Toronto Loft Conversions

Toronto Loft Conversions

I know classic brick and beam lofts! From warehouses to factories to churches, Laurin will help you find your perfect new loft.

Modern Toronto Lofts

Modern Toronto Lofts

Not just converted lofts, I can help you find the latest cool and modern space. There are tons of new urban spaces across the city.

Unique Toronto Homes

Unique Toronto Homes

More than just lofts, I can also help you find that perfect house. From the latest architectural marvel to a piece of our Victorian past, the best and most creative spaces abound.

Condos in Toronto

Condos in Toronto

I started off selling mainly condos, helping first time buyers get a foothold in the Toronto real estate market. Now working with investors and helping empty nesters find that perfect luxury suite.

Toronto Real Estate

Toronto Real Estate

For all of your Toronto real estate needs, contact Laurin. I am dedicated to helping you find that perfect and unique new home to call your own.

 

Toronto detached home prices hit record as condo gap widens

House shortage drives prices beyond the reach of most young families

George Carras – Toronto Star

The average price of a new detached home in the GTA has hit a new record high of $804,330, as of Sept. 30.

If you’re not completely set on buying a detached home, consider that, for the same amount of cash, you could almost afford two new condominium units.

Anyone looking to buy that detached home would need to have saved more than $200,000 for the down payment and boast a household income of more $160,000.

Welcome to the detached reality of the GTA housing market.

Comment: And those are for the entire GTA, including Ajax and Newmarket! Detached resale homes in the 416 are even more…

The detached home, once the standard form of housing for young couples and growing families in the GTA, has become nearly impossible for most in this demographic to afford.

Comment: If we are talking new, or resale in the 416. Heck, you can get a very nice house for less than $400k in West Pickering, right on the Toronto border. Or even a nice semi in a good neighbourhood in the $500k range. There are still lots of options out there.

Even if would-be buyers have their financials in place, selection is slim, with less than 5,000 detached homes available for sale in builder sales centres across the GTA.

New Home Construction Site
The limited supply of new single-family homes, and the corresponding increase in the supply of new condominiums on the market, has created a significant price gap between the different forms of housing.

Comment: Same as resale – scarce supply of homes is pushing up prices. Condo prices are fairly flat, but you have houses bumping up 10% some months.

The average price of a townhouse is $50,000 more than that of a semi-detached home, but the price of both these forms of new housing has been moving similarly upward over the past five years.

The average price of condos, on the other hand, has declined by almost $50,000 since 2011. Note, though, that the size of an average condo has also shrunk by about 100 square feet during the same period.

Then there’s the detached home, the price of which has been rising by more than $50,000, per year, over the past five years.

Comment: They are also larger, as they are further out into suburbia. They are also better appointed than they have ever been.

This has led to the largest price gap on record between the various types of new homes. And it’s a dramatically upward price trend that shows no sign of easing, as new detached homes become ever more scarce across the GTA.

What can be done? Not much, unless you’re rewriting policy. The solution is evolution. The province’s push for intensification has triggered fundamental changes in the housing market and we will all need to adapt to this new environment.

Comment: Regardless of policies, there are simply no large tracts of land close to the city to build on. They get farther and farther out, so fewer get built, as demand lessens the farther away from the CN Tower you get. Demographics have changed, people want to live IN the city. If people wanted houses in Courtice and Sutton, there would be a ton of building and thus more supply – leading to lower prices.

Condominiums are becoming a more attractive — and certainly more affordable — housing option within this environment, particularly for first-time buyers.

If having a detached home is important to you, the road ahead is looking more and more expensive.

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Contact Laurin Jeffrey for more information – 416-388-1960

Laurin Jeffrey is a Toronto Realtor with Century 21 Regal Realty. He did not
write these articles, he just reproduces them here for people who are
interested in Toronto real estate. He does not work for any builders.

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