By the end of last year, the money spent on building permits being taken out had risen 15 per cent since the end of November across the city of Toronto. The amount of building permits for the month of December alone totaled $1.2 billion according to a recently released Statistics Canada report.
The city of Toronto is already looking at a significant increase in condominiums dotting the skyline, as permits for multiple dwellings rose 30 per cent in December alone, which could be alluded to the fact that the Building Industry and Land Development Association released statistics showing that Toronto’s downtown condominium sales had risen a staggering 995 per cent in December compared to December 2008, the deepest point in the recession thus far. Only 166 new condos were sold in the city during that month, many of which at discounted prices because of the economy. In December 2009 alone, 1,800 condos were sold at their asking price in stark contrast to the previous year.
The recent announcement of the new mortgage rules, however, are seeding fears that the condo prices might be driven down again because of the higher down payment first-time buyers will have to make on the condos, which is 20 per cent according to the Canadian Press.
More building permit statistics:
According to the federal statistics agency, almost eight per cent more money was spent on building permits for the city of Toronto in 2009 than in 2008, and Toronto had the most money spent on building permits out of all of the Canadian cities surveyed. Toronto had almost twice as much as Vancouver and Montreal, coming in second and third place respectively. Cities with the largest fall in the value of their building permits included Ottawa and Edmonton.
Across the country, over $34 billion in residential building permits were taken out, and $6.2 billions dollars worth were taken out in December by contractors.