Real Estate Minute with Steve
Tuesday, Feb 15, 2022
Good Morning Happy Valentines day ! Current inventory 5832 Units the most available on the market since mid December with 1728 units selling the most we’ve seen sell in one week in months, the market is staring to populate with more Freehold properties with the current ratio 60% freehold and 40% Condos.
This is the first time in my career where we can’t predict the future of real estate, Ill be the first to admit. We came Into 2022 with the idea I’ll be able to guide with real data one quarter at time , at this point were shifted gears and were on a 30 day schedule, the market has become so unpredictable and unstable with pricing its not robust as people think it is this, its actually more sensitive to daily events then ever. At this point the only advice I’m giving clients is if your trading make sure its worth it and your trading for the fear of missing out you so should just sit tight.
Even with are investments models for clients have changed and evolved the last 11 years
My whole career I made a counter argument with Toronto condos versus north of the city free holds To be honest the argument was right, we weren’t looking at investments as a conversation piece for prestige we were looking for real numbers and how to maximize our investment capital, basically more fertile soil to extract more capital.
We went from single tenant homes (2014-2018 that were $500 cash positive per month with 8% appreciation and 6k mortgage pay-down when this model become unsustainable with a negative cash draw we switched gears to multi units and this worked until 2020, we tapped into the air-bnb models which still works just becomes a job. Currently Were setting up a new model in the US and it looks like I need to switch clients to new and resale condo’s to secure a piece of real estate in the Golden Horse shoe.