Most experts and economists continue to forecast a market correction with condos being the most vulnerable. But when you weigh the factors, condos keep coming out on top!
People have less money to spend with rising gas prices taking even money out of consumers’ pockets. So where will people live? Closer commutes and near to public transportation. Maybe abandon the car altogether? Anyway you cut it; condos will be the preferred choice in the future.
In most markets, detached housing is getting just too expensive and people who value location and affordability will be turning to condos in even greater numbers. So rising real estate prices work in favour of condos.
Finally lifestyles are changing too. Most economists who work for banks are middle-aged suburbanites who don’t get it – today’s youth don’t want to cut grass and shovel snow. They want to go to Starbucks and travel. The condo accommodates that lifestyle. The economists don’t know how to factor that into regression analysis (projecting previous years forward).
When you sum it all up, we are still betting on the Toronto Condo Market! (And that’s before you take into account 100,000 people moving into the GTA each year who need housing).