Your Tenant Secretly Wants to Buy Your Home
“What’s going on with the rental market? There is nothing to rent. Everything is either leased or has 3 offers . . . or super expensive!!!”
“Went in with $150 over asking with extra months up front. Married couple. What more do you want? They had 10 offers on the place.”
“The listing agent informed me that we were the highest offer but the landlord decided to go with another one.”
That’s a snippet of what we’ve been hearing lately. In short, the Toronto rental market is insane. The Toronto Star recently ran a story about average rent in Toronto passing the $2,000/month mark, an 11% increase year-over-year. But the average rent of a condo in Toronto has been above $2,000/month since July 2016, so it’s not really the price that’s the problem. It’s that supply is being pinched and demand is rising. This being the case, tenants are looking at other possible options and one of them is doing whatever it takes to pay their own mortgage and build equity instead of paying rent. Continue reading ..