Welcome to our February 2017 Home of the Month! This feature provides a snapshot of what urbaneer.com's Buyers have recently purchased in the City of Toronto.
This month we share the journey of clients - a professional couple living in the suburbs - who decided to pro-actively purchase an investment property that could serve as future accommodation for their daughter, should she choose to attend university in Toronto once she's completed high school. Like many forward-thinking parents today, acquiring a residence that can be both an investment and serve their own future needs is a big (and smart!) consideration. After all, with values skyrocketing in the central core, purchasing a property might be far more economical now than trying to secure something years down the road when prices in the City centre are significantly more.
With our Buyers coming from the suburbs, part of their initial learning curve was reconciling how old our downtown housing stock actually is, and how often dwellings require some capital investment to bring them into fair condition. Why? In the original City of Toronto, it's fair to say most of the housing south of St. Clair dates from the 1850s through 1910s, meaning that unless the dwelling has been upgraded it can require significant repairs and upgrades. This is in part why the market is so fierce for turn-key property. Often properties either require renovation (here's Why Are So Many Downtown Houses Being Renovated?) or, just as frequently, they're selling simply for land value (here's Exploring Toronto Real Estate Property Values), so if one can find a property that is in decent condition or better for under $1million (here's Understanding The Six Essential Layers Of Property), then it's likely going to be heading towards a bidding war.
Our buyers prioritized the need for a dwelling which was central in proximity to all the urban amenities we crave, including easy access to public transportation, cafe culture, and 'village' services that make our city lives so convenient and vibrant. Although our clients were willing to purchase a property which spanned east to Woodbine and west to Jane, the objective was to marry as central a location as possible with a turn-key property which had more than one unit for less than $1,000,000.
Fortunately our Buyers had luck on their side, for within a few weeks of viewing some pretty horrific properties in need of major repairs, this charming detached bungalow came to market in Dovercourt Village. I love Dovercourt Village. Founded in the 1870s, the first residents were originally poor immigrants from England living in dozens of small cottages. In fact, this dwelling may very well have its roots as one of these dwellings. Located just north of Bloor Street next to the area known as Bloorcourt Village - where The Globe And Mail recently featured in their series called Neighbourhood Watch: Why Bloorcourt Is One Of Toronto’s Most Diverse Places To Live, this dwelling is in the BIA area known as 'Dovercourt Village' which has some terrific amenities, including a laundromat (for when you want to wash your large duvet or beach blanket), the very charming Hub Coffee House and Cafe, and several grocers who also sell fresh flowers for indoors and out. The house is right on the 161 Rogers Road bus route (offering accessible service and bike racks) that goes north and south from the Ossington Station on the Bloor-Danforth Subway line which means, for tenants, from the front window they can see the bus coming south to the subway station in a blizzard!
The property contains two units. The Main Level Suite - which combined modern conveniences with the California charm of a sun-splashed bungalow - boasts two bedrooms, a spa washroom, and a welcoming living room with great proportions that connects to a generous eat-in kitchen diner overlooking to garden. The Lower Level Suite is a bright modern space boasting an open concept entertainment space connecting to a bedroom, a three-piece washroom, and a galley kitchen that walks out to the rear garden. The suites share the lush landscaped back yard with pond and a private decked dining pavilion.
Here are some snaps of this dwelling:
Listed at $678,000, our Buyers successfully secured this property in competition for 29% over the list price. These suites - which rent for $2250 per month and $1250 per month plus utilities - generate a 4% cap rate after expenses. That's a solid return for a downtown Toronto property!
Are you an investor seeking an income property?
Here's some of our past blogs that will help steer you
Serving first, second and multi-time buyers, young families, down-scaling Zoomers, renovators and those building their investment property portfolios, our mandate is to help our clients strategically secure the best real estate on offer, while ensuring their purchase best serves their practical needs and their dream of 'Home'. We identify a property's best qualities, features and insouciant charm in the context of the future target market while meeting your own wishes, wants and desires.
If you, or someone you love, has specific real estate needs, wishes and desires, and would enjoy the personalized service of Top Producing boutique Toronto real estate outfit who subscribe to a pressure-free approach - and a specialty in unique urban homes - please know we're here to help!
~ Steven and the Urbaneer Team
earn your trust, then your business
Steven Fudge, Sales Representative
& The Innovative Urbaneer Team
Bosley Real Estate Ltd., Brokerage - (416) 322-8000
** Want to learn more? Consider signing up in the box below to receive our FREE monthly newsletter on housing, culture and design in the City of Toronto. We simply love Toronto real estate!
** Did you also know Steve leads a Student Mentorship and Internship Program for Canadians being educated in the field of housing? Consider visiting our sister site called Houseporn.ca