Toronto is still the leading destination of most new immigrants to Canada and this constant population growth is fueling the expansion and densification of the GTA and central Toronto in particular with both buyers and renters.
Coupled with this increase in density comes a vibrancy that is pushing Toronto into the top ranks of major world cities. With numerous five star hotels and restaurants and major arts/cultural attractions either coming on-line shortly or recently added to this city’s already vibrant living — comes additional attention, interest and value.
Toronto is and always will be a destination city and a great place to live. The vagaries of watching the so-called “market” do not outweigh the benefits of a great livable city and an amazing and friendly country!
When sizing up Canadian markets alongside their U.S. counterparts we often hear that what’s happening south of the border is sure to make its way north. Given that approach, there has been a lot of talk lately about the Canadian real estate market heading for an implosion.
Statistics Canada has reported a steady price climb with its new housing price index rising 1.9 per cent since last April. And Scotia Capital reported that Canadian real estate prices had increased five per cent in the first quarter of this year compared to the same period in 2010.
Taking what may look like healthy growth a step further, CIBC warned last month that 17 per cent of Canadian homes are overvalued. A five to 10 per cent price correction is likely to take place in the next two years, the report added. The report went on to say that homes in B.C. are overvalued by 20 per cent, 17 per cent in Alberta, 13 per cent in Manitoba, Saskatchewan and Quebec, 11 per cent in Ontario and 8.6 per cent in Atlantic Canada.
And this week, Bank of Canada chief Mark Carney issued concerns that fear and greed in the Canadian housing industry is driving real estate prices through the roof.
If these predictions suggest the Canadian real estate bubble is about to burst, Toronto broker Peter Powers thinks otherwise.
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