Vancouver and Toronto are Canada’s most expensive housing markets. Calgary is becoming a bit expensive too but not as expensive as perceived because it is still affordable when compared to both Toronto and Vancouver.
What has made Vancouver the most expensive of all housing markets in Canada, North America, and 3rd most expensive in the British commonwealth after Sydney and Melbourne? Vancouverism was a project that helps minimize traffic, increased public space, and boosted parks and vertical condo residencies in north Vancouver, False Creek, and in & around downtown Vancouver.
However, Vancouverism has its share of critics too. Many argued that it was an embodiment of corruption and only favored a small elite segment of society.
Then came the rise of the values of homes in Toronto. How did this happen? Let us have a good look at the ascent of the value of residential properties in Toronto.
How did housing prices rise in Toronto?
Toronto’s livability has been on the rise since the late 90s, 2000s, and early 2010s. This not only became instrumental in attracting immigrants from all over the world and Canadians from other cities. From 2015, the prices and rents of properties in the inner-city areas began to rise.
Today, the average price of condos in the city proper hovers above C$ 650,000 whereas the average price of homes in the city proper has touched the C$ 1 million mark.
These prices are the reasons rent controls were implemented by then-Mayor of Toronto John Tory. Even with the implementation of credit stress tests, rent controls, and price controls; housing prices in Toronto city proper are skyrocketing, with many looking to settle in suburbs outside the city.
Those who already own home should know whether their home offers any of the perks some buyers are willing to pay a bit more for?
Homeowners need to understand the worth of their home at all costs. To know this, they need to understand the factors that positively affect their value. Various home calculating tools are available online and help deduce the value of the home based on existing data related to the home and actual sales prices of that area too.
Numerous data points correlate with the values and sales prices of homes. Of these points, some of them are obvious while some of them are not that obvious (the home’s condition is one such point).
Here are some surprising factors that can affect the existing value of a home or the price a buyer is willing to pay. All these factors are data-driven:
The property’s proximity to a Starbucks, Burger King, or a market
Let’s face it, a home closer to important and fashionable retail outlets, shops and markets have the most value. Needless to say, no one wants to drive 10 miles to the nearest Walmart or grocery store. Also, how far do residents need to go to get a Starbucks also adds to the property’s value?
Numerous surveys carried out by the Toronto Real Estate Board and other recognized bodies revealed that between 1999 and 2014, homes situated near key markets, near fashionable eateries, retail outlets, and fast food chains had a rise in the value of more than 60% in comparison to those which were situated at a distance from markets.
Blue bathrooms and blue kitchens are valuable
Americans are obsessed with curb appeal. Canadians on the other hand check both the outside and the inside of the home. Other than that, they also see the colors the rooms have been painted in, with the bathrooms and kitchen being of particular interest.
Surveys conducted among homebuyers in Toronto indicated that homebuyers in Canada love blue colored kitchens much like their American neighbors. Homes having blue kitchens sold for an extra C$ 1,900 in comparison to homes having kitchens painted in colors other than blue.
Blue bathrooms are also favored heavily by Canadian home buyers, with bathrooms painted in pale blue and soft blue hues. These add a value of almost C$ 6,000 to the home’s value. Other than that, walls painted in cool neutral shades of either blue or gray indicate that the home is cared for and has desirable features.
The home should have trendy features
Fancy features in homes such as Medieval doors, barn doors, farmhouse sinks, Art Deco style kitchens, fancy living rooms with pool tables and the like add a lot to the home’s value. Canadians also have a penchant for homes with fancy yet modern features as that adds a considerable amount to the home’s existing value.
Can condos have fancy features? Of course, they can. Monticello doors, wider windows, stylish window grills, stylish balcony railings, and the like add value to the condo’s price without a doubt.
Proximity to the city
Vancouver and Toronto are North America’s most expensive housing markets, and more expensive than New York, Los Angeles, Mexico City, San Diego, Dallas, Houston, and Miami. Also, homes and condos that are close to the city, especially the downtown and entertainment districts in Toronto and homes closer to downtown Vancouver have the most expensive price tags.
Both Toronto and Vancouver recorded a 15% rise in housing prices between 2013 and 2018. Toronto Condos for sale are among the most expensive in the nation.
Some factors are common while some aren’t, and these are instrumental in raising the value and worth of a home. A home located in Etobicoke is worth a lot more than a home in Oshawa. The same goes for Condos located in and around the downtown core versus condos in Mississauga and Brampton.