Vancouver and Toronto are two of the largest cities in Canada and are known for their booming real estate markets. While both cities share similarities, there are also differences that distinguish the two markets. In this article, we will explore the differences between Vancouver and Toronto’s real estate markets.

Vancouver Real Estate Market

Vancouver is known for its high real estate prices, with the average home price in the city sitting at over $1 million. In recent years, Vancouver has experienced a surge in demand for properties from foreign buyers, especially from China. This demand has caused prices to skyrocket, making it difficult for locals to afford homes in the city. As a result, the government has introduced measures to try and cool the market, including a foreign buyer’s tax, foreign buyer bans, and a vacant home tax. These measures have had some success in slowing down the market, but prices remain high compared to other Canadian cities.

Toronto Real Estate Market

Toronto, on the other hand, also has a strong real estate market but has not experienced the same level of foreign investment as Vancouver. The average home price in Toronto is lower than Vancouver, sitting at around $900,000. However, Toronto has seen a surge in demand for properties in recent years, leading to bidding wars and increasing prices. One of the main drivers of demand in Toronto is the city’s booming tech industry, which has attracted many young professionals to the area.

Another difference between Vancouver and Toronto’s real estate markets is the type of properties available. Vancouver has a higher concentration of luxury homes, with many properties offering stunning views of the city and the mountains. Toronto, on the other hand, has more condos and townhouses, which are popular among young professionals who prefer a downtown lifestyle.

Infrastructure and transportation are also important factors to consider when looking at the two markets. Vancouver has a well-developed public transportation system, which includes a SkyTrain, bus, and ferry network. In contrast, Toronto’s public transportation system has been criticized for being overcrowded and inefficient, leading to long commute times for many residents. This has led to a preference for homes located in close proximity to downtown, where many of the city’s top employers are located.

Why Vancouver is the Better Market to Invest In

While Toronto may have a larger population and higher employment rates, Vancouver offers a unique combination of factors that make it a better market to invest in. For one, Vancouver’s temperate climate and stunning natural scenery make it a highly desirable place to live, attracting both local and international buyers. Additionally, Vancouver has a limited supply of land available for development, which creates a sense of scarcity and drives up demand for properties.

Moreover, Vancouver’s real estate market has been consistently performing well over the years, with steady increases in property values. In fact, according to a recent report by the Real Estate Board of Greater Vancouver, the benchmark price for all residential properties in the region reached $1,175,100 in March 2021, representing a 9.4% increase from the same period last year.

Finally, Vancouver’s strong economy, diverse culture, and well-established infrastructure make it an attractive city for investors who are looking for long-term growth potential.

If you’re interested in learning more about getting into Vancouver’s real estate market, we encourage you to contact us. Our team of experts has extensive experience in navigating the local market and can provide you with the guidance and resources you need to make informed decisions about your investments.