With all the talk about the international investors driving the market, we thought you’d enjoy some simple and straight-forward answers. Here are the top 4 questions on foreign investor market, covered in the last report from the Canadian and Housing Corporation.
Is there a difference in value between the condominiums held by foreigners and those owned by Canadians?
Absolutely. The condos purchased by foreign investors were of higher value than those purchased by Canadians. [See figure 1].
Where in Montreal are they purchasing mostly?
The highest priced units were located in Ville-Marie central areas; downtown and Old Montreal, followed by Griffintown and Île-des-Soeurs.
Are these units left empty? If so, what’s the percentage?
A small amount, according to the CHMC. Between 4 and 8 percent, mostly found (once again) in Ville-Marie and Île-des-Soeurs. [Data from 2015]
Did foreign buyers get a mortgage to purchase their homes?
Yes, but, a high amount of them purchased without financing. For example, only 15% of all condo owners (domestic and foreign) bought without a mortgage in 2015. Out of these, 40% were foreign.