Fox Marin Featured in Livabl: Why New GTA Condo Prices Jumped More Than 25%

Publication: Livabl
Date: June 22, 2018
Topic: GTA condo prices, investor demand, and new construction supply constraints

About This Feature

Ralph Fox of Fox Marin Associates was featured in Livabl discussing the sharp rise in new condominium prices across the GTA after benchmark condo prices increased more than 25 per cent year-over-year in May 2018.

The article explored how limited new condo inventory, rising demand, investor activity, and changing development conditions were contributing to rapid price growth within Toronto’s pre-construction condominium market.

Quotes from the Livabl

“There’s been very low inventory when it comes to new construction condos for awhile now. When units come on the market, they go for very high prices.”

“Investors are thinking long term when it comes to the new construction supply pipeline. With the end of the OMB, there’s a lot of speculation that there will be fewer projects in the pipeline in a few years. Developers will likely take a ‘wait-and-see’ approach in the future, and if supply lowers considerably, that could drive new condo prices up further.”

“I think the new condo market is going to mirror the resale condo market, in that prices are going to continue to rise. In terms of affordability, there’s a lot of demand for condos on the market right now.”

— Ralph Fox, Broker of Record, Fox Marin

Fox Marin’s Perspective on the Market

Fox Marin’s perspective is that strong demand combined with constrained supply was creating significant upward pressure on Toronto’s new condominium market during 2018.

The article highlighted how limited new condo inventory and a relatively small number of project launches contributed to rising prices across the GTA. With fewer opportunities available, competition for newly released units intensified, particularly among investors and buyers increasingly priced out of Toronto’s low-rise housing market.

Ralph Fox also emphasized the importance of long-term thinking within the pre-construction market. Investors were not only evaluating current conditions, but also anticipating how future development policies and supply constraints could impact pricing several years down the road. Concerns surrounding development approvals and future project pipelines were contributing to expectations that supply shortages could persist well into the future.

The article further explored how condos were increasingly becoming the primary accessible ownership option for many buyers as detached and low-rise housing affordability continued deteriorating across the GTA.

From Fox Marin’s perspective, the continued imbalance between housing demand and available supply remained one of the strongest long-term drivers of Toronto condominium pricing.

Why This Matters

Toronto’s condominium market plays a central role in housing affordability and urban growth across the GTA. As low-rise housing becomes increasingly unattainable for many buyers, condominiums continue serving as both a primary ownership option and a major investment vehicle within the market.

For buyers and investors, the article highlights how supply constraints, development policy, and investor sentiment can significantly influence pricing trends within the pre-construction market. Understanding these broader market forces is critical when evaluating long-term real estate opportunities.

The article also reflects broader affordability pressures across Toronto, where rising housing demand and limited supply continue shaping both buyer behaviour and future market expectations.

As Toronto continues to grow, understanding the relationship between development pipelines, inventory levels, and long-term demand remains increasingly important when navigating the city’s evolving housing market.

Read the full article on Livabl.