“I think this will be another solid year for [condos],” says Matt Elkind, an agent with The Condo Store in Toronto. “The demand is going to continue. That trend away from houses, just with the prices of housing going up dramatically, more people are happy being downtown and living the condo lifestyle.”
Re/Max Condos Plus said it expects demand for larger units – particularly those with two bedrooms or more – to increase, especially for two of Canada’s most active demographics moving up and down the property ladder.
“It’s two things really,” says Armand Gilks, a sales rep with Bosley Real Estate in Toronto. “One is people downsizing, and the other is people currently in condos and as their need for more space as their families grow, many are opting for larger condos rather than low-rise housing.”
Immigration is also expected to boost condo demand in 2015. The Re/Max report suggests Toronto requires more than 35,000 units annually to keep up with in-migration – meaning the 20,000 units currently being completed will lead to a shortage.
“I do see demand for larger units growing,” Gilks says, “and this is especially as the condo market matures.”
To make a prediction for Canada’s crazy housing market would be, well, crazy, but like Re/Max Condos Plus, some agents believe it’s safe to say high-rise living will continue to post strong gains in major markets – especially for larger family-friendly units.