Another day, another reality check about the city’s unaffordable housing. Not only is Toronto known for its expensive rentals and real estate costs, but a new report has found that the city is one of the most expensive places in the world to even build a home.
The info comes from the UK-based finance company Capital on Tap. Rather than focus on land costs or average home prices, they went into an even more niche angle- the cost of merely building a home. In order to create the list, they looked at a number of factors, including “demand for materials, availability of space, and availability of labour.”
Toronto came in at 8th place, followed closely by Vancouver which is at 9th. They’re the only Canadian cities to make the list.
“Between work stoppages and the increased cost of materials, both multi-billion pound home builders and local tradespeople have felt the impact of the coronavirus pandemic,” said Hugh Acland from Capital on Tap.
“As things have largely returned to normal for many industries, it’s likely that the construction sector will still be feeling the effects of the last 18 months or so for a while, meaning that it could be some time before construction prices normalize and return to pre-pandemic levels.”
Here are the most expensive cities to build a home per m2
- Hong Kong
- New York
- San Francisco
After all the real estate news in the past years, this sadly isn’t too surprising. After all, it is Toronto.