Toronto’s population is growing fast, and with the housing crisis, property prices keep climbing, especially when more people want to buy than sell. This keeps the city’s real estate market super strong.
Even during the recession, Toronto’s unemployment rates remained relatively low, and rental prices were stable. This is because the city has fantastic economic stability and resilience to market fluctuations.
The average housing prices have gone up by at least five times since 1990. Since it’s a buyer’s market, the highest demands are for properties under $1M. With a budget of $1M to $2M, you are likely to find the best deals out there.
So, what are the best places to invest in Toronto? Let’s find out.
Downtown Toronto
Everybody knows about the west side of Toronto, also known as the King West. This is the trendiest part of the city because it’s the hotspot for Entertainment and Finance. The streets are lined with hip restaurants and bars.
The west side is so in demand that it is rapidly becoming unaffordable. And when the prices reach a tipping point, guess what will happen? The overflow of property owners will flock to the East side.
Smart buyers can already see it coming so the investments have begun. The average price of a condo in the East Side is $732K. You can find decent studio units starting at around $500K, and junior one-bedroom units typically range from the high $500Ks to low $600Ks. For those interested in taking advantage of this shift, check out the homes for sale in Toronto.
The East Side of Downtown has several great neighborhoods for investment, ranked as follows:
- 1.) East Bayfront
- 2.) St Lawrence Neighborhood
- 3.) Canary District
Leaside
Leaside is a well-planned neighborhood where homes were designed before any were built. Most houses here feature the charming Tudor style, with beautiful interiors that include hardwood floors, cozy fireplaces, and detailed paneling.
With prices skyrocketing in nearby areas like Mt. Pleasant, more buyers are flocking to Leaside. You can expect that same great quality of life and access to awesome schools without breaking the bank.
In Leaside, you can find all kinds of homes, like detached houses, semi-detached ones, and bungalows. Prices start at around $520,000 and go up to $3,399,000, so there’s something for everyone’s budget.
Swansea
Swansea is a picturesque neighborhood in Toronto surrounded by the Humber River, High Park, and Lake Ontario. This little pocket west of High Park has many appealing features.
If you are a hustler, you might find this part of the city much quieter than the glamorous parts of Toronto. But even with the peace and quiet, transportation is really nice around here. There’s not too much traffic, you get the subway, and Union Station is accessible by bike.
Did you know Swansea has its own town hall? Of course, you didn’t. It’s the same with most investors. Even though Swansea is located near one of the city’s most unputdownable areas, it doesn’t get much attention.
Apparently, this area is more affordable than Bloor West Village. If you’re checking out High Park, you’re looking at prices that are like 20% more than in Swansea ( although it’s just across the park). So, for around $1.6M to $2M, you can snag a solid detached house in High Park. It’s a really chill spot to invest in, especially if you’re into detached homes in Toronto.
Liberty Village
Liberty Village is located south of King Street. The best feature of this neighborhood is that you can go to the entertainment and fashion gallery of King Street on foot.
This Toronto area has a unique blend of modern urban sophistication and a warm, welcoming community vibe. It’s becoming a hotspot for those seeking urban convenience, with easy access to amenities and a wide variety of entertainment and cultural venues.
It is estimated that the average condo in this area is around $400,000. Housing cannot get more affordable than this. You’ve got a friendly environment, loads of public amenities, and a wide range of housing options—what more can you ask for?
Rosedale
Rosedale is literally the pearl of Toronto. The quality of life in this area is unmatched by any area downtown. If you have tons of money to throw around, this is the place.
Let’s imagine a figure like $5M— you want to invest in a condo but aren’t sure where, this should be the first place that comes to mind. Here, the price tag shouldn’t bother you because of two things: 1. the land value and 2. scarcity.
Don’t fall for the new money approach that might choose Post Rd and Bridle Path over Rosedale; you will regret it. Those parts are already too expensive and won’t see a price appreciation in the next 6-12 years. But Rosedale valley is different, so if anything here matches your budget, go for it.
Conclusion
If you’re an investor looking to score some sweet deals in Toronto’s estate market, you’re in the right spot! You’ll mostly be looking at condo apartments and townhomes in Toronto if your budget is under $1M. But if you’re thinking about moving a bit outside the city—like Mississauga, Richmond Hill, Brampton, or Durham Region—you’ll find different types of properties and investment opportunities.
Now, keep in mind that real estate is more of a long game. You usually want to retain your property for 5 to 10 years before cashing out. Otherwise, you’ll be less likely to see real gains. So, hold your horses.
