Toronto’s rental market is dominated by low supply and high demand, which should mean rents keep rising in future. Toronto is the most expensive rental address in the GTA, but North York, Mississauga, and Oakville are decent runners-up, well worth a look. Size-wise, bachelor units score the highest rents per square metre.
Record-breaking immigration and temporary migration into the city continue to place pressure on what units exist, explaining why furnished units are so popular. Urban workers and postsecondary students who fled the city in 2020 are returning too. The combination is positive for landlords, who saw what blogTO called “stratospheric” rent increases in early 2022.
Historically speaking, a RE/MAX analysis of pre-COVID condo investments (2015 to 2019), found an average 13% year-over-year gain for investors. Even with more conservative gains of 5% to 10% annually, investors stand to win by buying underpriced units, targetting transitional neighbourhoods, or following transit lines. A real estate business advisor can calculate specific returns on investment (ROI) for you.