Toronto Apartment Guide
Renting a Toronto apartment would be your first step when you immigrate to Toronto.
Most immigrants in Toronto start from renting an apartment.
Then, after 1-3 years, most of them buy a house or a condo.
The decision to buy your own house in Toronto is not an easy one.
There are certain pros and cons of buying and renting an apartment in Toronto that should be taken into consideration.
Toronto apartment guide - pros of renting an apartment in Toronto
- When you rent an apartment in Toronto, you are not bound by the mortgage. You are actually free to leave it if your family circumstances change - for example, you found a job in the other part of Toronto, or had a child and need a bigger apartment. Remember, however, that you sign an rental agreement that requires that you give a 2 or 3 months notice before you can move out. Usually, if you find someone who will live in your apartment, it's not a problem. (On the other hand, if you own a house or a condo in Toronto, you could sell it or rent it out if you need to move.
- You do not need to take care of the maintenance or repairs in your rented apartment in Toronto. All you need to do is let the superintendent (or the house owner) know that something is broken, and they will fix it.
- You do not need to spend money on the maintenance of a rented apartment in Toronto.
- Monthly payments for a rented apartment are usually a bit lower than monthly mortgage payments in the first years after buying a house or a condo.
- You do not need to have a lot of savings to rent an apartment in Toronto. All you need is a stable job or another source of income.
- You can use the time you are renting an apartment in Toronto to start saving for a down-payment to buy your first house or condo in Toronto.
Toronto apartment guide - cons of renting an apartment in Toronto
- You are literally "wasting" the money you spend on renting an apartment in Toronto. It does not go to pay off your mortgage and ensure that you have a free housing in 20-30 years. The money goes straight into the pocket of the building owner.
- You depend on the building or house owner. If they decide to sell the house or stop renting out apartments, you will have to move out and find another housing.
- Monthly payments for a rented apartment in Toronto always go up every year. You will have to pay more and more, while mortgage payments usually go down after a few years.
- You cannot adapt a rented Toronto apartment to your taste and preferences. If you only want to paint the walls, you need to ask permission of the building owner. Then you will probably need to paint them back to the original color when you want to move out.
- If you rent an apartment in Toronto in an apartment building and not in a condominium, its usually of pretty low quality. The household appliances could be outdated, broken, or absent altogether. Toronto condos are usually of better quality than apartments.
- Cheaper apartments in Toronto are cheap for a reason. If you opt to rent a cheap apartment in Toronto, you should understand that affordability usually comes with noisier neighbors, thinner walls, less amenities and appliances, and less attention on the part of the building managers. Cheap housing in Toronto is usually in less fortunate Toronto neighborhoods with a higher percentage of dysfunctional families and marginalized population.
To sum up, renting a Toronto apartment is a great way to start a new life in Toronto, when you just immigrated or moved here.
As soon you have an established source of income, you should really start saving and looking into buying your own house or a condo. Not only it's a great financial investment that can generate profits in a very short time.
More importantly, it's a more sure and stable way of living than renting a Toronto apartment. Buying a house is also an investment into your future - once the mortgage is paid for, you will practically have a free housing.
On Toronto Apartment Guide - Pros and Cons of Renting an Apartment in TorontoI used materials written by Helen Riabinin, Sales Representative, Century 21 St.Andrew's Realty Inc. for Russian Toronto.