As a condominium lawyer, I am often asked by clients and colleagues for my assessment of the Ontario condominium and real estate market.
While my job as a lawyer is not to analyze trends or track sales, I see first-hand the value that condominiums are adding to communities across Ontario.
While an eventual slow-down in sales is inevitable in Ontario, the most important asset that the condominium market has going forward is the continued desire for homeowners to be part of a condominium "community."
When condominiums were first envisioned 30-40 years ago, the idea was for owners to share in the legal ownership of a building, in an effort to offset the operating costs amongst a group of owners.
Now, 40 years later, condominium ownership is much more elaborate. In addition to their own condominium unit, owners now contribute (and utilize) a large group of services and amenities that were never initially envisioned to be part of condominium living. These services include swimming pools, golf courses, marinas, fitness facilities, business centers, restaurants, dog parks and spas. The owners of these communities are then responsible for their own governance (under the direction of their condominium board and property management).
I don't think the desire to be part of a condominium community (especially amongst the baby boomer generation) should be overlooked when discussing the overall condominium market. There are amazing things happening in condominium communities, with passionate board members, property managers and owners trying to make their communities strong.
Even if the overall real estate market slows down, in my mind there will always be a strong desire to live in well operated condominium buildings that are in healthy financial shape. While that unfortunately does not apply to every building in Ontario, there are certainly a large majority of buildings which do fit that criteria. These financially healthy buildings will continue to attract new buyers and remain marketable for the long run, with the idea that purchasers are now acquiring much more than simply a residential or commercial condominium unit – they are also purchasing a new lifestyle as well.
About Mackrell International - Canada - MacDonald Sager Manis LLP is a full service business law firm in Toronto, Ontario and a member of Mackrell International. Mackrell International - Canada is comprised of four independent law firms in Alberta, British Columbia, Ontario and Quebec. Each firm is regionally based and well-connected in our communities, an advantage shared with our clients. With close relations amongst our Canadian member firms, we are committed to working with clients who have legal needs in multiple jurisdictions within Canada.
This article is intended to be an overview and is for informational purposes only.
We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.