[URBAN NOTE] "Foreign buyers want newer condos in Toronto, Vancouver: CMHC"

[rfmcdonald]

The Toronto Star carried Alexandra Posadzki's Canadian Press article. This is compatible with the idea that foreign investors are also looking to invest, but also compatible with the idea that they want new, little-depreciated units.

Foreign buyers are more interested in snatching up newer condos in Toronto and Vancouver than they are in buying older units, according to a new report from the federal housing agency.

The report from Canada Mortgage and Housing Corp. says that while overall rates of foreign ownership in the Toronto and Vancouver condo markets are low — 3.3 per cent and 3.5 per cent, respectively — they spike when it comes to newer buildings.

CMHC says less than two per cent of Toronto condos built before the year 2000 are foreign-owned.

But for Toronto condos built after 2010, foreign ownership climbs to higher than seven per cent.

Newer buildings in certain parts of the city are even more desirable to foreign buyers, says CMHC.