BEST AND WORST CONDOS in Toronto

Ever wondered which condos are the BEST and WORST condos to buy or sell right now?

There is historically a very close link between MOI (metric called: Months of Inventory) and changes in price - the higher the MOI the more likely we are to see downward pressure on prices. If this trend continues into the future it suggests that we may end up seeing more downward pressure on very small condos while larger units may end up performing better. In fact, these units are in oversupply and harder to sell than units that are over 2,000 sqft in size which tend to be in the luxury segment.

In the smallest sqft segment with condo units < 500 sqft; there is a lot of inventory right now which means that supply exceeds demand driving prices downward in this square footage segment. Days on Market is also the highest and hardest to SELL and RENT due to high inventory and oversupply. Buyers/Renters have more choice than ever before. Therefore, if you OWN or are a LANDLORD to a condo or multiple properties in this segment, you're having the hardest time right now renting or selling your condo due to SIZE and square footage alone. Days on market will be high. You will SELL/RENT it eventually, but it will take more time than a larger sized unit >900sqft.

The Lowest MOI are condos between 900-1400 sqft which means that if you own a condo anywhere in this square footage or size, it will sell QUICKLY and rent FASTER with days on market being very low driving up multiple offers due to a supply shortage for this size. If you have a condo in the 900-1400 sqft SIZE and square footage segment, these are the BEST condos to SELL right now to make a healthy PROFIT.

Condos between 501-700 sqft are the second least favourable in the square footage category and are not selling as quickly as the larger sized condos above 900sqft. Anywhere in the middle 700-899 sqft are selling quicker than the smaller units <600 sqft however taking longer than the 900sqft + units. However, the 2000 sqft + luxury condo sized/larger homes are selling exceptionally well due to work from home circumstances and the need for a lot more home gyms and workspace.

If you think about it, COVID or not, small and even micro condos make up a significant portion of the new condo supply that is coming on the market. More inventory of small condos from new condo builds/projects could put even more downward pressure on prices once the vaccine rolls out fully in 2021. If you have a smaller sized condo looking to liquidate, I would advise selling sooner rather than later because when the smaller condos arrive on the market with the new builds/construction this will cause a surge of more inventory in the below 500 sqft segment which I am speculating will be worse for profit as a seller driving prices potentially downward.

If you're a millennial, first time home buyer or investor, the time to capitalize on pricing is NOW to BUY a condo <600 sqft segment due to an oversupply in the market. You can get the best DEAL price wise. Larger sized units 2 bedrooms are highly desirable right now and the most difficult to ATTAIN. Still possible, but requires some buying strategies, patience and a savvy realtor.

The mortgage rates are at an all time low below 2% as low as even 1.49%. It has never been more cost effective to borrow money to buy your dream home or even another investment property.

If you're looking for MORE space, the best suggestion is to hire a real estate professional find larger units off market to find what you're looking for (size, location, pricing requirements). Inventory is very limited so you need to be FAST. Contact me and I'll share with you how I work for your benefit in your concierge home search to find you exactly what you're looking for. The Sandy SOLD home matchmaking services are one of my most valuable assets I offer to my clients! Find out how by emailing [email protected]