Condominium ownership is becoming more common as buyers are starting to become savvier about what they are looking for when it comes to purchasing real estate. As the real estate market in Toronto cools off, there has been a spike in condo sales. Condos make up most of the new homes under construction and are priced affordably compared to single-family homes in the city.

Condo living has become more desirable over the last decade as individuals are using it as a way to own a home in Toronto’s expensive market. Condo living takes all the great features of a single-family home and takes out the upkeep of the property.

If you’ve been considering purchasing a condominium, the following tips will help you find the right place to call home.

Amenities

One of the biggest draws to condo living for some is the availability of building amenities. Amenities are an excellent way for condo owners to enjoy the common spaces in the building while sharing the costs with other owners in the building. This drastically cuts the costs of things like swimming pools and gyms but adds value to the individual condo units. Since the owners of each unit are collectively paying for these spaces, they are more likely to be better maintained than spaces in smaller buildings.

New vs. Resale

In the past, purchasing pre-construction condos would save buyers money, but in the current market, pre-construction prices are matching and even exceeding the costs of existing condos. An existing condo can be used as an income property which creates an immediate financial benefit for the buyer. The average one-bedroom condo in Toronto rents for more than $2,000 per month.

Space

If you are looking to maximize your space for your budget, an older condo building might be the right choice. Older buildings have significantly larger floor plans and are priced lower per square footage. While the finishes can seem dated, a condo renovation can be an excellent investment and more cost-effective than buying a newer unit.

Buyer Finances

Before purchasing a condo in Toronto, it’s crucial to align your wish list with your budget. Since August 2018, condo prices in the downtown area of Toronto have increased by 9%. Condos that once sold for $500,000 are trending closer to $550,000, but be aware that any rise in interest rates are going to increase carrying costs.

If you are interested in purchasing a condo, Mehran Redjvani can help you find the perfect space in your budget!