Home to around 20% of Canada’s population, the GTA is a huge area. Comprising six boroughs and two cities, it extends well beyond Toronto’s downtown core along the Northeastern shore of Lake Ontario. As you’d expect in such a vast area, there’s a lot of variety – not least in its real estate market. 

Here we take a look at the GTA hotspots, comparing property prices, rentals, and inventory so landlords can make an informed choice if they’re thinking of making an investment.

Brampton real estate

Housing demand is growing all across Toronto but it’s especially acute in Brampton where rent is soaring faster than in any other Canadian city. 

The city has the highest year-over-year increase in rent, according to data from Rentals.ca, jumping 21.6% to reach $2,713 for a condo apartment. A growing population combined with a shortage of units has made Brampton the GTA’s most competitive market. According to figures from the Toronto Regional Real Estate Board (TRREB), there were just 105 apartment rentals listed in the second quarter of this year.

As in most areas, home prices in Brampton are slumping. The average price of a Brampton home in August was $1.01 million, down 3.6% from the previous year. Apartment-style condos averaged out at $549,632 while townhouses averaged $711,968 and detached homes $1.23 million.

Mississauga real estate

In Mississauga, renters were similarly disadvantaged by soaring prices. The average rent for a one bedroom in this area reached $2,379 in August – representing year-over-year growth of 15.3%.

There were a total of 1,660 apartment rentals listed in Mississauga in Q2 2023, more than ten times the amount available in Brampton. While Mississauga is more densely populated, Brampton is hot on its heels as Canada’s fastest growing city.

Home prices have consistently climbed in Mississauga, with the average condo now costing $629,894. A semi-detached home averages at $1.04 million, while a detached home averages $1.56 million.

Scarborough real estate

Conveniently located on the eastern side of Toronto, Scarborough has always been a popular spot for property hunters looking to commute into the city but live in the ‘burbs. 

Demand in this area has pushed rents up almost as much as in neighbouring Brampton, with year-over-year growth of 18.2%. In July, the average rent for a one-bedroom apartment in Scarborough was $2,076 and $2,503 for a two-bedroom unit. 

Scarborough has also attracted its share of buyers eager to take advantage of the fact that property prices aren’t rising as steeply in this pocket of the GTA. The average home price in Central Scarborough this summer was $868,383 – just a 0.1% jump from the previous year. 

Toronto real estate

As you’d expect, the downtown core in Toronto is one of the most desirable locations in the GTA. It’s also the most expensive. Renting in the city has become a battleground in recent years as lack of housing and climbing rents tighten competition.

The average rent in Toronto in August was $2,898. A one-bedroom apartment in the city averaged $2,630 while a two-bedroom averaged $3,433. There were 14,847 apartments listed for rent in the City of Toronto this summer, most of those being one-bedroom units.

It’s not just renters who are feeling the pinch. Buyers are also being squeezed as the average price for a detached home in Toronto reached $1.35 million in Q2. Average price for an apartment and a townhouse were $658,000 and $815,000 respectively.

Outlook for the GTA real estate market

“Looking forward, we know there will be solid demand for housing – both ownership and rental – in the Greater Toronto Area and broader Greater Golden Horseshoe. Record immigration levels alone will assure this. In the short term, we will likely continue to see some volatility in terms of sales and home prices, as buyers and sellers wait for more certainty on the direction of borrowing costs and the overall economy,” said TRREB President Paul Baron last month.

It’s a mixed forecast, suggesting that 2024 will be a repeat of 2023 – a rollercoaster market with high prices characterized by fluctuating dips and peaks in response to rising interest rates and inflation. 

Amid this rapidly evolving market, there are two constants however – firstly, demand in the GTA isn’t going anywhere and, secondly, real estate is a solid long-term investment that can help property owners ride out recessionary times. 

Whether you’re considering becoming a landlord for the first time, or are a seasoned property investor, we can help you find the right property for your needs. Our full-service property management team has helped hundreds of homeowners across the GTA find and manage their rentals. Get in touch with our team today to see how we can help you earn passive income.