1. It is anticipated that Buyers/Investors will likely hold back, further dampening the demand, which will inevitably result in downward pressure on prices.
2. Condo prices will have further downward pressure due to oversupply in the market. It is anticipated that more than 40,000 new condos will hit the market this year in 2025, resulting in massive oversupply.
3. Entry level Freehold properties, between 0.9 to 1.5 million, will likely continue to do well. This is currently the hotly contested segment of the market, where demand outstrips the supply resulting in bidding wars even when overall real estate market conditions are quite sluggish.
4. Downsizers will likely be at an advantage; moving from freehold to condos. This will be the best opportunity for them to capitalize on the market conditions both ways, where they can take advantage by selling their prized freehold property at a premium while at the same time taking advantage of market slump in the condo market to get a substantially discounted price.
5. Mortgage rates cuts will bring monthly payments down for homeowners so they can have a sigh of relief. This will also be incentivizing buyers to become homeowners as a result of their enhanced affordability, to some extent. How far will it impact the market remains to be seen, but all indications are that its overall impact will have a marginal effect on market conditions.
6. Landlords will be at greater risk due to potential tenant defaults resulting from greater unemployment. Landlords need to be extra careful while scrutinizing new tenants. They might also ask for guarantors in case of default by the tenants, but still, it cannot be a guarantee against default on rental payments.
7. Renovations costs depending on items imported from US might be partially impacted. There will be some relief in terms of lower timber costs and other Canadian made product used in renovations. It is expected that renovation costs might see an overall upward trend.
MUSLIM SENIORS RESIDENCE 
Leave a comment