I was recently interviewed by Point2Homes, a large internet real estate web portal, about the state of the Mississauga real estate market…. here is an excerpt from the Q&A session:
1. How has the Mississauga real estate market performed last year, and what are your expectations for 2016?
The Mississauga real estate market mirrored the overall Greater Toronto Area(GTA) in 2015. We saw very strong demand throughout the year, with multiple offers and bidding wars being the norm. There was an acute shortage of listings for freehold properties, and with nowhere left to build in the City of Mississauga, detached homes increased by about 9 percent during the year. What’s even more remarkable is that, on average, the average selling price for detached homes was 100% of the asking price – in other words, on average, throughout 2015, buyers were obliged to pay the full asking price for a detached home.
High-rise condos, where there are still many being built, especially in the Square One area of Mississauga, saw price increases of 5 percent overall. This is strictly a reflection of supply and demand, for unlike detached homes, there are many new condo projects coming on stream. Condos performed very well in 2015, in spite of the record number of new projects being completed. The average condo in Mississauga sold at 98% of asking price throughout 2015. Rental rates are also at record highs, something that condo investors can appreciate.
The strength in this long bull market has been built on three pillars: low interest rates, which make higher priced properties affordable; an overall good economy in southern Ontario, where most people have jobs; and immigration, where on average, 100,000 people move to the GTA on an annual basis. As long as these three pillars remain in place, my expectation is that the strength in the market will continue.
For the rest of the interview, check here.
Mississauga Real Estate in 2015
Here is my latest video on the Mississauga real estate market, providing a summary of what happened in 2015, and what to expect in 2016.
In a nutshell, the market provided a 9.5% gain in prices for “freehold” properties – i.e. detached homes, semi-detached homes, and freehold townhomes. The condominium market, specifically centered around the Square One shopping mall in Mississauga, showed a 6.5% percent increase, which is still a very healthy rise in spite of many new condo completions in the area.
Future Predictions for 2016
We predict a continuation of the strong market in 2016, based on the three underlying principles which have supported the market over the last few years:
1.) continued low interest rates
2.) continued decent economy in southern Ontario
3.) continued strong immigration into the Greater Toronto Area
As long as these three principles, or “pillars” as they are described in the video, remain in place, it is our estimation that the strong real estate market should continue in 2016.
Top 100 Neighborhoods to Invest in Canada
Mississauga was recognized as one of the Top 100 neighborhoods to invest in Canada, in the recently published annual investment guide put out by Canadian Real Estate Magazine. I was asked to contribute to the article, and in it we review three separate areas of Mississauga – Clarkson, Cooksville, and Meadowvale Village. In the guide we review detailed information on population, population growth, vacancy rates, cap rates, average price, average rent, and projected cash flow.
Canadian Real Estate Magazine puts out this special issue every year to provide investors with comparative information for cities across Canada. See the video here:
Clarkson has been selected as a good place to invest due to several reasons. It is an older area, where the price of housing is a bit less than some of the newer areas of Mississauga. It nevertheless has an excellent location, with close proximity to the QEW highway, the Clarkson GO station, as well as good schools and shopping. One profitable strategy for investors in Clarkson has been to purchase semi-detached homes with a separate basement apartment. This way, the investor benefits from two streams of income – one from upstairs, and one from downstairs.
Cooksville, along with Clarkson and Meadowvale, was one of the original towns which were amalgamated to form the City of Mississauga. Cooksville is centered near Dundas and Hurontario streets, the old intersection known as 5 + 10. It is also an older area, with pockets of reasonably priced homes that attract good rents. Cooksville may also benefit if the planned and fully funded Hurontario LRT is eventually built. As it is today Cooksville is ideally located near the QEW highway, and features Trillium Hospital, a major employer and source of good tenants.
Meadowvale Village is situated in the extreme northern edge of Mississauga, and has great connectivity to Pearson Airport, highway 401, and the major employment areas which surround the airport. Once again, for the investor we recommend the semi-detached house, with a separate basement apartment, for an ideal source of two streams of income.
These are just three neighborhoods in Mississauga which we are highlighting in Canadian Real Estate Magazine. There are many other options for anyone looking to invest in real estate, including excellent opportunities with condos in the Square One area. For much more information, see my main site here: www.randyselzer.com
Parkside Village Towns Update
Purchasers are undoubtedly watching with interest as work continues on this collection of luxury townhomes located at the western end of the massive Parkside Village development in the Mississauga Square One area. These 68 luxury townhomes broke ground in June, 2014, and are planning for a fall 2015 occupancy. They feature underground parking, and each unit has both a ground floor patio and a rooftop terrace. These townhomes are luxury properties, and were priced from the mid $500,000s. I like the nice, clean modernist design, with alternating shades of grey brick. Altogether a classy addition to Mississauga City Centre.
Developer is Vancouver based Amacon, and the architect is Richmond Architects Ltd. of Toronto. The project is completely sold out. Congrats to anyone who bought here!
As part of my continuing series profiling the most expensive luxury neighborhoods in Mississauga, Canada, today we take a look at Credit Mills, a newer area of large homes constructed in the 1990’s.
Credit Mills takes its name from pioneer age industrial mills that were situated along the Credit River, which runs through Mississauga. During the 1990’s, this location saw the construction of a number of large, executive style homes. Although Credit Mills does not have the extensive tree canopy that blesses some of the older prime areas of Mississauga, it does have something that the older luxury neighborhoods do not have – modern housing stock. These newer properties have all the incredible features that homeowners want today – features such as triple car garages, ensuite bathrooms for every bedroom, and much more. The lots are smaller than in traditional areas, but this equates to much less yard maintenance to worry about, and every lot in Credit Mills is big enough for a swimming pool. We provide a full review of Credit Mills homes here: http://www.randyselzer.com/credit-mills-homes.html
Credit Mills is one of Mississauga’s finest and most expensive areas. So once again, for a full review with pictures and prices, see my feature article on Credit Mills homes.
Mineola is a premium area of expensive homes, located in south central Mississauga, south of the QEW highway, and just north of Port Credit.. Although Mineola Road has both an east and a west section, the latter, known as Mineola West, has the most luxurious properties. The greatest characteristic of Mineola is perhaps the tall tree canopy which gives the area a park like setting. Residences typically have large forested lots, and today Mineola is seeing a lot of redevelopment, where older homes – bungalows and cottages – are being replaced by palatial modern structures. Visit my full article on Mineola homes for a complete rundown on location, prices, amenities, and photo tour.
This is the 4th article in a continuing series covering Mississauga luxury neighborhoods, Mineola certainly qualifies as one of the most expensive neighborhoods in the city of Mississauga, Ontario. Once again, you can find the full article with more photos here: http://www.randyselzer.com/mineola-homes-mississauga.html
As part of my ongoing series of profiles of Mississauga high rise condos in the Square One area, today we review Absolute World Tower #1, aka the Marilyn Monroe condo. This 56 storey tower was completed in 2011, and is today perhaps the most well known symbol of the City of Mississauga. Designed by Yansong Ma of Beijing based MAD architects, Absolute has won many international design awards, and is a sought after location for Mississauga condo fans. We provide a full profile for this amazing tower at my main site here: http://www.randyselzer.com/absolute-condos-marilyn.html
You will find more photos, a full list of amenities, prices, and more. Click through to my main article on Absolute Condos – Marilyn