If you've read previous blog posts I've written you'll notice that I have made a habit of contrasting the City of Toronto with Hastings County. A major focus has been real estate prices. My latest finding is this house in Toronto selling for $980,000. It is close to the Subway and schools and of course it's in downtown Toronto where all the entertainment and attractions are. But let's take a look at this house in Hastings County. The asking price is $299,900, much less than the one in Toronto, and located close to downtown Tweed. It's not far from the local schools and only a 28 minute drive to the 401 or Belleville. I get it though... ...Toronto and other major metropolitan regions are home to most of Canada's population and a large percentage of the nation's jobs are located in the big cities. I can see why someone would want to move to the city for a job or have their business there.
However let's examine some numbers. According to the most recent census data, the average Toronto household income is $87,038 while in Hastings County it's $65,693. Sure, a family in Toronto is making over $20,000 more and perhaps even more than that depending on careers. Think of this though, average prices for homes sold in Toronto are over $700,000 and in Hastings County the average sale price is around $250,000. That's a big difference! Does that additional $20,000 in household income help cover the additional $450,000 in the price of a home? If the average Toronto household income was much higher than in Hastings County I could see the justification. Personally though I'm not seeing the advantage of Toronto over Hastings County.
The website Zoocasa.com views the situation of Toronto home prices worsening. Zoocasa recently predicted that Toronto will be the biggest source of buyer angst in the new year. Toronto is now the least affordable, surpassing Vancourver, due to low inventory and a growing population. They say this trend should worsen in 2017 as prices rise by another 8% and there are no signs that this trend will slow down.
Sounds to me like a good time to say "I left the city'! If you want to make the jump to Hastings County, get in touch with us.