A new report by Sotheby's International Realty said sales of homes worth over $1m jumped in four major Canadian property markets in 2014 – a trend that may likely continue this year.
Toronto experienced a year-over-year sales growth of 38%, followed by Vancouver's high-end home sales increase by 25% from the previous year.
However, the study said high-end real estate markets of Montreal and Calgary are projected to appear balanced.
Sotheby’s president and chief executive Ross McCredie added that foreign investors are responsible for almost 50% of homes worth over $5m in Vancouver and Toronto.
This claim dismisses the recent report from Canada Mortgage and Housing Corp., saying foreigners own only 2.4% of the condos for rent in Toronto and 2.3% in Vancouver.
"We see a lot is the transaction for foreigners buying Canadian real estate happens through Canadian sub-companies,” he said.
“They've got a lot of money right now. They see Canada as a very stable marketplace. They like the story around Canada. They like coming here. They have friends and family here.”
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