Not to be total bores, but when it comes to real estate investment, it always has been, is, and will be about location. It’s a cliché because it’s true. Although Toronto has seen some confusing ups and downs in the past year, that fact never falters. Therefore, if you’re looking to invest, you should seek out high-demand neighbourhoods that will maintain their upward value.
We understand you’re getting mixed information, which can make the idea of buying or selling right now a little scary. Despite market shifts, we’ve kept our ears to the ground and know of four Toronto neighbourhoods holding their true value. These Toronto sweethearts have staying power thanks to simple supply and demand that continues to call for multiple offers. Here are four foolproof neighbourhoods we think are ideal for Toronto investors.
1. Beach-Adjacent Birch Cliff
The Beaches is an expensive, high-demand area very difficult to get into. But you can be beach-adjacent in one of the most magical neighbourhoods in Toronto – Birch Cliff. This tiny pocket of homes off Kingston Road is a little too close to Scarborough for some, keeping it off many investors’ radars. However, we know it’s close enough to The Beaches to offer everything wonderful about Toronto’s charming lakeside communities.
We use the word magical to describe this area because many homes have an almost fairy tale quality. The unexpected natural surroundings of this neighbourhood, with its cool forests, trickling brooks, and untouched green space, envelop a tiny selection of bungalows, original summer cottages, and a smattering of new builds/remodels.
The exclusive Toronto Hunt Club sold this idyllic piece of land post-WWI, creating a cloister of houses that a select few families call home. Most people in Toronto are unaware that the Hunt Club even exists. However, thanks to its private nine-hole golf course overlooking the lake from Scarborough Bluffs, the green space has remained almost untouched since 1843. As in-the-know agents, we keep our eye on these hard-to-acquire properties, ready to pounce when the opportunity arises.
On the fence about becoming a Toronto real estate investor? Check out these blogs to learn more about the ins and outs of investing in the GTA:
- 9 Tips to Make Hunting for a Multiplex Investment in the GTA Less Tricky
- Should You Start a Cozy Toronto B&B as an Investment?
- Should You Invest in Real Estate?
2. Hip, Eco-Conscious Riverdale
We wouldn’t call Riverdale a secret anything because if you live in Toronto, you know Riverdale. It’s all the things we love about Toronto’s neighbourhoods and also why it will continue to attract buyers, renters, and investors well into the future. It’s close to everything you need, and some say its elegant streets with Victorian and Edwardian “mansions” put the Annex to shame.
However, Riverdale is also in the coveted Jackman school district, where Toronto parents long to enroll their kids. We understand that the best school districts drive prices upward, which is one of the lesser-known reasons Riverdale’s super-sized detached homes tend to be on the higher side price-wise.
There’s just no getting around this area when it comes to everything renters, and buyers want in a home:
- Safe, quiet streets – check
- Lovely spacious homes – check
- Historic character – check
- Shopping and dining – check and check
- Shady, lush green lawns – check
- Greenspace – check
- Recreation – check
- Transportation – check
- Eco-conscious neighbours and businesses – check
You can feel safe investing in an area where almost everyone’s boxes are checked. We also can’t help but notice that Riverdale also enjoys one of Toronto’s higher Sales Price to List Price Ratios. Once you latch on to one of these fashionable properties, you’re sure to see your investment sell well above asking.
Read our Riverdale community guide here.
3. Upscale Leaside
Leaside is quietly upscale, without the obvious pretensions of areas like Rosedale or Bridal Path. Properties here are unexpectedly pricey when you consider that most of the homes are quite modest in size. However, when you take a closer look at the beautifully kept houses and high-end cars in the driveway, you realize the homes have a decidedly “we’ve got money” feel. The peaceful streets, easy access to downtown, large lawns and backyards, and proximity to the upscale Bayview Strip have all influenced the desirability of this highly sought-after area.
On the serene, somewhat unassuming streets of Leaside, prices are constantly rising, despite naysayers warning of the imminent Toronto real estate crash. Adding to the profit potential, two stops on the long-delayed but much-anticipated Eglinton Crosstown will make the area even more convenient. That’s another reason we’ve got our eye on Leaside.
Leaside will always be one of those neighbourhoods with low inventory to keep pushing prices skyward. For investors, opportunities are often found in townhouses ideal for renting to up-and-comers looking for a prominent address to call home. Despite young, affluent couples and families scooping up the real estate here, some opportunities still exist. Although quickly dwindling, there are still a few retirement-age homeowners leaving behind fixer-uppers you can renovate and sell at a premium. Just be prepared for the fight of your life in the bidding war.
Read our Leaside community guide right here.
4. Mimico/Lakeshore
We’ve been singing the praises of Mimico and the Lakeshore for years. You can’t find a better opportunity than an area so close to the city that it could never be considered a suburb. Right on the lake and minutes from downtown, Mimico is in the throngs of a waterfront condo explosion offering ample investment opportunities, not to mention ample views of the city skyline or lake.
Renters and home buyers continue to discover the allure of this inviting neighbourhood with its distinct sense of community. Locals can stick close to home with plenty of shopping, dining, and recreation or travel a short 20 minutes or so to enjoy downtown’s larger, more exciting amenities.
Read our Mimico community guide right here.
With ongoing new build condos available, you can find high-yield rent potential opportunities or choose to invest in resale properties with established tenants already in place. But even more importantly, Mimico is one of the province’s Transit Oriented Communities (TOC). Mimico GO Station and the surrounding area are slated for a complete update to create “Grand Central Mimico.” With the planned changes, the original station built in 1967 is set to see its ridership triple in the next 10 years. Transit plus development equals profits when you buy now.
We like to think of these neighborhoods as Toronto’s old faithfuls. You’ve got the tried-and-true, highly coveted Birch Cliff, Riverdale, and Leaside areas where limited supply and high demand keep prices rising. Or you can discover Mimico, where regional planning and proximity to downtown offer ample opportunity to invest in what will surely be Toronto’s next Leslieville or Liberty Village.
When you want foolproof real estate investments in our top-pick neighbourhoods, The Christine Cowern Team is ready to help. Give us a call at 416.291.7372 or email us at hello@christinecowern.com. We’d love to work with you!