If you are a lot owner or residential investor, Odima Construction’s townhouse developments offer a profitable, worthwhile investment opportunity. Building a townhouse in Toronto is complex, so our licensed, insured contractors ensure careful planning and diligent execution every step. Odima Construction’s high-end home builders provide customers with one-on-one service, offering a uniquely customizable process, comprehensive design, and unparalleled craftsmanship. Contact us to begin new townhouse construction and become a beneficiary in Ontario’s real estate development sector today.
Benefits of Townhouse Development
There is a high demand for Toronto townhouses. The younger generations prefer the characteristics of the suburban community, combined with the out-and-about attitude of the city. Townhouses are convenient living spaces that provide a tight-knit community feel while living near a city.
First-time home buyers or young families looking for a property in between a classic suburban home and a city apartment are notable audiences attracted to the idea of living in a townhouse. This interest will be to the advantage of property investors and lot owners developing townhouses on their land.
New Townhouse Development vs. Existing Property Investment
There are several pros and cons to consider when deciding either to build a new townhouse in Toronto or invest in an existing property.
Both existing property investment and new townhouse development are worth investing in, but let’s look at some of the main advantages of each so you can make the best decision to generate profitable returns.
Experience
Excellent Time Management
Personal Approach
Innovation
Reputation
Licensed & Insured
Design Excellence
Warranty
Pros of New Townhouse Development
Build to meet market demand: If townhouses are the type of property that is in demand in your area, then the home’s value is increased as well as the rental return, and this will also help find long-term tenants.
Can be constructed for multiple occupancies: Building a townhouse can accommodate multiple tenants allowing for future expansion. You will also be able to generate good cash flow by increasing your monthly rental income from more tenants.
Tax minimization: Many features such as the cost of fittings and indoor fixtures can be deducted from your taxable income. In addition, stamp duty typically will not be charged on the property value, but rather the land value, and this can result in significant savings. Speaking of great savings, while construction is underway, interest payments may also be tax deductible at your marginal income tax rate.
Build equity instantly by having your lender revalue the townhouse after construction—if its value rises from the original estimate, your property equity increases immediately.
Pros of Making an Existing Property Investment
Affordability: Typically, existing properties are less expensive than new ones, but this could vary based on the house type, the neighbourhood, and other variables.
Easy market comparison: Can compare existing properties to recently sold properties to determine their value.
Make room for negotiation: Buying an existing townhouse as opposed to building a new one means you will have negotiating power.
Potential for Adding Value: Your equity increases when owners make upgrades and repairs to the property, increasing its value, rentability, depreciation, and rental yield.
INVEST IN TORONTO’S REAL ESTATE
Over the last years, building duplexes, triplexes, and multi-dwelling units have grown in popularity as an investment opportunity, that comes with greater cash flow, additional tax benefits for owners, potential owner-occupied arrangements, and less risk of full vacancy.
Why Choose Odima Construction
Odima Construction is the top-rated construction group servicing Toronto and parts of the GTA. Odima Construction, a Tarion-registered, licensed, and insured contractor, has successfully renovated and built homes for years. Lot owners looking to develop townhouses or residential property investors seeking to capitalize on this growing market will find Odima Construction the ideal partner.
By utilizing innovative strategies, powerful technologies, and cutting-edge modern design tools, we are able to deliver high-quality architecture and structures that will make the most of your land and investment. To learn more about townhouse developments on your valuable land equity, contact Odima Construction today!
