Concerns have been raised in recent months about the state of the condominium apartment market in large cities such as Toronto and Vancouver.
In part, these concerns relate to how prices remain near their COVID-19 pandemic-era peak, despite low sales volumes and rising inventory levels. For first-time homebuyers facing higher interest rates, these high prices and interest rates make units difficult to afford, and many condominium apartments are perceived to be too small for long-term or family-friendly living.
Recent media reporting has documented that investors are increasingly wary of purchasing pre-construction condominium apartment units because they often lose money relative to mortgage payments on existing rented units (negative cash flow), even with rising rents. In addition, some investors do not envision strong future price growth amid higher interest rates. This has contributed to a sharp drop in pre-construction sales, causing developers to delay or cancel projects, which may lead to lower future housing supply.
Today, the Canadian Housing Statistics Program is publishing data on investors and investment properties that are relevant to these discussions. These data are for the 2022 reference year and they cover five provinces: Nova Scotia, New Brunswick, Ontario, Manitoba and British Columbia.
Contact information
For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; infostats@statcan.gc.ca) or Media Relations (statcan.mediahotline-ligneinfomedias.statcan@statcan.gc.ca).