Potential immigrants to Toronto typically make one mistake : they begin searching for real estate ahead of time, before coming to Toronto. Without any familiarity with the specifics of the city and the nuances of the Canadian housing business, choosing a great house is impossible. Property market in Toronto has its own specifics. In most other cities, for example in Europe, the rich can live together with the poor. The primary factors that influence the choice of a home there are the closeness to the city centre or to transportation lines, and the dimensions of the house or apartment.
In Toronto, we can see a clear gradation of bad and good areas. Some neighborhhods are more prestigious as opposed to others, every neighborhood has mainly a particular cultural group and a particular average revenue of people that live there. Look at Toronto from above, and you will see that it looks like a patchwork quilt, sewn from a various, very different areas. And this “patchwork” can be noticed on many levels. Without understanding theToronto’s actuality, it’s impossible to find a great location and real estate.
If something is cheap in Toronto, it’s cheap for a reason. This can be clear to Torontonians, but not to potential immigrants who start their search for real estate while still being in their country, Let’s consider an example of an apartment in a condominium not far from the subway, on Yonge St., at a pretty attractive price. It could seem like an amazing opportunity to those who know that Younge St. is the centre of Toronto. However, the reason why this apartment costs so very little in such a prestigious area is that the building is extremely old and requires repairs. This can be instantly reflected in the condo fee, that is Three times higher than a fee in a new condominium. In addition, the building can be only remotely associated with condominiums because it has no amenities seen in contemporary condominiums in Toronto – no gym, no pool, no room for parties, and so on.
There are expensive condominiums located at the waterfront of Lake Ontario at Yonge St. and Bay St in Toronto. Due to the high cost of apartments in these condominiums, it’s significantly harder to rent them than inexpensive ones, that are always in demand. Usually, people purchase apartments in condominiums on Toronto’s waterfront for themselves, as opposed to other neighborhoods. Statistically, over fifty percent of condos in Toronto are bought for investment purposes. Need for condos in expensive buildings on Toronto’s waterfront is extremely high, and there rarely are any to sell, therefore the prices are growing continuously. Most of all, there isn’t any room for construction in Toronto downtown, so prices will increase even more, and the demand will rise as well. Therefore, this is a very good option in terms of investment
If your goal is to maximize your profits from renting out your condo in Toronto, you can safely remove high-priced buildings on Toronto’s waterfront out of your list. In such a case, your best option would be to buy small inexpensive apartments in areas near to schools, hospitals, locations where young single people and young professionals hang out, etc.
Visit Real estate Toronto, and Toronto commercial real estate for more tips and advice.
