North York, Ontario–(Newsfile Corp. – May 7, 2022) – A Toronto-based property management company with operations in Ontario and Europe, Royal York Property Management, has announced a surcharge of up to $500 per month for ” owners in difficulty”. Founder and global head Nathan Levinson said the offering was aimed at alleviating stress for property investors in a deteriorating economic environment.
Nathan Levinson, Founder and Global Director, Royal York Property Management
Mr Levinson said: “It has been a very difficult time for most homeowners. Homeowners are concerned that interest rates will rise significantly over the next 18 months. This will lead to an inevitable downturn in the housing market, many homeowners unable to make their mortgage payments.”
Royal York Property Management offers help to landlords who are unable to make ends meet. According to calculations by Royal York, the rental income of an average one-bedroom condo in Toronto is around $2,145 per month. By comparison, the average “cost of care” for a homeowner is estimated at $2,500 per month.
Starting at $39 per month, Royal York Property Management will personally fund the shortfall up to $500 for as long as they manage the property. The move is intended to eliminate financial hardship and also worries about whether or not landlords will break even on their investment properties.
Asked about the intention behind this initiative, Mr. Levinson replied: “I see it as a way to stimulate the investment market. Real estate investors can continue to acquire real estate without worrying about the threshold of profitability. Our rental guarantee system is already second to none. The offer of guaranteed financing simply reinforces our dominant position in the market.”
In the long run, Mr. Levinson is an advocate of economic reform. He explained: “The Ontario government should allow landlords to serve an N2 form rather than an N1 form, allowing rent increases for properties built before 1991 as was the case before the announcement of the ‘Former Ontario Premier Kathleen Wynne at Queen’s Park on April 20. 2017. If this is not adjusted, landlords will only be able to increase their rent by 1.2% under Ontario’s guidelines on the increase in rents of 2022. With what we see, landlords will not be able to keep pace with inflation and rising interest rates.Although the cost of living, gas and rates mortgages have all increased, the rental market remains the same, it calls for changes.”
While the program is in its infancy, Levinson reports that feedback from thousands of customers has been “entirely positive”. He and his team anticipate a large number of applications in the coming weeks.
Contact: Royal York Property Management – Canada
Contact Person: Nathan Levinson
Email: [email protected]
Address: 789 Don Mills Road. Suite 801, North York, ON M3C 1T5, Canada
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/123149