The Toronto condo market is still very active
Towards the end of 2014, builders were putting the finishing touches on about 10,000 new condo units in Toronto, that were made available to buyers in early 2015. This is eight times more than the monthly average over the past decade. The majority of the new condo units have already been sold, mainly to investors.
However, the influx of new units has increased the number of unsold units to a 21-year high. It is a big increase, especially in light of the fact that the city’s condo market has been of concern to federal regulators; with regard to the rising levels of household debt in Canada.
Much of this new supply is the result of a building boom that began in 2012, when developers started the construction of more than 37,000 new condo units in the GTA.
Now in 2015 there is still a boom in condo sales. This is also due to the fact that banks and other lenders are helping the market, being convinced the city’s condo market is not going to collapse, just yet.
The prices are still too high, for many first-time buyers, to buy a condo in Downtown Toronto, and these people are opting to rent for the time being.
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