Real Estate

The Ford government removed rent control on new units. A year later tenants are reporting double-digit increases

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  • Nov 26th, 2019 12:07 am
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Jul 14, 2008
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Luckyinfil wrote: So a very small subset are affected? Do you have any stats on how many of all renters are affected? If your going to claim that the majority are affected at least provide some stats. Jeez
Are you suggesting only a small subset of tenants are affected? I didn't realize all of a sudden it's a tenant's paradise when it suits your argument de jour? lol

New tenants are complaining of steep rises to rental rates. Existing tenants are lamenting their state of not being able to move they are afraid to move, or forced to bring in roommates to get by.

It's nearly literally a shit show for tenants at the moment and you're wondering what all the fuss is about? lol

Believe you me, it's not the landlords who are "scared". Look at the recent Continuum REIT IPO that was bought out by a private firm before going public. IIRC, most of their holdings were in Toronto and Hamilton, and not upper scale apartments either (purpose built rentals, low income, etc), and they saw massive upward potential in rental rates, even to the point of offering a measly 2% yield. Yet it was scooped up before anyone had a chance. Does that resemble behavior of landlords who are "scared"?
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onlineharvest wrote: Are you suggesting only a small subset of tenants are affected? I didn't realize all of a sudden it's a tenant's paradise when it suits your argument de jour? lol

New tenants are complaining of steep rises to rental rates. Existing tenants are lamenting their state of not being able to move they are afraid to move, or forced to bring in roommates to get by.

It's nearly literally a shit show for tenants at the moment and you're wondering what all the fuss is about? lol

Believe you me, it's not the landlords who are "scared". Look at the recent Continuum REIT IPO that was bought out by a private firm before going public. IIRC, most of their holdings were in Toronto and Hamilton, and not upper scale apartments either (purpose built rentals, low income, etc), and they saw massive upward potential in rental rates, even to the point of offering a measly 2% yield. Yet it was scooped up before anyone had a chance. Does that resemble behavior of landlords who are "scared"?
I do wonder what the private firm is trying to do with these apartments. Kicking out existing tenants and doing something more lucrative with either land or building is not a trivial task. I hope they know what they're doing.
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And FYI, the yearly renter turnover rate across the country is roughly 19-20%, but I believe it's below the national average in Toronto.

It is true that some people are in an enviable position with below market rates, but to bank on that trend considering the avenues landlords have to evict you is not something I would count on indefinitely. Owner occupied claims have sky rocketed, and if landlords are expected to run their investment property as a business (as they should), they won't stomach being in the red for long.

It's a can that has been kicked down the road for some, but it will eventually affect you. Either from a lack of mobility, or realizing a much higher rate if you do (which has a compound effect, higher for you to leave, and higher for the next tenant who takes over your unit).
Last edited by onlineharvest on Nov 25th, 2019 1:59 pm, edited 3 times in total.
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Jul 5, 2018
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Luckyinfil wrote: So a very small subset are affected? Do you have any stats on how many of all renters are affected? If your going to claim that the majority are affected at least provide some stats. Jeez
I reply with a real example. You cite "most people I know"

The only thing Im claiming is my real life example of a rental unit. The complete opposite of your hearsay nonsense.
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BlueSolstice wrote: I do wonder what the private firm is trying to do with these apartments. Kicking out existing tenants and doing something more lucrative with either land or building is not a trivial task. I hope they know what they're doing.
Yeah, same. With this, and Minto before, our appetite as investors is certainly there. Perhaps they see a very low vacancy rate and calculated the expected turnover (resetting the clock), and thought it was worthwhile. Or they have other plans.
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Dec 4, 2016
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onlineharvest wrote: And FYI, the yearly renter turnover rate across the country is roughly 19-20%, but I believe it's below the national average in Toronto.

It is true that some people are in an enviable position with below market rates, but to bank on that trend considering the avenues landlords have to evict you is not something I would count on indefinitely. Owner occupied claims have sky rocketed, and if landlords are expected to run their investment property as a business (as they should), they won't stomach being in the red for long.

It's a can that has been kicked down the road for some, but it will eventually affect you. Either from a lack of mobility, or realizing a much higher rate if you do (which has a compound effect, higher for you to leave, and higher for the next tenant who takes over your unit).
Ontario seem to still have decent number of institution owned apartments, which are easy targets for RTA and activists. BC basically stopped building rentals decades ago, unless the builder is basically paid to build them (via density and zoning concessions).
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Sep 7, 2018
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Sennzy wrote: lol. The rent on my Harbour Plaza unit in 2017 was $2150. 2018 $2300. 2019 $2450. All tenants found thru MLS in under 10 days. Multiple offers and apps every time. I get to choose the pick of the litter.

Rent def not up tho.
Unfortunately my tenants have stayed put, it's good because of the steady income but I'm missing out on at least $500 extra per month with current rental trends in the city.
>Wake up and take the orange pill ...
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Feb 29, 2008
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Tarrana & The Ri…
onlineharvest wrote: And FYI, the yearly renter turnover rate across the country is roughly 19-20%, but I believe it's below the national average in Toronto.

It is true that some people are in an enviable position with below market rates, but to bank on that trend considering the avenues landlords have to evict you is not something I would count on indefinitely. Owner occupied claims have sky rocketed, and if landlords are expected to run their investment property as a business (as they should), they won't stomach being in the red for long.

It's a can that has been kicked down the road for some, but it will eventually affect you. Either from a lack of mobility, or realizing a much higher rate if you do (which has a compound effect, higher for you to leave, and higher for the next tenant who takes over your unit).
Bingo. A landlord isn't going to sit back and get $500 under-value rent for a decade. He/she is going to legally do what they can to get the tenant to pay that rent or get them out (again, legally). Anyone who thinks that they can corner their landlord into accepting well below market rent is extremely naive.

I'm not all for rents rising to the moon either. But limiting supply will do just that. Renters who are in a good situation right now are not really thinking about having to one day pay market rent. They will, and they can't complain about it now.

I've always said I'm here for solutions that help both sides.
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JayLove06 wrote: Bingo. A landlord isn't going to sit back and get $500 under-value rent for a decade. He/she is going to legally do what they can to get the tenant to pay that rent or get them out (again, legally). Anyone who thinks that they can corner their landlord into accepting well below market rent is extremely naive.

I'm not all for rents rising to the moon either. But limiting supply will do just that. Renters who are in a good situation right now are not really thinking about having to one day pay market rent. They will, and they can't complain about it now.

I've always said I'm here for solutions that help both sides.
I know people who brag about the amazing deal they have with their condo apartments because they are locked in due to rent controls.

But there will be a day when their landlord either moves in a family member, or heck, they may even sell the darn thing. What then? Unfortunately, these same people aren’t putting away their rental savings. They are spending it.

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