Utilities

Understand utilities in Canadian real estate, including which services are essential, who pays for them, and how they affect monthly home costs.

Utilities



What are Utilities?

Utilities refer to the essential services required to operate a property, including water, gas, electricity, heating, and sometimes telecommunications or internet access.

Why Do Utilities Matter in Real Estate

In Canadian real estate, utilities are part of the ongoing homeownership or tenancy costs. These services must be connected, paid for, and maintained by either the property owner or tenant, depending on the lease or agreement.


Typical utilities include:
  • Hydro (electricity)
  • Natural gas or oil (heating)
  • Water and sewer
  • Waste collection and recycling
  • Internet, phone, and cable (optional)


Buyers and renters should budget for monthly utility bills and inquire whether the property is separately metered or part of a shared system. In condos, some utilities may be included in condo fees. Utility costs vary by location, home size, efficiency, and energy source.


During a sale or move-in, utilities must be transferred or activated to ensure service continuity. Delays can result in inconvenience, fines, or reconnection fees.


Understanding utilities helps homeowners and tenants plan for regular expenses and ensure safe, comfortable living conditions.

Example of Utilities in Action

A tenant pays their landlord $1,800/month plus utilities, covering hydro, heating, and water, which average $280/month depending on season and usage.

Key Takeaways

  • Essential services for home operation.
  • Includes hydro, water, heat, and internet.
  • Costs vary by location and usage.
  • May be included in rent or condo fees.
  • Must be transferred or activated at move-in.

Related Terms

Additional Terms

Public Realm Improvements

Public realm improvements are enhancements to public spaces such as sidewalks, parks, plazas, and streetscapes, often funded or contributed by. more

Mortgagee in Possession

A mortgagee in possession is a lender who takes control of a property after borrower default, but before foreclosure or power of sale. The lender. more

Lease Surrender Agreement

A lease surrender agreement is a negotiated contract between a landlord and tenant that ends a lease before its scheduled expiration. Terms may. more

Green Infrastructure

Green infrastructure refers to natural or engineered systems that manage stormwater, reduce heat, and improve sustainability in developments.. more

Escrow Holdback

An escrow holdback is a portion of funds withheld at closing and held in escrow until specific conditions are met, such as completion of repairs,. more

Underused Housing Tax

The Underused Housing Tax (UHT) is a federal annual 1% tax on the value of vacant or underused residential property owned by non-resident,. more

More For You

The 6 Key Takeaways From CMHC's 2026 Mid-Year Rental Market Update

(CMHC)

Last week, Rentals.ca published their latest rental market report, noting that the average asking rent in Canada declined by 4.7% year over year in May, marking the 20th consecutive month to see a year-over-year decline.

“Since reaching a low of $1,662 in April 2021 during COVID-19, average rents have risen 22.1%, but have declined 7.8% from the high of $2,202 in May 2024,” they said.

Keep ReadingShow less
Ontario Brokerages Required To File Finances With RECO Starting This Fall
Shutterstock

Ontario real estate brokerages are getting a new piece of homework, courtesy of their regulator.

Starting October 1, 2026, every brokerage in the province will have to attest to and submit an annual financial filing to the Real Estate Council of Ontario (RECO) — a requirement meant to give RECO a clearer, more consistent look at how brokerages manage money, and specifically the funds they're holding in trust on behalf of buyers and sellers.

Keep ReadingShow less
Spring Market At Last? Canadian Home Sales Jumped 5.5% In May
Shutterstock

After a spring that never quite got going, the Canadian housing market found a gear in May.

Home sales across Canadian MLS® Systems rose 5.5% from April, according to the Canadian Real Estate Association (CREA) — the first month in 2026 to post any meaningful upward momentum in headline demand.

Keep ReadingShow less
Toronto Rail Yards Would Bring 4,000 Homes To Downtown Rail Corridor

Fengate

What do New York City’s Hudson Yards, Chicago’s Millennium Park, and Paris’s Rive Gauche have in common? They’re all built directly on top of active railway lines. And Toronto has fresh plans to do the same – this time, as a brand-new mixed-use community rather than a standalone park.

For years, what to do with the airspace above the Union Station rail corridor has been a hot topic. Former Toronto mayor John Tory famously proposed Rail Deck Park – a 21-acre green space with a $1.7 billion price tag – back in 2016. Now, following several years of planning and ownership consolidation, the LiUNA Pension Fund of Central and Eastern Canada and master developer Fengate Asset Management have unveiled reworked plans for an entire mixed-use community called Toronto Rail Yards.

Keep ReadingShow less
Bank Of Canada Holds Interest Rate At 2.25%

The Bank of Canada held its overnight rate at 2.25% on June 10, citing a mix of domestic weakness and global turbulence that has complicated the economic outlook.

Canada's GDP slipped 0.1% in Q1, weaker than the Bank had projected in April, and the economy is expected to remain in excess supply even as growth rebounds modestly in Q2.

Keep ReadingShow less
Vancouver Plan To Pre-Zone 17 Villages Set For Public Hearing

(City of Vancouver)

After approving the Vancouver Plan in 2022, the City of Vancouver adopted the Vancouver Official Development Plan (ODP) on March 31, 2026, which replaces the 2022 plan as the guide for how Vancouver will grow over the next 30 years.

The Vancouver ODP categorizes areas of Vancouver into several neighbourhood designations based on “the type, scale, and intensity of change envisioned”: Metro Core/Broadway, Municipal Town Centre, Rapid Transit Area, Neighbourhood Centre, Multiplex Area, Rapid-Transit Overlap Areas, and Villages.

Keep ReadingShow less
A Lake Tremblant Waterfront Estate Just Broke Québec's Residential Sales Record

A lakefront estate in Mont-Tremblant, listed at $19,800,000, has sold — setting a new record as the highest residential sale ever recorded in the region through the Québec Professional Association of Real Estate Brokers' Centris database.

The sale, brokered by Sotheby's International Realty Canada, involved a Canadian buyer represented through the Sotheby's Québec network. Further details of the transaction are being kept private.

Keep ReadingShow less

Transforming Toronto’s future means digging through its past – literally.

The anticipated 15.6 kilometre Ontario Line subway will transport riders across the city in 40 minutes — from Exhibition Station to Don Mills Road — and feature both underground tunnels and an elevated gateway.

Keep ReadingShow less