The total sales volume in 2017 for Southwestern Ontario was up from 2016, and while demand continues to remain strong, listings for purpose built apartments remain low. While listings are down, supply appears to remain consistent.
- Significant demand is still evident as the price per suite continues to rise for this asset class.
- Both vacancy and capitalization rates remain low and a rise in interest rates may see smaller investors decide to sell.
- Existing assets are still preferred over new builds due to high construction costs.