Sales Of Condos Increase While Foreign Buyers Lose Their Upper Hand
Based on the recent report derived from Urbanation; when it comes to the sales activity of condos in the Greater Toronto Area, buyers from outside Canada tend to have a limited role in it, however, investors are a great asset and play a major role in the real estate market. It was discovered that 5 per cent of the sale deals and transaction that took place recently and within the ongoing projects in active development across the GTA area were to foreign buyers, while 52 per cent of sales were to domestic investors.
The Senior Vice President of Urbanation, Shaun Hildebrand said; “The results of this very important survey show a rather limited role of foreign buyers in the GTA new condo market and a very significant overall share of investors.” The range of share in the project consisting of foreign buyers’ arrays from 1 to 25 per cent of units, while the domestic investors have a share range of 5 to 90 per cent.
The figures are shown by Urbanation which renders the figure for the sales of condos for the third quarter of this year were 6,677, which went up by 73 per cent from the same time last year. The sum total of unsold inventory decreased to 11,485 by 33 per cent, which showed supply for 5.2 months.
Shaun Hildebrand said; “The pace of new condo development has fallen well below the level of demand this year. Given the low prevailing amount of available supply and diverse range of buyers, the recent mortgage insurance rule changes are anticipated to have a somewhat limited effect on market conditions for condos in the near term.”