Over the next few weeks, I will be showing real life case studies using principles presented in my book: Investing in Condominiums: Strategies, Tips and Expert Advice for the Canadian Real Estate Investor. While writing the book, I posted many questions on the BuzzBuzzHome Forums, and was amazed at the collaboration. This book was truly “crowd sourced” by all your expertise. I’m excited to share my findings.
So what exactly makes a condo go up in value? I racked my brain for months while writing my book. Using data from Urbanation, I found the 7 highest appreciating buildings that registered from the first quarter 2009 to the second quarter of 2011.
A walkable community is one that has a lot of amenities that are walking distance and is pleasurable to walk in. You can measure how walkable a building is by looking at the Walkscore.
It’s no surprise that after cross referencing Walkscores and appreciation, we see that Encore at the Met was a fantastic buy. The Walkscore for the building is an almost perfect 97 (considered a “walkers paradise”).
Units at Zip and Malibu had the worst Walkscores, but the buildings were so affordable that it was opened to a large pool of buyers that wanted to be close to downtown; as a result, values were driven up significantly. Vinegar Company lofts is in an area going through extensive renewal since it’s very close to the Pan Am Village and the Distillery, so it had a double whammy of having a great walkscore and a ripple effect from the changes in the area.
Conclusion: When considering buying a building, look at the walkscore to determine its future potential for appreciation.
Click here to purchase your copy of “Investing in Condominiums”.