February 2016 Market Watch for GTA

The weather in December and January was not the only thing that was unseasonably warm! The Toronto real estate market continued its hot pace with the sale of 4,672 residential transactions in January, up 8.2 % over January of 2015. The average price in January was $631,092, up 14.1% over January 2015’s average price of $552,925.

This upward trend will continue in 2016 as a recent polling conducted for TREB by Ipsos suggested that 12 % of GTA households were seriously considering the purchase of a home in 2016. Buying intentions are strong despite rising prices of homes. With low interest rates, home ownership continues to be seen as an affordable long-term investment.

Here is the number 1 reason why Canada is so popular an investment opportunity for so many foreign investors:

Cost of 1300 apt per sq. ft in major cities:
London: $3,227 US Dollars
Hong Kong: $2,132 US Dollars
New York: $1,728 US Dollars
Moscow: $1,497 US Dollars
Singapore: $1,425 US Dollars
Mumbai: $1,070 US Dollars
Tel Aviv: $950 US Dollars
Toronto: $775 US Dollars

And Monthly Rental Rate of the very same building1(300 sq. ft apt):

London: $11,089 US Dollars
Hong Kong: $ 6,431 US Dollars
New York: $ 7,225 US Dollars
Moscow: $ 5,158 US Dollars
Singapore: $ 4,332 US Dollars
Mumbai: $ 2,540 US Dollars
Tel Aviv: $ 2,318 US Dollars
Toronto: $ 3,047 US Dollars

I know the above are “averages”. Prices are dependent on location, condition etc. However this gives you a general idea why so many foreign investors are purchasing in Canada. We are a BARGAIN!

If you or a friend are considering purchasing an investment property, (yes, 2016 is a great time) please give me a call, there are some great opportunities in Toronto!

Mehdi Hassanianesfahani
Your Friend in Real Estate
The 6 Real Estate (Team Jon Amante)
Re/Max Realtron Realty, Inc.