Toronto has gained and sustained a reputation of constant vertical building and growth in the downtown core, but what about the suburbs?
How is the Greater Toronto Area (GTA) attracting both buyers and builders for their development plans? Why are GTA condo buildings selling out in a similar fashion to those downtown?
In February of this year, Toronto had the highest number of construction cranes in North America according to Rider Levett Bucknall’s Crane Index. Toronto had a whopping 88 cranes in the sky, building business and mixed-use properties all over the city and surrounding GTA. We beat runner-up Seattle by a landslide – they only had 55 cranes in operation at the start of the year.
Today, we’ll look away from the downtown core and focus on some of the pre-construction builds breaking ground in the suburbs. Condos in the Greater Toronto Area are still great options for living or investing.
Condos in Toronto’s core appreciate in value at a steady rate, and homebuyers are snatching up properties at will. The popularity of Toronto’s condo market is thanks to their cost-effectiveness, as many homebuyers find themselves unable to afford a traditional detached or semi-detached house.
The GTA’s demand attracts a bounty of developers to the region, and according to the Toronto Real Estate Board, resale condos now account for nearly 37% of all real estate activity on the Multiple Listing Service.
This demand for resale condos only translates into the demand for pre-construction purchases as investors hope to get a jump-start on payments, floorplans and other early bird concessions.
The suburbs offer even more affordability than units downtown; they continue to mint sold out builds and strong investor interest.
The suburbs offer residents and families a wealth of amenities that the downtown core simply can’t compete with.
The suburbs are often quieter, more family-friendly and community-based. Recreation and leisure is more accessible, with purposeful builds that focus on landscaping, greenspace and wellness – something urban developments cannot necessarily incorporate into their builds due to their limited lot sizes.
Suburban condos are going to be the places where you can get the most bang (read: space) for your buck.
Areas to the west and east of the city score highest on the affordability scale, with units in West Humber-Calireville and Scarborough offering some of the cheapest average prices, respectively. Those with steady incomes between just $41,000 and $55,000 can afford a unit in these locales, which have sales prices in the mid $300,000 to early $400,000 range.