A number of factors, including the enforcement of strict rent control regulations leading to fewer developments being created, have resulted in Toronto seeing rental vacancy rates being the lowest they have been in 16 years. These record vacancy rates can be looked at as a major opportunity for Toronto real estate investors for a variety of reasons.
Toronto vacancy rate at 16-year low
Rent control regulations, building height restrictions, and an unwillingness for many Toronto-based renters to give up their current units has resulted in Toronto’s lowest vacancy rates in 16 years. The current rental vacancy rate is somewhere around the one percent mark, with the city seeing a consistently growing population and healthy housing market. Developers have suggested a number of solutions to the shortage, but have mostly been ignored by Toronto city planners and local politicians.
Ontario has continued to roll out strict rent control regulations for new rental building, leading contractors and developers to set their sights on condos rather than apartments. The development of rental units does not present the immediate return on investment offered by condos, so many developers and landlords have decided to change course due to a lack of certainty.
Big opportunity for investors
The low vacancy rates present a tremendous opportunity for Toronto real estate investors and landlords. Due to the unwillingness of many renters to give up their current units and a high demand for quality rental real estate, the rates of rental units will not be dropping anytime soon. Not only does this mean that landlords can set proper rates for their monthly rents, but that most renters will be looking for long-term rental opportunities.
Toronto landlords will be able to generate consistent revenue for their properties, attract renters who are going to respect their property as they seek to rent for long-term periods, and prosper as a result of this period of high demand and low vacancy. One of the very best ways to ensure consistent and reliable rental income is by attracting tenants with plans of renting for the long-term who are not turned off by the presence of higher rental costs.
The best time to get started with property management and realty services
When opportunities like these present themselves, it’s important to take the correct path in order to get the most out of your investments. Toronto landlords and investors can rest assured that property management and realty services offered by companies like Highgate Properties will keep your needs in mind, and help you get the very most out of rare opportunities like these.
Property management companies like Highgate have the knowledge and experience needed to help you find attractive properties and tenants that will provide you with security and a consistent income and open the door to future real estate investment opportunities. Property management companies specializing in Toronto real estate can also help you to set proper rental rates that will generate an appropriate amount of income that will see your investments pay for themselves, and will manage the day-to-day activities of your properties to free you up for higher priority business activities.
The low vacancy rates provides Toronto landlords and real estate investors with a unique opportunity that will see rental rates remaining stable and tenants seeking long-term housing in a high demand market. Get the most out of your investments by seeking out property management services through companies like Highgate Properties, who will help you get the most out of your investment. For more information on how Highgate can help make your property investing and management more successful, visit our website or contact us today.