The increasing number of consumers, most of which include professionals and young families prefer purchasing condominium units in the city, rather than buy a detached home, in the midst of the hot prices in the Toronto’s housing market. Geoffrey Grace of ReMax Hallmark Realty highlighted that as a result of the demand for condo units in the downtown area, intense bidding wars which includes as much as 17 competitors are taking place based on a recent study.
In the light of the recent look on the policies and regulations which include funding and mortgage insurance, detached homes worth more than $500,000 have specifically been confirmed to be harder for first-time buyers to attain. Grace mentioned that condos selling for a price of $500,000 would be a fully well-furnished suite that is located downtown, and also told a new reporting firm; “If you’re looking at a house, it’s going to be a rundown two-bedroom on a major street.”
The latest number shown by the Toronto Real Estate Boards disclosed the increase of condo resales which has spiked over the year in January by 26.7 per cent, equally shared between area codes 416 and 905. During that same period, an increase of 7.8 per cent was recorded for detached home sales, mostly in the 905 are, sales went down by 5.5 per cent in the 416 area code. Assisting the fame of the condo sector is its comparative attainability, with the increase of price year-over-year by 14.5 per cent in January. While in January, the benchmark cost of detached homes went up by 26.3 per cent compared to that of last year’s sale.