15 August 2014
In spite of a moderate price growth during the next 2 yeas in all 8 cities named in the outlook, increases in household incomes will help borrowers to keep paying off their mortgages. Immigration growth, affordability issues in large cities and aging baby-boomers planning to downsize – these are the factors affecting the situation and supporting demand for condos in urban centres.
“Our research showed that the strong underlying economic factors can help condominium markets reach a necessary soft landing”, – said Robin Wiebe, Senior Economist at the Centre for Municipal Studies at The Conference Board of Canada and co-author of the report. “Although we’ve seen volatile sales and changing listing tendencies, markets are still expected to remain balanced across the whole country, with a small lean towards buyers in Ottawa, Montreal and Quebec City.”
In case of Toronto’s condominium market, a slight cooling is predicted. In the same time, due to healthy growth of population, good economic results and attractiveness of living in a downtown, we can avoid the collapse, many economists are afraid of.