Where should I Invest Today?
A Market Analysis with Barb Larose
Markets are always based on supply/demand. So let’s look at where the population is going and why the demand is starting to be so focused on Apartments and Condos…
Let’s explore the supply/demand relationship through different demographic categories, starting with seniors and working our way down.
Age in 2015: 75-96
Today this demographic represented less than 10% (was 10% and declining in 2011). At this age, a large portion are moving to senior’s residences from homes, moving to apartments or passing on leaving apartments, condos or homes
*We are seeing more waterfront homes available today that haven’t been on the market for years!
The Baby Boomers I
Age in 2015: 61-69
Coming up behind the post war cohort is this next, much larger demographic of Baby boomers representing 29% of the population. These are the people that are driving today’s market across Canada because they are downsizing and moving into condos or apartments. For a visual, Imagine the apartment/condo market that was occupied by the previous, much smaller, population ant imagine it is now blowing up with a nearly 300% increase with the baby boomers filling their ever-tiny shoes.
As a result, the condo and rental market will grow and be even stronger giving great cause to invest today.
Baby Boomers II
Age in 2015: 50-60
Often, they are selling their second home and looking to buy their dream home or downsizing either buying or renting and getting ready to retire. “A home here, a home in Florida.” These people are either buying up the dream homes of the age group before them or renting and strengthening the rental market with them.
Age in 2015: 38-49
For the most part these people are settled in their homes sometimes moving up to a second.
Gen Y (Millennials)
Born: 1980- 94
Age in 2015: 21-35
This age is where you start out renting as young adults and move into your first homes in the later part of this demographic. This demographic encompasses 30% of the population that drives both the buying and renting markets.
Statistics say the average immigrants buy a home within three years of landing in Canada, living in apartments projected by Ontario Government in the interim. With a huge portion of the province’s growth being credited to immigration. This too is pointing towards an increasingly strong apartment/condo market because of those first years in the country multiplied by hundreds of thousands and continuing to grow exponentially.
As seen above, the bulk demographics are the baby boomers (30% of the Pop. thinking of downsizing) and the millennials (Also 30% of the Pop. renting and thinking of purchasing a first home). The majority of which will be looking for a small Bungalow, Condo or wanting an Apartment. Looking at the market in this way, there is no question that buying a bungalow, rental investment and or condo at this time is an extremely wise investment. If you want to be ahead of the game when investing…Invest with Barb Larose for the Best move of your life. With over 30 years experience she has a keen sense of how to get the best return on your investment.