Should you invest in a 3 bedroom condo?
This article is from the Toronto Star, and the headline is Not Enough Family-Friendly Condos to Match Demand. A new report shows that only 38% of condos in development have at least two bedrooms. They’re talking about how there’s much fewer condos being built with two bedrooms overall in the market compared to what was being built. They’re going way back into the ’90s and stuff. This was a report put together by Ryerson City Building Institute, and Urbanation helped them with the data, as well.
This, again, is speaking to the trend of condos, generally speaking, have been getting smaller and smaller, but, of course, if you’ve been listening and watching this podcast and these videos over the past few months and year, you will note that I’ve been talking more and more about the importance as condo investors of investing in larger units, as well, two and three-bedroom units, where traditionally, I would only recommend studios and one-bedroom units. Now, because of articles like this and data like this that is showing that there’s fewer and fewer two and three-bedroom units available, the cost of owning a low-rise house is getting higher and higher and out of reach for more and more people, so you want to look to add two and three-bedroom units to your portfolio over time.
You don’t necessarily want to go all in 100% on two and three-bedroom units, but you do want to have those type of units also part of your portfolio. Again, it’s always case by case. It’s building by building. You need to evaluate the merits of the different unit types based on a building by building basis. For example, if you’re buying … Right now, we’re working on a project near Ryerson University. Ryerson University is a great spot to own a two-bed, two-bath unit or even a three-bed, two-bath, or three-bed, three-bath unit if you can find one. It’s a great spot to invest in product like that because you’re dealing with a student population and young professionals just starting out in the workforce where sharing accommodations is a very common thing. It’s going to become more and more common, again, as housing prices and rental prices continue to rise.
Keep an eye on this trend, and I hope you found this video useful.