If you're looking to buy a place in Toronto, you might want to start saving. A report from Zoocasa revealed that the average price of a condo is now the same as paying 22 years of rent. The Toronto condo prices are so high, that renting might actually be a smarter move in some areas.
Zoocasa surveyed 35 neighbourhoods across the city in order to determine exactly how expensive it is to live in the 6ix.
According to the report, the average price of a Toronto condo right now is $661,458. This means an average monthly lease is around $2,501.
When comparing that to the "price-to-rent ratio" Zoocasa states that if you actually want to buy a place in the city, you would need to save up 22 years worth of rent.
So if you're looking to purchase, you might want to start saving now.
In fact, based on their findings, Zoocasa concluded that renting a condo might actually be of more value right now than buying.
"Overall, renting a condo apartment may currently offer more value than purchasing one in the majority of Toronto neighbourhoods."
This is especially true in the central neighbourhoods of the city, such as Regent Park, St. James Town, Corktown, Yorkville, Annex, and Summerhill.
In fact, some neighbourhoods will cost you even more than 22 years of rent.
If you are looking to buy in Rosedale or Moore park, the price will be equivalent to 35 years of rent.
Moving soon to or within Toronto? If you're not sure whether to buy or rent, our new report might be a good startin… https://t.co/0JYYEedRf0— Zoocasa (@Zoocasa)1598451133.0
But it's not all terrible news. Zoocasa reports that while renting makes more sense in some neighbourhoods, there are still areas of the city where it makes sense to buy.
Danforth Village, East York, and West Hill, Centennial Scarborough are some areas where home buyers should look if they want to make a sound investment.
The price-to-rent ratio in these areas is the lowest in Toronto, at 15.
However, despite the high price tags, real estate is picking up.
Home sales actually broke records across Canada during the month of July.