Condo sales have dropped by more than 50% in some downtown Toronto buildings

If ever you need solid evidence of how much Airbnb has impacted Toronto’s condo rental market, look no further than the city’s waterfront communities in 2020.

The COVID-19 pandemic has changed the residential landscape unlike anything we’ve ever seen in Toronto, driving up demand for detached homes, flooding the market with tiny condos and subsquently pushing rent prices into a downward spiral that shows no signs of stopping.

One reason behind this increase in condo supply pertains to office workers leaving their tiny downtown pads in search of larger, less-expensive homes — places where they can comfortably live and work, no commute required.

Another major driver of the trend has to do with Airbnb-lords selling off their vacant short-term units now that borders are closed and tourists are no longer clamouring for places to stay.

In an effort to better understand “the extent to which condo buyers and sellers were

Read More

Apollo Commercial Real Estate Finance (NYSE:ARI) Share Prices Have Dropped 52% In The Last Three Years

For many investors, the main point of stock picking is to generate higher returns than the overall market. But if you try your hand at stock picking, your risk returning less than the market. Unfortunately, that’s been the case for longer term Apollo Commercial Real Estate Finance, Inc. (NYSE:ARI) shareholders, since the share price is down 52% in the last three years, falling well short of the market return of around 44%. The more recent news is of little comfort, with the share price down 52% in a year.

See our latest analysis for Apollo Commercial Real Estate Finance

There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.

During the three years that the share

Read More