GTA Spring Market Update
Fueled by high interest rates and low inventories home prices in the GTA are continuing on their upward climb – making it an excellent time to invest in a pre-construction home.
Potential for substantial profit
Purchasing a pre-construction home gives you the opportunity to invest in the housing market for a marginal percentage of the total value of the home thereby producing a significantly better return on your investment. Like purchasing stock on margin, your 10% deposit reflects the potential of a much larger investment.
While new home prices often increase as sales advance, you won’t need to deal with competing against multiple buyers in a bidding war. In this hyper competitive Sellers market, currently seen in Toronto and surrounding area, properties are frequently listed well below value to generate increased interest in the unit and maximize value for the Sellers. With a pre-construction home you will likely have a varied selection of multiple homes making the process far more Buyer friendly.
Many interested buyers
Despite the pandemic, record home sales continued in the Greater Toronto Area for the third month in a row this March, according to the Toronto Regional Real Estate Board.
GTA realtors reported 15,652 sales in March, as more people hit the market with historically low borrowing costs, and significantly reduced inventories.
Home prices expected to continue to rise
With the increase in demand and limited supply, home prices in the Greater Toronto Area are expected to continue to become more costly, said Lisa Patel, Toronto Regional Real Estate Board President.
“While the robust market activity is indicative of widespread consumer optimism, it is also shedding light on the sustained lack of inventory in the GTA housing market, with implications for affordability.”
Investing in a pre-construction home is a smart investment to make. The rise in the cost of homes in the Toronto area is likely to continue – especially with the population continuing to grow moving towards the next year – and with the sales growth far outpacing the growth in new listings.
“The potential for double-digit price growth could continue without a meaningful increase in the supply of homes available for sale,” said Jason Mercer, Toronto Regional Real Estate Board Chief Market Analyst. “This will become more apparent as population growth resumes over the next year,” Mercer said.
Browse our current pre-construction opportunities on our website today: Pre construction – Torlon Realty Corporation Brokerage
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Work with the experts! Our firm has leaders and experts that focus on pre-construction – builder direct representation, development land management, investment property management, Retail MLS, Exclusive and corporate resale, and loss mitigation. Our founders, Frank Longo and John Torchia have combined over 60 years experience practicing in both commercial and residential sales.
Reach us by phone at: 416-613-1010, or by email at firstname.lastname@example.org.