Want to Invest in Condos for Sale in Toronto? 5 Things to Know About the Market
Any great real estate investor needs to know their market. Before you start looking for condos for sale in Toronto, check out these helpful facts.
People are flocking to Toronto and putting roots down in the area. This movement has now put Toronto among the top 16 cities across the globe with around 2.9 million residents.
It’s a great city for many reasons but not the easiest place to find a house, especially if you want to be in the core area of Toronto. Condominiums have become a popular choice.
If you’re one who sees the potential and value in this city, you should learn more about the market you’re looking to buy a condo in.
Here are 5 things to know about the market when investing in condos for sale in Toronto.
1. The Prices Are Rising, and so Are the Rates
The prices of condos in Toronto are slowly increasing every year. There are currently pre-construction condos in the downtown Toronto area that are selling for around $1,300 per square foot.
While it will be expensive to make an investment, if you can afford the steep prices, it’ll also be profitable to sell while the market is on the rise. If you’re planning on renting or leasing the condo out, you can ask top dollar in the right location and easily make your money back.
We will also more than likely see a rise in interest rates within the next couple of years. It’s best for you to invest now before the interest rates rise any higher.
2. Residents Are Ready to Make the Switch
There’s also a shortage of the supply of detached, single-family homes. Toronto residents are now realizing that purchasing single-family homes is becoming less and less of a realistic option as the options decrease and the prices rise.
Condos are the most cost-effective option to purchase and are becoming the obvious choice for many families who want to live in Toronto.
This adjustment in the trends means that more people will be investing in condos in Toronto over the next few years.
3. New Construction Condos for Sale in Toronto
There’s currently an increase in new construction condos in Toronto with close to 60,000 units under construction in 2018. It seems as if there is a new condominium is taking the place of a different parking lot every day.
This is a classic case of supply and demand. The more people are showing interest in Toronto condos, the more development will take place to satisfy that demand.
Condo developers will normally sell a majority of the units to willing buyers and investors before starting development.
4. Using Condos for Rental Properties
A smart way to use your condo investment is to use it as a rental property. Rental prices are on the rise as well. This can help you receive rental income to put money back in your pocket.
There are plenty of people who can’t afford to purchase a condo and are looking to rent one.
5. Find the Perfect Location
If you’re looking to rent to local university students, consider purchasing a condo in the Toronto Central area or the Toronto C02 district. Those downtown areas are the closest to local universities and colleges.
Other popular areas to look at are Toronto West and Mississauga. Each of these areas will give you different looks and types of condominiums.
Great Investment Opportunity
There is a lot of demand for condos for sale in Toronto. Purchasing one of these condos is a great investment opportunity.
Trust Condos specializes in providing pre-construction condos to people who are looking to invest in the Toronto area.
Continue reading through our blog for more real estate tips and information.
If you would like to discuss more about the upcoming condo opportunities and have any questions, please book an appointment with trustcondos expert Arshad Hussain