Square One Condo Market Prices Trend In 2018
There are many factors that are shaping the future of condos in Mississauga and the rest of the GTA. Government intervention in the housing sector has a lot to do with real estate prices. Apart from the overall economy, there are other external factors that affect real estate markets in general. Some of these factors like housing supply, interest rates, lending guidelines, immigration policies, infrastructure development etc. are controlled by the policy makers. There are other factors that are out of government’s control (like NAFTA, global economy, international events etc.) also control the housing market. It can be said that real estate in Canada is not being run on a free market basis. If it was, then the housing prices in GTA would have surpassed by double digits in 2017 too.
Ontario government’s Places to Grow Act, 2005 has put pressure on land supply. As a result of the short supply of new sub-divisions for housing development, there has been a continuous growing demand for housing. The prices increased due to this lack of supply. On top of this, low interest rates fueled an already heated seller’s market to a point that Canadian debt levels have become very high. In mid-2017, when the Government saw this huge surge in GTA home prices, high consumer debt levels and homes becoming too expensive to afford, they started tightening the housing market by putting different rules. The prices which were growing by double digits, stopped growing, the number of sales went down and prices also went down over the last six months.
At the same time, the Canadian economy is doing really well so that’s giving another opportunity to the Bank of Canada to raise interest rates a couple of times now in the past few months, which means that it will become even harder for people to qualify for higher mortgages. This is something like a double beating to the housing market.
What can all of this mean for Square One condo market?
If you look at our 2018 Square One Condos report below, you will see that prices went down from July to December 2017. However, they haven’t gone down by a whole lot. Condo apartment market falls into the lowest price segment of the market. So with so much tight lending conditions, most buyers will get qualified for much less than what they used to in the past. And the Square One condo market will fill in this gap.
Square One Condo Prices 2018
I won’t be surprised to see double digit growth for Square one condos, which are currently lower than $450,000 price range currently, by the end of this year. But having said that, since our real estate market is controlled by other external factors (as discussed above) no one can put their 100% bets on the market. Apart from first time buyers and investors, there are also couples or young families who have been priced out of the condo townhouse segment because of the tight lending rules. These buyers are not qualifying for more than $650K Mississauga freehold properties but do qualify for affordable townhouse and condos that cost less than $650K.
Square One Rental Market 2018
It will be an interesting year to watch. As far as Square One is concerned, January 2018 prices are on the rise. It is a good opportunity for even investors who are looking to buy and invest because we are swamped by rental leads. The rental rates have gone up too. Rents have gone up by almost 8-9% in one year (market rent is applicable only when a new tenant is moving in). We have a big shortage of supply of condo apartments for rent.
Condos Investors Dream To Acquire Top Tenants
A lot of newcomers, especially skilled immigrants are coming here with good jobs from the IT sector. We are helping many new immigrants every day and there are many first time buyers as well in the market at this moment. In our experience, Square One condo market is one of the best rental markets in the entire GTA. An investment property is very easy to manage when one lives close by and Square One condo market is ideal for investors who live in Mississauga, Brampton and nearby areas.
Square One Condos Builder Condos Market 2018
After a successful registration of Amacon’s PSV and PSV2 condo projects, buyers can look forward to their AVIA condos project. Our team is a Platinum broker at this project and many other Mississauga builder projects, so if you are interested in this project or any other builder new condos project in Mississauga, give us a call. We have sold many condos in this development, overall feedback is very positive and our investors are now happily reaping the rewards of substantial price gains, and quality tenants. Some were even able to cash out gains via assignment sales.
Pinnacle’s Grand Park 2 also completed in 2018 and Amber condos near Hurontario/Eglinton is getting ready for interim occupancy , sometime in 2018. Pinnacle’s first tower of Perla is now sold out and the second tower is being launched soon. Let us know if you are interested to buy at VIP prices at Perla Tower 2 condos.
Daniels builder has sold out the Wesley condos in Downtown Mississauga and Edge Condos by Solmar will be releasing more units and new buildings in 2018.
M City by Rogers was the most successful project in 2017 and they have sold out both their projects. There are still some good podium and penthouse suites available at M City. If you are planning to get VIP terms on these units, let us know.
Category: Real Estate By Waqas