According to a new study by the Chicago-based Council on Tall Buildings and Urban Habitat, tall building construction in Toronto is outpacing every other city in the entire Western Hemisphere. There are currently 15 skyscrapers under construction which will exceed 45 storeys. That means that there will a total of 44 high rise buildings of over 150 metres in height by 2015. That's more than triple the amount that existed in 2005 when there were only 13 high rise buildings in this category. Of course, virtually all of this dramatic surge in high rise development has been fuelled by the construction of new high rise condos.
Archive: December 2012 4 articles
The mortgage rule changes introduced on July 9th by the Department of Finance have had a pronounced effect on the Canadian real estate market. As of that date, the maximum amortization period for government insured mortgages was reduced from 30 to 25 years and a $1 million purchase price ceiling for government insured mortgages was introduced as well. Since these new rules were put into effect, there is no denying that the market has cooled substantially in terms of volume. In addition, resale prices have also started a softening trend, although they are still up marginally versus year ago in most markets. There is widespread agreement that these are the facts - but there is much less agreement as to whether this is a good or bad thing.
According to a research study from Pacifica Partners Capital Management Co., demographics in the coming decade are not generally "real estate favourable". Here is their argument in a nutshell: The main driver of the real estate market since 1990 has been baby boomers buying houses during their peak earning years. The 45-64 age group accounted for about 20% of the population prior to 1990, but grew by another 10% throughout the 1990's and 2000's. In round numbers, today there are about 4.3 million more people in that age group than there were in 1990. The problem, according to Pacifica, is that this age cohort is poised to start declining now and that the younger generation isn't large enough to pick up the slack. Also, as the boomers begin to retire, their appetite for buying houses will decline appreciably.
Stay up to date on all the planned construction projects in Toronto with the T.O. INview interactive map.
"The City of Toronto is introducing a new web-based system that shows all planned construction projects taking place across the City, particularly construction that will affect roads and streets.