In the City of Toronto, do you think it is it better to buy or rent a condo?
Well, the challenge of owning and finding a rental in the condo market have both increased dramatically.
The average City of Toronto condo price is at an all-time high of $603,480 (Q2 2018). This is up 6.5 per cent from last year, while rental vacancy rates continue to be at a historic low below one per cent (Q2 2018).
READ: GTA Condo Rental Prices Keep Going Up, Demand Outweighs Supply
To understand how condo ownership and condo rental life affordability varies across the City of Toronto, Zoocasa released a report today comparing the average monthly rent and average monthly mortgage payment.
Now you can determine if it's cheaper to rent or own in each of the Toronto's 35 neighbourhoods.
The report found that in 21 of the 35 City of Toronto neighbourhoods, the monthly cash outflow from paying a mortgage is lower than paying rent.
Neighbourhoods where paying a mortgage costs less than paying rent
1. W05: Black Creek, York University Heights
Buying saves $606/month
Average rent: $1,939
Average mortgage: $1,333
2. W09: Willowridge, Martingrove
Buying saves $600/month
Average rent: $2,107
Average mortgage: $1,507
3. E10: West Hill, Centennial Scarborough
Buying saves $576/month
Average rent: $1,650
Average mortgage: $1,074
4. W10: Rexdale-Kipling
Buying saves $551/month
Aaverage rent: $1,834
Aaverage mortgage: $1,283
5. E11: Malvern, Rouge
Buying saves $490/month
Average rent: $1,751
Average mortgage: $1,261
Neighbourhoods where paying a mortgage and paying rent cost about the same
1. C07: Willowdale West
Buying saves $14/month
Average rent: $2,341
Average mortgage: $2,327
2. C14: Willowdale East
Buying saves $12/month
Average rent: $2,246
Average mortgage: $2,234
3. C13: Don Mills, Victoria Village
Buying saves $11/month
Average rent: $2,064
Average mortgage: $2,054
4. C15: Hillcrest Village, Bayview Village
Buying saves $10/month
Average rent: $2,011
Average mortgage: $2,001
Renting saves $51/month
Average rent: $2,563
Average mortgage: $2,614
The average monthly rent price was calculated based on data from the Toronto Real Estate Board's Q2 2018 Condo Rental Market Report.The average condo price was sourced from the Toronto Real Estate Board's Q2 2018 Condo Market Report. And the monthly mortgage payment amount assumes a 20 per cent down payment, 3.05 per cent mortgage interest rate and a 25-year amortization. Costs such as utilities, insurance, condo fees and property taxes were not factored in.
