Foreign Buyers In Toronto
Tuesday Apr 10th, 2018Share
There has been a lot of talk about the whole foreign investors and the GTA. The government created a foreign buyers tax to help slow down the investment made on properties by foreign investors. This may have made a bit of an impact... but how much really? If you look at the grand scheme of things, these foreign buyers, are likely to look for properties to invest in that are located in busy downtowns. Will a 15% tax really make a difference? To get an idea of whats really going on is to compare apples to apples. If you look at the average price per square foot in Toronto and compare it to those in other downtown cities in the world... Toronto is actually very affordable.
The average price per square foot is about $791 in Toronto, and $1195 in Vancouver. These are based on Condo's, which are more attractive to foreign buyers because they are easier to maintain. When you compare Toronto's $791 a sqft to Hong Kong's (which is the most expensive city in the world per sqft) whoping $3268 per avgerage sqft, Toronto, even with the 15% foreign tax is still an amazing bargain. What sounds better... 1 condo in Hong Kong, or 4 in Toronto. Especially since the condo market today (April 2018) is seeing the largest gains in the province because of their price point. One can only be led to believe that Toronto is still a great place for foreign investment. What impact this will have on our market is yet to be seen. Foreign buyers still buy the majority of homes in the price ranges above the 3 million mark.
Take a look at this Image below at some of the downtown prices and come to your own observations:
What do you guys think will end up happening?
Above information provided by RE/MAX and Numbeo
#investment #realestate #toronto #torontorealestate #realestatetoronto #realestateinvestment #globalinvestment #isaduzhomes #isaduzinvestments #foreignbuyers