It’s no secret Toronto and most of Ontario’s real estate market is more than a little off the charts, with the cost of an average home being well above the means of most people.
And, according to land registry operator Teranet, the only group of people that have come out on top amid the ongoing COVID-19 pandemic, are real estate investors that own multiple properties.
According to Teranet’s fourth-quarter market insight report, almost 25 percent of homes purchased in Toronto during the first eight months of 2021 were sold to buyers who already owned multiple properties.
The latest Quarterly #MarketInsightReport is now available! The Q4 2021 edition takes a step back and focuses on the #OntarioHousingMarket as a whole, as we segment all transfers of ownership of properties based on various buyer profiles. Read the report: https://t.co/AnGCZ0zGWn pic.twitter.com/5IyBX0rAHp
— Teranet Tweets (@teranet_social) October 18, 2021
When you look at Toronto specifically, this percentage gets even worse, with 30 percent of homes being sold to buyers that already own multiple properties. This means that one out of every three homes in Toronto was sold by someone who already owns several properties.
The report goes on to say that between January 2011 and August 2021, there was a 50 percent increase in multiple property owners across the province during the ten-year period.
People actually purchasing their first home represent just 22 percent of sales across the province during 2021.
The report goes on to say that market conditions like lower interest rates and high prices push first-time homebuyers out of the market. However, these conditions are perfect for investors looking to capitalize on the booming sector.