Background Image

Toronto Is Booming!

Discussion in 'Real Estate Discussion' started by Rickson9, Mar 22, 2017.

  1. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    Last edited: Mar 22, 2017
  2. CorySperle
    Offline

    CorySperle Senior Forum Member REIN Member

    Messages:
    600
    Likes Received:
    296
    Trophy Points:
    63
    And what provinces are you referring to? Headlines like this are often immediately followed by a crash.
     
    mynick likes this.
  3. DanW
    Offline

    DanW New Forum Member Registered

    Messages:
    27
    Likes Received:
    6
    Trophy Points:
    3
    Bubble or no bubble I am watching things very closely. I am in London and we are seeing the Toronto investors coming in and they are pushing up prices. Right now I am sitting by and watching as things progress. In the late 80's the largest increase was around 35 percent. It was followed by a decline of 8 percent. So even if I hold it won't matter much assuming something similar happens, but if rents don't increase much it might be worth it to take some gains as I bought at distressed valuations. That being said I will only do so if there is another idea to invest in.
     
  4. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
    A good collection of articles on foreign tax that may be slapped onto GTA housing, like in MetroVan, and possibly Victoria soon, is here https://www.google.ca/search?q=foreign+tax+toronto+crash

    At the moment we are seeing a frenzy of buying to avoid this tax that may or may not happen, but is likely in my opinion. Proceed with caution. Some speculators get a new Porsche while others lose their entire 20% deposit. Light and shadow can be close together. Buy with enough cash-flow to hold 10+ years and you'll be OK. If rents minus condo fees, property taxes, mortgage payments and management fees are not high enough you may regret it, while your lucky friend waives from the Porsche !

    In case you do not have the minimum $100,000 stake to participate in this gamble, there is always the Niagara Falls casino.
     
    A & H likes this.
  5. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    First it is unlikely Toronto will be slapped with a foreign tax. If anything it will be a watered down version of what was done out West.

    Second, just like Vancouver, the tax will have no impact on prices despite all the irrelevant articles about sales volume.

    Toronto is the only Canadian city that the World recognizes.
     
  6. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
    Prices in Vancouver on houses dropped about 15% as did sales volumes

    The same is to be expected in GTA if and when a foreigner tax is introduced
     
  7. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
  8. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
    House prices dropped OVER 10% in Vancouver. High end more than mid-end and low end, and condos hardly at all.

    And so will GTA's house prices when such a tax is implemented. A high likelihood given Liberal's and Wynne's unpopularity.
     
  9. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    Nobody cares because the price drop in Van is inconsequential.

    https://beta.theglobeandmail.com/re...http://www.theglobeandmail.com&service=mobile

    http://www.financialpost.com/m/wp/n...learly-supply-issues-in-vancouver-and-toronto

    Toronto real estate will remain strong. Ontario has the jobs, diverse economy and in-migration. Alberta is a one trick pony and people are leaving.
     
    Last edited: Mar 26, 2017
  10. CorySperle
    Offline

    CorySperle Senior Forum Member REIN Member

    Messages:
    600
    Likes Received:
    296
    Trophy Points:
    63
  11. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    I'm glad that people in Alberta are happy with their economy, real estate and job situation.

    Ontarians are upbeat and Toronto real estate is booming too!
     
  12. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
    Especially now that K Wynne is on her way out ..
     
  13. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    ^ I didn't know that.
     
  14. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
  15. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    Toronto and Ontario's fortunes continue to rise regardless of which party is in power.

    Debt is irrelevant to Ontario. Easy to pay. No consequences. Population continues to rise unabated.

    Everybody wants to be here and Toronto is the only Canadian city that the World recognizes. This is reflected in Toronto real estate prices.
     
  16. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
    That is probably true, except the New Depression Party !

    Not quite. True today, but getting harder and harder to get loans. Also see Greece. Debt is twice as high as California per person, and the highest of any sub-nation in the world. http://business.financialpost.com/n...e-worlds-most-indebted-sub-sovereign-borrower and http://www.theglobeandmail.com/news...er-heavy-debt-load-budgeting/article25334122/ .. although recently raised a notch .. $s spent on debt can't be spent on hospitals, schools, roads, child care, high tech innovation funds etc

    This is just proof of what folks outside of Toronto think: they have one big navel.

    There are other cities in Canada, you know. Ever heard of, in declining international prominence: Vancouver, Calgary, Montreal, Edmonton, Winnipeg, Regina, Saskatoon, Halifax ? Higher growth in many cities than Ontario or GTA. Toronto is certainly NOT the only city the world associates with Canada. But then, enjoy he big navel's boom while it lasts.
     
    DonOldridge and (deleted member) like this.
  17. CorySperle
    Offline

    CorySperle Senior Forum Member REIN Member

    Messages:
    600
    Likes Received:
    296
    Trophy Points:
    63
    Are you buying real estate in Toronto right now Mr. Rickson9? You certainly must be due to the fact it is booming as you say and TO real estate will remain strong.
     
  18. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48
    He noted that the GTA economy is "growing quite rapidly," and job creation is "running far ahead of the rate of growth in the rest of the country."

    http://www.cbc.ca/beta/news/canada/toronto/stephen-poloz-toronto-housing-1.4044206

    Toronto's economy will remain strong and diverse, population will increase because the jobs are here. Travel to Europe and ask locals to name a Canadian city. It will be Toronto.

    Loans getting harder to get? Harder than what? Breathing and walking at the same time? Not hard at all. Very easy.

    You can cite irrelevant examples such as Greece and California all day, but real life has shown no debt consequences for Ontario. Ever.

    Ontario's credit rating is fine and better than Alberta according to Moody's. Because Ontario's economy isn't a one-trick-pony and jobs are plentiful.

    http://www.cbc.ca/beta/news/canada/toronto/moodys-ontario-credit-rating-stable-1.3554371

    http://globalnews.ca/news/2661229/albertas-credit-rating-downgraded-by-moodys/

    Hospitals, schools, roads, child care and virtually all other industries are thriving.

    Let's not be negative and celebrate Toronto as a rock-solid Real Estate market success story.
     
    Last edited: Mar 28, 2017
  19. ThomasBeyer
    Offline

    ThomasBeyer Senior Forum Member REIN Member

    Messages:
    12,884
    Likes Received:
    1,559
    Trophy Points:
    113
    My bet is on BANFF.

    Then Vancouver. Then Toronto. If you come from Europe Toronto has little charm to offer. Just high rises. People who want that go to New York usually.

    That is true. Enjoy the ride.
     
  20. Rickson9
    Offline

    Rickson9 Senior Forum Member Registered

    Messages:
    1,112
    Likes Received:
    43
    Trophy Points:
    48

Share This Page