GTA Housing Stats
Written by: Condo Chicks
Posted on: July 20, 2016
Supply and Demand
No matter where one looks, development companies are filling the spaces between older neighborhoods in an effort to try and meet the demands of the housing market across the GTA. Interestingly enough, it’s not just the building of detached homes that is causing large shifts in the market, it’s also condominiums. As prices for ground-oriented homes increase, condominiums are garnering more attention and seeing a rise in interested buyers.
With a mere 3,892 brand new condos on the market, 6,229 condo units were sold between January and April of this year. Luckily, in the coming years, 51,392 units will become available, increasing the number of brand new units to match the demand of potential buyers. This does not take into account condominiums that have yet to break ground in the coming years, further increasing the choices for the rising number of buyers.
A condo buyer’s market
Does that mean condominiums are surpassing the purchase of detached homes? The market answers with a resounding ‘no’. The Toronto Real Estate Board’s (TREB) consumer intentions survey for 2016 found that the majority of residents in the GTA are still vying for the traditional ground-oriented home purchase This is good news for those interested in condominium ownership. With detached homes increasing at “double-digit year-over-year rates [reaching] a record $864,181 in the first four months of 2016” and a whopping 11.4% increase in detached home prices by the end of April, it is still the more financially viable decision to invest in a condo. And while the condominium market may seem highly competitive, it does not surpass the detached housing market’s record breaking competition.
What about the competition?
Buying a home, be it the first time or the third; a condominium or townhome, is never an easy task. As prices and competition increase, the pressure to act so as to not lose out on a potential ‘dream home’ also rises. But potential buyers should not feel discouraged. Among the myriad of information citing increasing prices, unwavering competition, stringent supply and complications in the purchasing process, there lies an advantage for condominium buyers. They are the ones with control. The rush for developers to supply demand gives buyers a louder voice, a stronger presence in the market and a more communicative relationship than has ever been seen before.