How is the Toronto Condo Buyer Market?

I’ve said it before, and I’ll repeat it, now is the time to buy a condo. For the first time in several years, the condo buyer market is having a slower start than the freehold market. This is temporary, and buyers should take advantage. Most condos are not selling with much competition these days (although some are), and their sale prices are entirely predictable. We expect that as soon as the city returns to even a semblance of routine, the condo market is going to come roaring back.

With that said, many buyers are understandably wary of condos for two reasons 1) health and safety of living with many other people during a pandemic 2) the speed with which that market was hit economically at the beginning of COVID.  These are our strategies to pandemic-proof your condo purchase in 2021.

1. Buy on a low floor so that you can take the stairs if you need to. Many condo owners are nervous about getting into an elevator. Bonus, gyms are closed, and you likely have some stress to walk off. This also frees up the elevators for people with mobility or respiratory problems, for whom the stairs are not an option.

2. If possible, buy in a mostly owner-occupied building. A lot of condos are used for rental units, and there is nothing wrong with that. However, some condos have more owners occupying the units than others. Find a mostly owner-occupied building, and it will weather any price-drop situation faster than other condos.  In tenant-occupied buildings,  investors flood the market with their newly vacant units at any sign of market distress.

3. Buy in a low-density area. This one is tricky because low-density neighbourhoods usually mean a higher condo price. But, if you can, find a residential neighbourhood with a few low-rise condos in it (looking at you, Roncesvalles) and focus your search on those areas. Again, if the condo market goes down, these buildings will be hit the last and will recover the quickest.

4. Buy in a building that has a package delivery system. We are all ordering online these days, and that is unlikely to change once COVID is over. Find a building that has a way of accepting packages on your behalf to save yourself numerous trips to the post office.

5. Prioritise work-from-home space: Remember those much-maligned dens in condos? They are called a +1 bedroom but are just a small corner? Get one. They make working from home much more manageable.

With that, happy house hunting! It’s tough out there, but in the condo buyer market, you have stable prices and low competition, for now. Don’t waste this opportunity.

Robyn Vandervennen
The Kim Kehoe Team