How Much Are Condo Fees in Toronto?
Condos have traditionally been a more affordable type of housing for buyers looking to get into the housing market. But because of this demand — among other factors — the cost of condos in Toronto has skyrocketed over recent years.
The price for a condo is typically determined by the price per square foot. In some areas of the city, this cost is considerably higher than in others. Knowing the cost per square foot will help you get a clear idea of what it may cost you to buy a condo in Toronto and surrounding areas.
What's the Cost Per Square Foot For a Condo in Toronto?
Right now, the average cost per square foot for a condo in the city of Toronto is a whopping $1,411 per square foot. To put that in perspective, let's use this number to determine how much you would pay for an 800-square-foot condo in the city:
800 s.f. x $1,411 = $1,128,800
This is clearly a very high price tag, but it should be noted that the price per square foot for condos in the city of Toronto has actually dipped 2.2% year-over-year. This is the first time the per-square-foot cost has decreased in roughly a decade for new condos.
What About Condo Maintenance Fees?
If you're thinking of buying a condo in Toronto, you'll want to look at more than just the purchase price. Unlike traditional freehold homes, condos also come with a monthly maintenance fee that all owners must cover each month.
These costs vary quite a bit from one neighbourhood and condo complex to another. While in some cases you may pay a few hundred dollars, in others you may be paying well over $1,000 or more per month.
For instance, boutique condo buildings usually come with higher maintenance fees, even with fewer amenities on site. In other cases, buildings may come with a slew of amenities, including unique ones that you may not find in many other complexes, which will increase the cost of maintenance fees.
On the other hand, other buildings that are not as prestigious or have basic amenities may charge less.
Either way, it's important to find out what these condo fees are and what amenities they cover. You may not necessarily need all the amenities that a condo building comes with, so it may not be worth it for you to pay high monthly fees. Instead, you may want to look at other buildings that come with a lower monthly maintenance fee in exchange for fewer amenities.
It's also important to understand that these maintenance fees can increase at any point throughout your ownership. This is usually due to an increase in inflation rates and property taxes. That said, a well-managed building will ensure that these increases are conservative and that they don't arbitrarily happen.
That's why finding a building that is properly operated is important, as this will ensure that these increases are kept in check. A building that is well run by an experienced condo board will come with plenty of backup savings to cover unexpected repairs and emergencies, which will ensure that condo fees don't skyrocket.
In any case, it's a good idea to budget for a possible increase in condo fees and to have your lawyer thoroughly review the Status Certificate of the condo.
It’s also prudent to find a real estate team that knows the ins and outs of buying condos in Toronto so you know you’re making a sound purchase. At The Lotus Group, we have plenty of experience buying and selling condos in Toronto. Get in touch with us when you’re ready to take the plunge!