We Need More Supply
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This week the supply of resale condos in Central Toronto dropped to 859 from 909 last week. This is a 5% drop week over week where historically in April supply ALWAYS goes up weekly to the peak supply time in mid-May. Supply then starts to decline from the spring market.
Last year at this time there were 2,069 units for sale. Year over year this is a 58% drop in supply. I would like those illustrious economists, or government policy gurus that have claimed we have a demand side issue to explain to me how a vacancy tax, a speculator tax, a foreign buyer tax, new rent controls, or any other new tax will INCREASE supply. I cannot see how any of these government actions will motivate people to sell or build real estate.