No oversupply of condos; we may even need more
Far from being oversupplied the condo market needs more units to cope with the immigration inflow. That’s the view of CIBC’s economist Benjamin Tal who says that for now the high level of condo building in our major cities is just supplying the demand from immigrants who make up 70 per cent of Canada’s population growth. Figures show that around half of those moving to Canada are in the prime demographic for home purchasing, but CIBC’s report says the numbers are underestimated. That’s because the official figures exclude temporary immigrants such as students, short-term workers and refugees. Last year the level of immigrants in the 20-44 year age group, who would typically make up a large percentage of home buyers, grew at the fastest pace for twenty years.