I read recently Toronto was ranked one of the top 10 cities in Canada for purchasing real estate because property values are expected to increase greatly over the next few years.
This makes perfect sense to me. Toronto recently ranked 15th worldwide for quality of life, and the population is understandably expected to grow tremendously over the next decade.
I’ve seen first-hand the difference between Toronto and other major cities across Canada, and, in fact, North America —especially when it comes to condominiums.
Here in Toronto, we have an unprecedented selection of condominiums that offer features, finishes and amenities you simply will not find offered in the United States. Because of market competition in Toronto, prices are undervalued at the moment, and our mortgage interest in Canada is holding at phenomenal rates.
We also have a more stable housing economy than many other places in the world, including the United States. This has to do with our mortgage structure and the fact we have only five major banks here, rather than thousands like our neighbours down south.
When you arrange a mortgage through a Canadian bank, that financial institution holds the mortgage, and our banks write a small percentage of sub-prime mortgages compared to the United States. We have more control over mortgage programs — a fact that is attracting real estate investors from all over the world to buy condominiums in major Canadian cities such as Toronto.
There is a raft of other reasons why Toronto is such a desirable place to invest in a condominium. For one thing, we still have some land left, which cities such as New York can’t say.
Even in Toronto’s urban core, there are infill sites where condos are popping up, and, of course, we have a tremendous trend developing in the 905 areas of the GTA, including Mississauga and Markham. Prices range from affordable $120,000 suites to spectacular penthouses selling for millions of dollars. And Toronto and area condominium purchasers actually get a choice of features and finishes. No such thing in the United States, where what you see is pretty much what you get.
Our stable economy, tremendous immigration, affordable prices and unprecedented selection make Toronto the city of choice for an increasing number of savvy condominium purchasers.
Pat Baker is CEO of Baker Real Estate Corporation, one of the world’s most respected and successful condominium sales and marketing firms. Through an international network of top-performing associates in Asia, the Middle East and Europe (including Dublin), the company works with many of Toronto’s prestigious developers to represent the city’s hottest-selling projects.
Visit www.baker-re.comto find out more about the city’s most important condominium projects.