Appreciating areas are not hidden, you just have to know what to look for.
A booming corporate or industrial sector is a strong indicator of high demands for homes. Waterloo went through a huge boom a few years ago, and even though they are still benefiting from the recent title “Silicon Valley of the North”, the time to invest and make money in Waterloo has passed.
Areas going through gentrification
Neighborhoods that go through gentrification usually go through a cycle. The beginning of the cycle is a fantastic opportunity to get on the bandwagon, however, not every area that goes through gentrification will maintain their recently enhanced image, and price tag. There are key indicators that areas need to maintain their image and price tag:
- Transit. Liberty Village’s main downfall is the King street car
- A sense of community.
- A pride of ownership (how many people rent in the area verse own).
Neighborhoods that aren’t ideal, but are very close to desirable neighborhoods will eventually benefit from the runoff of buyers who can’t afford the more expensive neighborhood.
Transit is a priority to most homeowners. Think about making a purchase near a major transit hub. More residents are relying on transit than before, and transit is improving across the whole GTA.
Hospitals bring in hundreds of skilled workers, and provide families with the peace of mind that comes from being close to a hospital. Families of all ages and life stages are attracted to homes in close proximity to hospital.
Municipalities are constantly building the foundation for new investments and initiatives to drive economic growth. View building permit activity to see where new businesses are opening. Private sector employers attract skilled professionals.
High-end retailers do significant research on an area before they choose to open a location. If you see shops like Starbucks, or Wholefoods opening, it’s a strong indication that the area is improving.