The boom has surprised policy makers and analysts, most of whom began the year predicting the industry would be a drag on the economy.
Starts on multiple-unit projects such as condos hit a record in figures dating to 1955. Postmedia Network
Last year was a blockbuster for Canada’s real estate developers after work began on the most homes in a decade amid soaring demand nationwide.
Construction started on 219,675 units, according to 2017 data Tuesday from Canada Mortgage and Housing Corp. That’s up from 197,916 in 2016 and the most since 2007. Starts on multiple-unit projects such as condos hit a record in figures dating to 1955.
The boom has surprised policy makers and analysts, most of whom began the year predicting the industry would be a drag on the economy. It reflects fundamental drivers such as a buoyant economy and rising population.
Mark Ang is too young to have many skeletons in his closet, but he’s super keen on carting away whatever extra stuff you can’t fit into yours.
The 22-year-old Toronto entrepreneur came up with the idea for an online storage solution called Second Closet when he and his older brother David, 23, moved into a tiny condo in Liberty Village with very little closet space.
They quickly found out that not only was storage expensive, but the process of getting space was rigid. They had to deal with standard space sizes and minimum monthly rental fees — and there was no seamless delivery service between storage and home without the added cost of renting a moving truck.
“We were in a small, 500-square-foot condo with our Golden Retriever Riley, and the condo lockers were small, dirty and expensive,” he recalls.
His brother “had the bedroom that had one small closet because he was paying the rent, so I needed a place to store my things,” Ang says.
So the idea, and the name of the company, came to him quite naturally. And the concept is simple: they pick up your stuff, store it and return it to you whenever you want for as little as $3 a month.
As the calendar flips for the last time this year and we are three weeks shy of Christmas, it feels like we are all gearing up for the holiday festivities. The offices are a little slower, listings are dropping off and the buyers are taking a break. The November stats were released from The Toronto Real Estate Board and for the City of Toronto the average price was up 2 percent to $802,220 from November 2016. We saw a sizable number of new listings (14,349) for the entire GTA, up by 37 percent compared to November 2016. This boost to home ownership could be because of the upcoming changes to mortgage guidelines, which come into effect in January. On a year-to-year basis, the average selling price was up by 13.4 percent compared to same period last year. All the negative headlines are for the entire GTA, but conditions continue to be stronger for the City of Toronto.
The freehold sector in the central and east neighbourhoods saw a drop in new listings last week by 14 percent, while the west end remained on par as the week before. As December approached we also saw a drop in sales by 25 percent for all freehold but the bidding wars were still happening with 27 per cent selling over the asking price.
The condo market in the City of Toronto is still sizzling with the average price now at $555,965. Last week we saw a decline of 12 per cent in new listings for all neighbourhoods and a small decline in sales by 6 percent but the bidding wars were still strong with 32 per cent selling over the asking price. The condo market continues to lead the way in terms of price growth in the GTA.
Bosley Real Estate Ltd. is a full service boutique brokerage operating in Toronto, Niagara-on-the-Lake and Port Hope, Ontario since 1928. We have four centrally located offices and over 250 sales representatives selling and leasing homes and condominiums in all the vibrant communities we work in. Our brand is well recognized internationally thanks to our unique affiliation with Leading Real Estate Companies of the World. Our sales teams meet weekly to discuss market conditions, trending topics, and anecdotes that more accurately reflect the true temperature of the real estate market.
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High rises account for most new construction sales in October, but prices are also rising.
The boom in condos and stacked townhomes pushed sales of new construction homes in the Toronto region up 18 per cent year over in year in October — accounting for 91 per cent of the overall 5,377 purchases.
The remaining 9 per cent of sales were low-rise, single-family homes, including detached, semi-detached and town houses.
A 70 per cent decline in the number of transactions in the low-rise category in October, compared to the same month last year, was accompanied by a 30 per cent increase in prices that averaged about $1.22 million.
New construction detached houses now cost $1.55 million on average, according to the homebuilders’ group Building and Land Development Association (BILD).
At the same time, condo sales climbed 70 per cent with a 40 per cent year-over-year price increase to $677,456 on average.
That translates to an average price per square foot of $791 with the size of condos averaging 857 sq. ft.
The sales and price trends are a reflection of the declining choice for home buyers, according to BILD.
"We're still not building enough homes for the demographic reality of the Greater Toronto Area. Housing choice has diminished so markedly over the last 18 months to two years, even in the high rise market, prices are continuing to go up," said CEO Bryan Tuckey.