March 21st, 2022 | Lifestyle
Everything You Need to Know About Toronto’s Tech Boom
Could Toronto be the next Silicone Valley? It may sound like wishful thinking, but our beloved city is quickly becoming known as a major player on the world stage. According to expertmarket.com, Toronto is the third greatest up-and-coming technology hub in the world, second only to Berlin, Germany and Austin, Texas.
The analysts there considered eight different factors, including the availability of seed funding, the cost of living, average rent and commute time.
When it comes to the length of time it takes to start a tech business, Toronto took the number one spot! This is exciting news for Torontotarians.
It means we are attracting top-notch talent from all over the globe. Successful startups originating in Toronto include Xanadu, WealthSimple, and Clearco, to name a few. As these businesses take off, there will be an influx of job openings. Companies working on disruptive technologies like blockchain and artificial intelligence are capturing the attention of venture capitalists, and startup entrepreneurs are flocking to the city.
Why Toronto is called the “Silicone Valley of the North”
We are getting a boost from Silicone Valley itself as companies are investing in Canada and opening new offices in Toronto. Cloudflare, Door Dash, Instacart and Databricks are just a few of the tech giants opening up and creating jobs in the city.
What does this mean to current residents? The rise of Toronto technology means a boom to our economy and overall standard of living.
We are already home to some of the best universities, like the University of Toronto, Ryerson, York, and the Ontario College of Art and design. With more employers eager for skilled technology workers, the government will start to invest even more heavily into education, particularly in the STEM fields.
Speaking of technology, here are some spectacular innovations you need for your home right away.
What Toronto’s Tech Boom Means for Real Estate
Toronto may be the most expensive city in the province. But for successful entrepreneurs and CEOs from other tech hubs, the cost of living and doing business here is minimal. We predict that there will be a significant uptick in demand for luxury homes and condos. Even if the market cools because of rising interest rates, Toronto houses will not likely decrease in price. Larger executive homes were once difficult to sell even during a fast-paced market. However, as the technology sector continues to grow, the luxury market will increase as CEOs and other well-funded entrepreneurs move to the area.
Do you own a luxury home in Toronto? The time to sell and command top dollar has never been better. Here is what you need to know before putting your house on the market:
- How the Luxury Real Estate Market Has Changed
- When is the Best Time to Sell Your Luxury Home
- How to Prepare a High-End Toronto Condo for a Successful Sale
Luxury properties aren’t the only ones that will be in high demand. In the past, many STEM graduates would leave Canada to find employment opportunities in the United States and abroad. Toronto’s booming technology sector is changing everything. Now, thousands of students, graduates and skilled workers are moving here, and all will need a place to live. Condo buildings and new developments are in the works all over the city, and the demand for residential homes of all types will reach a new high. Condos, single-family homes, townhouses and semi-detached buildings are more valuable than ever.
The Market is About to Get Even Hotter
This increased demand has already driven up the average price of a property in Toronto to $1.7 million. Residents aren’t the only ones looking to buy a new house. Investors have also seen the writing on the wall and are scooping up condo units to rent out almost as fast as developers can build them.
In short, the market is hot and is not likely to cool down anytime soon. If you’re lucky enough to own property of any kind here, you have an unprecedented opportunity.
You can invest in what you already have by upgrading it to increase your equity or building a secondary suite to generate rental income. If your financial situation allows, you may even consider buying a second property. Your net worth will grow as the property value increases. In addition, you’ll gain an immediate source of passive income by renting it out to one of the many students or skilled workers settling into the city.
What Toronto Neighbourhoods will Benefit the Most?
What neighbourhoods will see the most activity from Toronto’s technology boom? No one knows for sure, but we would bet that many CEOs and executives will flock to areas like these:
- Lawrence Park
- York Mills
- Bridle Path
What about the scores of skilled workers and students? What neighbourhoods will be most attractive to them? We expect they’ll want to be close to the action and head offices of downtown and have easy access to transit. We predict these areas will see unprecedented growth:
Do you have questions about buying or selling a house in Toronto? At the Armin Group, we specialize in the high-end market and are committed to providing exceptional service every step of the way. We are happy to provide you with any advice you need to get started. Contact us today.
