Homebuyers head to GTA west… but don’t ignore the east
It’s not exactly earth-shattering news, since we’ve been able to observe the trend for the last few years, but a new report from ReMax of Ontario-Atlantic Canada underlines just to what degree homebuyers are heading west.
West, as in Hamilton and Halton Region – Burlington, Oakville, Halton Hills and Milton.
In analyzing sales trends in nine Toronto Real Estate Board (TREB) districts over the past five years, ReMax notes those areas captured 10.1 per cent of total market share in 2018, with a 2.3-per-cent increase over 2013.
The reasons are fairly obvious: The quest for homes at affordable prices. Indeed, this spillover effect has stimulated homebuying activity in most areas flanked by Toronto’s core and Hamilton. Burlington, in particular, soared between 2013 and 2018, with home sales almost doubling and average prices climbing 50 per cent to $769,142.
Builders of new homes also recognize the appetite for lowrise homes in the west.
But with such strong growth in Burlington, how long will this market remain an affordable option?
“The communities in the west will still be affordable compared to Toronto proper, but what we are going to see is a continued uptick in demand for more of the outlying communities like Brantford, Waterdown, Kitchener-Waterloo, Cambridge and even as far-reaching as London and Niagara,” Christopher Alexander, executive vice-president, ReMax of Ontario-Atlanti Canada, told HOMES Publishing. “What will really impact the growth of these markets, outside of availability and affordability, will be the underlying transit systems and investments in local economies, as people still have a need to be connected to the GTA core.”
But, Alexander also told HOMES Publishing, the window of opportunity to head west may be closing.
“As the west end of the GTA continues to see growth and price appreciation, a leveling effect will likely come into play (with the east region),” he says.
GTA east areas such as Durham Region may not have the same appeal as the west – currently. “The west end of the GTA has a greater diversity of communities that are attracting a diverse range of buyers. In the past 10 years, there has been significant focus on the growth and development of these regions, whereas historically, Durham has not traditionally been viewed in this same regard. With the boom in areas towards the east, like Prince Edward County, and the affordability leveling out, we will likely see the tide begin to turn.”
So, yes, prospective homebuyers, go west if you like, but also keep an eye on the east.