Our weekly round-up of real estate news in Toronto, across Canada and the world for the week ending March 24, 2017.
Toronto
Speculators super-heating the Toronto real estate market (Globe and Mail)
Speculators are buying up residential real estate all around the Greater Toronto Area and possibly pushing house prices into bubble territory.
That conclusion doesn’t come from an international think tank or non-governmental organization but a brokerage at the epicentre of Toronto’s market in sizzling Leslieville.
Apply rent controls on newer buildings (The Toronto Star)
Bidding wars. Lineups around the block for viewings. Prices doubling.
No, we’re not talking about the hot housing market, but a renter’s nightmare.
How tight is the rental market in the Toronto area? It’s so tight that some landlords are making use of the so-called 1991 “loophole” in the Residential Tenancies Act to hike rents by hundreds of dollars a month, forcing tenants out of their homes.
Toronto to continue leading high-end real estate sales (Toronto Sun)
Recent government regulations have created “unprecedented levels of uncertainty” for the high-end home market heading into the key spring buying season, Sotheby’s International Realty Canada said in a report released Wednesday.
Data compiled by the realtor in Canada’s four largest real estate markets predicts little deviation from ongoing trends.
Canada
'Stark choices' for Vancouver if housing models don't change, expert says (CBC)
A former city planner warns if Vancouver doesn't start protecting dedicated housing for middle-income residents, there won't be a middle class left in the city in the future.
"The estimates are by 2030, if you're a Millennial household with about $72,000 to $75,000 in your income, you won't be able to be in this housing market at all. In fact, it would take all of your income to buy a very modest place," explained Larry Beasley, who is currently a professor with the University of British Columbia's School of Community and Regional Planning.
'Unprecedented uncertainty' in high-end real estate: Sotheby's Canada (CTV News)
Recent government regulations have created "unprecedented levels of uncertainty" for the high-end home market heading into the key spring buying season, Sotheby's International Realty Canada said in a report released Wednesday.
Data compiled by the realtor in Canada's four largest real estate markets predicts little deviation from ongoing trends.
Ontario wants Ottawa to boost tax on real estate speculators (CBC)
The Ontario government is urging federal Finance Minister Bill Morneau to cool the country's hottest real estate markets by boosting the capital gains tax on housing speculators.
With the federal budget to be delivered on Wednesday, Ontario Finance Minister Charles Sousa is asking Morneau to take steps to "improve housing affordability."
USA
Hot US real estate a potential red flag: Fed's Rosengren (CNBC)
The run-up in U.S. real estate prices could potentially amplify any future economic downturn, a Federal Reserve official said on Tuesday, urging regulators globally to consider tools beyond interest rates that could help cool the sector.
A sharp downturn in U.S. residential and commercial property prices in 2007 and 2008 rocked banks that were highly leveraged in the sector, sparking the global financial crisis and deep recession. With the economic recovery now well under way, bank holdings of commercial and apartment mortgages rose 9 percent and 12 percent, respectively, in the past year.
Chinese cash pours into US real estate (Bloomberg)
Video: Cushman & Wakefield Executive Vice Chairman Marc Renard discusses Chinese investment in U.S. real estate. He speaks on "Bloomberg Markets."
Economy watch: US real estate billionaires mostly include familiar faces (Commercial Property Executive)
American real estate billionaire Donald Bren came in at No. 66 on Forbes’ annual list of the world’s billionaires, which was released on Monday. Those on the list are ranked by net worth and categorized by industry and country of origin. Bren, with a net worth of $15.2 billion, has often been the U.S. leader on the list over the years. His firm, Irvine Co., owns more than 115 million square feet of real estate, mostly in southern California.
For China’s middle class, Brooklyn real estate offers more than a green card (CNBC)
If you ask a New Yorker where to find the most authentic food in Chinatown, they might suggest the dim sum at the circa-1920 Nom Wah Tea Parlor, or that you haven't lived until you've had a three-way at the Peking Duck House (the signature roasted duck, served three ways). You'll find both of these restaurants in the densely populated Lower Manhattan neighborhood where taxi drivers traditionally head when tourists jump in the cab and say, "Chinatown."
International
Property hunters wasting thousands on building reports for properties they could never afford (News.com.au)
FRUSTRATED property hunters are wasting money on building and pest reports for houses they could never afford due to some real estate agents underquoting.
The Real Estate Institute of Australia claims it’s received a spike in complaints from potential buyers who have paid $500 to $1000 plus for these reports prior to a property auction, only for the sale price to exceed all guidance and expectations.
State delegation seeks housing solutions in Hong Kong (Borneo Post)
HONG KONG: A delegation from the Ministry of Housing and Urbanisation, and Sarawak Housing and Real Estate Developers’ Association (Sheda) will begin its working visit today to search for housing solutions.
The delegation will visit several housing-related government bodies here and in mainland China, as well as factories and production sites of several companies specialising in affordable housing solutions.
Indians are biggest investors in UAE real estate market (Khaleej Times)
Indians have by far remained the most prolific foreign investors into Dubai realty. As per the data from Government of Dubai's Land Department (DLD), the total real estate investments last year reached Dh91 billion from 55,928 investors. Indians ranked highest in terms of both volume and value among foreign investors with Dh12 billion worth of property transactions from 6,263 buyers.
In an effort to attract more investments from Indians, the 13th edition of the International Property Show, which will be held from April 2nd to 4th this year at Dubai World Trade Centre, will have some of the best properties on display.
