06-11-2025, 03:29 AM
(06-10-2025, 01:29 PM)westwardloo Wrote: I feel like the only thing that will be built in our region over the next 5+ years will be market rental buildings. There is no market for individual investors in pre-construction right now. I could maybe see the more of an appetite for mid-rise buildings with larger units that would appeal to downsize boomers.
I hope I am wrong and the market turns around, but we are already seeing a lot of units sold preconstruction worth significantly less now that they are built. There is almost zero confidence in the Condo market Province wide right now. Price of construction is way too high right now and something has to give. The whole industry is going to go through some tough times in the next decade. Engineers, Architects, tradespeople, Lawyers, Real-estate agents, material suppliers are all going to be looking at massive layoffs in the near future unless there is a major correction.
The governments are pushing hard for more construction so I really don't think there will be widespread layoffs in this sector. Maybe some condo-specific ones, but there are relatively few condo-specific trades.
This is really a self-inflicted injury for the condo industry, having massively marketed (small!) condo units to unsophisticated "investors" who have subsequently failed to see the returns they imagined. And, with the recent purpose-built rental properties, the demand for condo unit rentals is not likely to be increasing, either.