by CMHC to decreased activity during the previous month.
National figures show that the construction of new single-family homes remained relatively stable last month, with 64,300 units built. However, urban starts jumped 15.5% with 141,600 new units and an estimated 19,000 rural units began construction last month.
Atlantic Canada led the growth in new starts with a 47.5% increase, followed by 20.4% in Ontario, 18.2% in BC, and 1.3% in the Prairie Provinces.
In Quebec, urban developments dropped by 9.8%.
For investors, new developments in key areas are good news. If the market statistics continue to be favourable towards buyers in these markets, many investors might consider purchasing multiple units for added profitability and decent returns.
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