In 2008, Airbnb burst onto the scene. For those looking for a vacation rental, Airbnb is a fantastic resource, but for those who own real estate, it can be a hindrance. In Toronto, the local economy has been pushing housing prices up for years, and now with Airbnb settled nicely into the area, what does that mean for your condo investment?
Airbnb Can Affect Local Rental Rates
According to the most recent studies, Airbnb has indeed influenced rental rates and housing costs alike, if not at slightly different rates. In urban areas especially, the already high-cost to low-supplied rental market has been affected by the increased development of Airbnb units. Now more than ever in the post-rent-controlled market of Toronto, long-term rental rates have risen even further.
Airbnb Can Push Condo Prices Up—Or Down
Depending on what side of the fence you are on, this can be good news. As a condo owner in and around the Toronto area, the value of your condominium may have increased in some areas in response to a lower market supply of smaller spaces. This can be fantastic for someone looking to purchase and lease a condo in this area, or for someone looking to sell their condo.
Location, location, location! If, on the other hand, you have invested in a property that exists in a unit with a higher level of Airbnb activity, the value of your condo may have experienced a decrease. This is due to a variety of reasons related to Airbnb, including increased wear and tear, an increase in strangers and potentially unsavory people in and out of the building, and the rates of the rental space itself.
How Does The Short-Term Rental Market Affect Mississauga Condos?
If you are looking at condos for sale in Mississauga, keep in mind that the current rules permit Airbnb units in all types of primary residence dwellings, meaning that you must live in the condo that you are also renting out to tourists. This is fantastic if you are looking to make an investment out of your condo purchase, especially as this area continues to expand at one of the fastest rates in the GTA.
How Does The Short-Term Rental Market Affect Oakville Condos?
In Oakville, condos for sale and condos on the waterfront are some of the top selling properties in the region, supported by a fantastic local economy and a beautiful location—and tougher regulations on short-term rentals. The municipality of Oakville prioritizes its local community and seeks to protect those that want to live in the area long-term by imposing regulations on companies like Airbnb. So, if you are looking to invest in a condo as your home or to buy and sell, Oakville’s condo market offers great value. Condo prices remain high, which is great for the seller but also great for a buyer hoping to make a future profit.
Using A Real Estate Agent Can Guide You To A Higher-Value Property
Whether you’re looking for condos as an investment or you’re searching for your dream home, hiring a local real estate agent who knows the area will help you make the best investment for your needs. A local firm, like Alex Irish, can guide you to the right areas in Mississauga and Oakville to locate condos of the highest value in neighbourhoods with the most potential. Start looking today!