Condos in Square One area in Mississauga still more affordable than units in some Toronto areas
Published June 14, 2021 at 9:59 pm
With the COVID-19 pandemic finally winding down thanks to a robust vaccine rollout and firm reopening plan, people who fled cities in search of greener, larger pastures might be looking to return to the urban centres they once called home–including Mississauga.
While the condo market generally saw less frantic activity amid the pandemic due to an influx of supply (many investors attempted to offload their short and long-term rental properties) and decreased demand, the high- and mid-rise market seems to be recovering.
According to data recently released by the Toronto Regional Real Estate board, condo sales in Mississauga rose 125 per cent with 254 transitions at an average price of $576,898 (up 16 per cent year-over-year) in May 2021.
But while demand is back and prices are high, data compiled by Nikhil Oberoi, a Mississauga-based realtor with Remax Hallmark Realty Brokerage LTD, suggest that local condos–especially those located in the City Centre neighbourhood around Square One–are more affordable than units in popular Toronto neighbourhoods.
According to Oberoi’s website, the average price of a City Centre condo sits at $568,000–a 5.68 per cent increase since May 2020. Condos in the Park Lawn and Lakeshore area in Etobicoke boast an average price of $736,00–a year-over-year price increase of 9.27 per cent. People who want to move to downtown Toronto (Bathurst to Yonge, up to Queen St.) will pay about $777,000–a 0.78 per cent increase over last year.
Are Square One condos selling for over-asking?
Oberoi’s site also indicates that condos in the Square One area are selling over asking and within a relatively short time frame.
“Analyzing stats has more to do than just average prices,” the site reads.
“It is also important to look at how long properties are sitting on the market (the shorter they sit, the more likely prices are going to continue to rise). Furthermore, it is also important to review the list to sell ratio (LSTR) which indicates if properties are selling over the asking price. If the LTSR is over 1 it represents properties are selling above ask on average and that it’s a seller’s market.”
According to Oberoi, units in the Park Lawn/Lakeshore area have seen the highest growth this year but suites in the Square One area–a neighbourhood that’s quickly becoming what Oberoi calls the “new downtown of the west”–are increasing in price.
Not unexpectedly, data indicates that downtown Toronto condos took the biggest hit last year but experts say the market is poised to recover as COVID-related restrictions are lifted.
According to Oberoi, the average LSTR is up in all three areas, with Park Lawn units seeing a year-over-year increase of 2.94 per cent, Square One condos seeing a 1.89 increase and downtown Toronto condos seeing a smaller increase of 1.74 per cent.
“These are all positive indicators signalling the continued increase in condo prices,” the site reads.
As far as sales go, the site says that Square One condos are now selling in 16 days versus 19 days in 2020. Park Lawn condos are now selling in 18 days versus 20 days in 2020 and downtown Toronto condos are selling in 19 days versus 21 days.
How much does a one-bedroom in the Square One area cost?
If you’re looking for a one-bedroom unit, a suite in City Centre could cost you about $525,000–an increase of 4.92 per cent from last year. That said, it’s still more affordable than a Park Lawn unit ($609,000) or a downtown suite ($655,000).
How about a two-bedroom unit?
If it’s a two-bedroom you’re looking for, a unit in the Square One area could cost you about $600,000–a year-over-year price increase of 6.43 per cent. A similar unit in the Parklawn area costs about $873,000 and a unit in the downtown core costs $970,000–a whopping $370,000 more than a unit in Mississauga’s downtown area.Insauga's Editorial Standards and Policies