Despite having a marginal downfall in the worldwide real estate market, Scarborough, Toronto, is one of the areas that has been able to put up a great show. There are few factors about the place that are actually driving the growth of real estate market.
Dealing with properties or real estate has always been a great concern for the people from all walks of life. There is no secret to the fact that buying or selling property is not a cakewalk and one needs to take lots of major and minor factors into account to successfully accomplish the deal. However, that doesn’t hold anyone back from investing in properties to meet their financial as well as family requirements.
As far as the worldwide real estate market is concerned, things seem to be going through a bad patch over the last few years or so and studies and reports are claiming that the demand for properties is going downwards. That’s true to a large extent but the picture is not just the same in everywhere. Take example of Scarborough, Toronto.
Real estate overview in Toronto
While the demand for buying or selling properties is on a rise, there’s been a comparative downfall in the demand for rental houses since the end of the last year. This clearly suggests that people are more interested in buying or selling properties rather than putting them up for rent. There must be reason for that!
According to the studies by one of the largest brokerages in GTA, Re/Max Hallmark Realty Ltd, the average price of detached home in Toronto has crossed the $1 million range but the biggest profits are being made from the houses sold below the million dollar range.
The part of the city that is leading in this rising game is Birchcliffe/Cliffside with a whopping 25.4 percent price hike in the home rate figuring $724,187 as of June compared to $577,567 in the last year.
The next in the list is Cliffcrest/Scarborough Village/Guildwood with a percentage of 23.9 per cent. The rate which was $609,047 last year has risen to $754,437.
The Rouge/Malvern area has experienced a growth of 19.2 percent. The property price has risen to $621,912 from $521,643. Apart from that, areas such as Parkdale, High Park and North York have also experienced substantial growth.
Properties in Scarborough is in great demand
The moderate and soothing climate can also be another good reason to help growing the real estate market of this place substantially. It is the home to an earthen cliff formation popularly known as Scarborough Bluffs. However the climate is modest because of its southerly location in the country and the proximity towards Lake Ontario. The summer is humid and warm and the winter is cold. However the condition varies significantly based on the proximity to the lake. Areas close to the lake are noticeably cooler in hot summer days as well.
Last but not the least, the economical growth of Scarborough has also contributed to the recent advancement of the real estate industry in this place.
Aside from these reasons, the availability of properties attracts the buyers by offering them the suppleness of choosing the right residential property as per their needs. More so, the lower interest rate and the political safety are also amongst factors that the buyers or even the sellers would like to ensure. Considering all these major and minor factors, this can be said that investing in properties in Scarborough is safer with great potential returns.
Rumi Realty Point is a local brokerage specialized in Scarborough real estate market. Rumi team of professionals offers end to end services for commercial, residentialand real estate investment projects.
Let’s say that tomorrow, you went to a bank and told them that you would like to invest in some stock. You tell them that you’d want them to let you borrow three times the amount you are investing (so if you were to invest $25,000, you’d like them to loan you $75,000). You tell them that you’d even accept a loan equal to how much you’re investing (so if you were to invest $25,000, you’d like them to loan you an equal $25,000). Needless to say, the bank will give you a clear answer: No. There is too much risk and uncertainty, they’d likely say. However, with Real Estate, it’s not uncommon at all to have a deal where you put down 25% and the bank to put down the rest, 75% in this case. The reason? Real Estate, with the right partners and projects, has minimal risks and clear paths to profit and wealth. It is known how difficult it is for banks to part with their cash, so you can imagine that if banks are willing to put this much cash in the deal, they are quite certain that the project will have a successful and profitable return. This is the attractiveness of leverage: making money on the bank’s money. Contrary to the normal practice of the banks making money on people’s money!
The beauty of leverage is that you pay the fixed rate that you negotiated with the bank in the beginning, and anything made afterwards is yours. Additionally, as many people know, the interest rate been historically at its lowest meaning this is a great time to take advantage of unique tool of leverage to improve one’s wealth.
By: Aziz Amiri
Real Estate has proven time and again to be the most effective and prudent way to create and grow wealth for the vast majority of rich people. Let’s take a look at some of the reasons why that is:
The list goes on and on.
By: Aziz Amiri
We could all agree that it wouldn’t be stretches to say that much of the riches the wealthy have gained have come from Real Estate. One may ask, “How?” The answer is, in many different ways! Real Estate offers tens of different types and kinds of investment opportunities that, if you go about it in the smart and informed way, could be a great boon to your wealth and portfolio. The real question becomes, “What is the right opportunity for me?” For the best possible outcome, when it comes to investment, the investment opportunity should nurture and harness one’s strengths, talents, and align to his/her lifestyle; this is the winning formula. An endeavor where you should take stock of your likes, dislikes, talents, strengths, weaknesses, propensities, and then align them with your investment goals and objectives, and the varied
ways to reach them.
Some investment options are single homes with basements, student housing, flipping and
renovations, plazas, office buildings, industrial properties, retail condos, multifamily, land
banking, and so on. Your personal inventory could be people skills, being good with hands
(which would come in handy with renovation and flipping), analytical skills, skill in dealing with
students, tenants, lawyers, planners, architects, contractors and so on.
By: Aziz Amiri
Rumi Realty Point
Resources on Canadian Real Estate Market, Buying, Selling and Investment.