The Durham region used to draw a bad rap from investors, but things have changed according to recent stats from the Durham Association of Realtors as its cities are proving to be a hub for investors.
In places like Oshawa, some investors have nearly tripled their investment in a mere decade and profits like that are encouraging a new wave of investors to capitalize on the market with GTA house prices out of reach for many, including millennials and first-time home buyers.
“Oshawa is pretty hot,” Bill Khanna, an investor and owner of the Khanna Group of Co., told CREW “I started investing there about 10 years ago and the prices have almost tripled in that time.”
Last year, the average price for a home in Oshawa grew eight per cent, which is strong sign for equity growth, according to Quentin D’Souza, chief education officer of the Durham Real Estate Investor Club.
“Looking at the properties I have bought over the last four months shows the same type of growth as last year,” he said.
With the population in the Durham region expected to grow around 65,000 in the next five years and to 1 million by 2030, many analysts expect that trend to continue. With a couple university campuses, a growing transit network and more employers setting up shop in the Durham region, it could be an up and coming region for many new investors looking to enter the market, much like Khanna did all those years ago.
According to the latest stats from the Durham Association of Realtors, the average price of a home in the region costs about $452,412 while the average price for a single-detached home will run you about $500,871. What’s more, the average price for a condo or townhouse was $276,855.
“This market is bustling with sales activity which encourages competition between buyers”, said Durham Association of Realtors president Sandra O’Donohue in a release. “The low interest rates ensure affordability and as long as these factors persist, we expect the current market trend to continue”.
“The year-over-year price increase of 14.4 per cent represents the willingness of buyers around the region.”