It may not come as a surprise, but Toronto is officially the fastest growing metropolitan area in North America.
The City of Toronto is experiencing a new surge in the real estate market. The latest report from Ryerson University’s Centre for Urban Research and Land Development announced that Toronto has taken the number one spot from former runner Dallas–Fort Worth–Arlington.
The data showed that Toronto grew by 127,575 people in 2019, compared to 117,380 people in the same time period in Dallas-Fort Worth-Arlington. Meanwhile, The city of Toronto still held the top spot as the fastest growing central city.
This growth now gives Toronto the proper recognition as the fastest growing metropolitan area in the U.S. and Canada.
According to the report’s Top 20 Metropolitan Areas by Population Growth chart, Montreal was ranked as the sixth fastest growing area with a population increase of 65,205 people.
As a whole, this data is significant considering only 5 Canadian cities made it in the list of top ranking metropolitan areas by population growth.
However, when comparing population growth in the top 20 central cities in North America, Canadian cities were actually in the majority with 11 out of 20 ranking as the fastest growing central cities in the U.S. and Canada.
Immigration Boosting Toronto’s Population Growth
Toronto has always been known as a global economic powerhouse and this latest report only brings affirmation to the growth potential within this region.
The fact remains that Toronto is a hotspot for real estate investment largely because of the influx of immigration.
As a comparison, when looking at a major city such as New York, Toronto’s population growth was almost three times higher as a result of immigration in 2019.
12 Months Ending Jul-1, 2019
Additionally, the City of Toronto and Montreal were the two leading cities in population growth between the United States and Canada. Toronto’s population grew up to 45,745 persons and Montreal 31,565 persons between July 2018 to 2019. The City of Toronto’s population is well-ahead of major cities in the United States such as New York, Chicago and Los Angeles. In fact, the population in New York had the largest population decrease by far in that twelve month period.
12 Months Ending Jul-1, 2019 (Rounded off to nearest number)
Toronto Real Estate Market Rebounding
The Greater Toronto Area as a whole is seeing strong demand for housing, which will only become exacerbated with continued population growth.
For investors this presents an opportunity to consider various pre-construction condo projects across the GTA that are attracting buyers through incentives as a result of the economic slowdown caused by the ongoing COVID-19 pandemic.
One thing the pandemic has not changed is the low inventory and heightened demand for housing that often leads to price increases and bidding wars.
This data emphasizes the need for more housing construction in Toronto in order to support the growing demand placed on North America’s fastest growing metropolitan area.
So what do these statistics mean for investors? The housing market in the City of Toronto and Greater Toronto Area will need to keep up with the rising housing demand. As immigrants are coming into the city, developers will have to keep building vertically to ensure that there are enough homes available. Investors can be rest-assured that the housing market will continue to grow and people will constantly need a rental property.
As The City of Toronto and the GTA change to meet the growing demands of the city, investors can expect that the construction of new condominiums will not stop anytime soon.