The Battle of Renting vs Buying Toronto Real Estate
The average renter in Toronto needs approximately 14 months of rent payments to afford the minimum downpayment for a condo purchase. A typical rental rate in Toronto for a 1-2 bedroom unit is on average $2,680/mo. This means the average first-time homebuyer needs approximately $37,520 to purchase an entry-level condo unit.
Is it worth it? The average price of a condo in Toronto is $628,074, appreciating at an average annual rate of 8.24% (year-over-year for October 2019). If the general trend continues it will take about 9 months for the buyer to recoup their investment in appreciated value. So yes, generally speaking, it’s worth it.