Over the past several years, there have been extreme changes in the Mississauga real estate market, as well as in other popular Ontario cities. One of the markets that has hit some high peaks and low valleys since 2020 is the condo market. Mississauga is home to some of the best condos in Ontario, and that number is growing by the day. How did the Covid Pandemic change the condo market, and where does the Mississauga condo market currently stand?
We are going to answer these questions and more, so keep reading to find out what the condo market in Mississauga looks like.
Condo Market Trends Over Time
In cities like Vancouver and Toronto, condo developments have been on the rise, and Mississauga is no exception. In the past two decades, over 30,000 new condominiums have been constructed in Mississauga, paving the way for an influx of new residents. Over that span of time, prices have increased, and the number of people opting out of detached homes and purchasing condos has gone up as well.
Due to the rise in condo developments, many are wondering whether condos appreciate at a steady rate. In 2011, the average condo price in Mississauga stood at $262,200. Just 10 years later, in December of 2021, the price almost tripled, hitting an average sold price of $656,673. This adds up to a 150.4% jump in condo prices over just 10 years. While much of this has resulted from supply and demand, with more and more residents wanting condos as the years went on, a lot of the price influx also had to do with the 2020 Covid Pandemic.
2020’s Impact
After a slow and steady incline in the price of and demand for condos over a 9-year period, the Covid Pandemic caused a significant change in both areas. The statistics show that Mississauga had a 20% decline in condo sales between April and December 2020. That’s a steep drop for a time span of 9 months. During this time, many residents decided that it was a financially wise decision to move out of city centres and purchase more affordable homes in smaller municipalities.
In addition, the price of condos continued to rise throughout that time, accommodating those who wanted larger units with more space to adjust to the post-pandemic lifestyle. Not only did the price of condos increase due to new buyer standards, but the scarcity of resources and builders caused the development price to hike up as well. What is expensive for builders becomes more expensive for buyers.
Where Does Mississauga’s Condo Market Currently Stand?
Now that we are two years past the beginning of such a crucial time for the housing market, where does Mississauga’s condo market stand now? More and more people are flocking back to the city and searching for condos for sale. To get a gauge of the red-hot Mississauga condo market, we’ll look at two different categories of the market: Resale Condos and New Development Condos.
Resale Condo Market
With so many condominiums already built and established in Mississauga, a lot of residents choose to purchase a resale condo to save a few bucks. On average, resale condos can be $100K to $150K cheaper than new development condos. That is significant, especially if the resale condo is close to the city centre.
In Mississauga, most resale condos currently list between $530,000 and $700,000 depending on how many bedrooms and what amenities you want (parking, storage locker, etc.). While this number has skyrocketed over the past decade, it’s still low compared to what you’ll find for a new development condo.
New Development Condo Market
New condo developments are popping up left and right to correct the housing shortage in Mississauga and accommodate the influx of people moving into the city. With new condos, though, come new rules and fees, so make sure to be informed about what is involved when buying a new condo development. While many resale condos have an established system that includes parking and storage, many new construction developments are charging extra fees for those features, in addition to the higher price tag.
In Mississauga, new builder condos can cost anywhere from $650,000 to $1.2M. It is generally more expensive to purchase a new condo while it’s still being built than to purchase one ready for move-in. Around 70% of new development condos available in Mississauga are ready for move-in, while the rest are still under development.
How is the Condo Market in Mississauga?
In conclusion, the ever-evolving condo market is red hot in Mississauga. While the market is still recovering from the effects of 2020, more residents are searching for condos for sale now than ever before. Between the convenience, proximity to the city, and amenities that come with them, it’s clear why so many are gravitating toward Mississauga’s condo market. If you’d like to know more about where the Mississauga condo market is leaning, ask your real estate agent to give you some insights and keep you updated on any major changes.
