Which Toronto neighbourhoods have the most affordable condo rents?
It’s no secret that rents in the City of Toronto are becoming increasingly expensive. In fact, the average condo rental cost in Toronto has climbed to $2,567, according to data from the MLS, and there’s only a single neighbourhood – Birch Cliff – in which renting a condo will cost you less than two grand a month — and even then, it’s still $1,973.
The cost of renting in the city has become so high due to a number of factors: landlords must cover their carrying costs, and the average sold price of condo units – which make up a bulk of rental inventory in the city – has climbed to $628,074. That’s more than the price of detached houses for sale in Hamilton. In some neighbourhoods, like Forest Hill, York Mills, the Annex and Summerhill, condo prices top $900,000 – still more than most detached Burlington homes for sale.
However, it’s easy to see why renters are so drawn to condo units in Toronto and resist moving to the outer reaches of the Greater Toronto Area. While it would certainly be cheaper to rent (and buy) outside of the 416, the commute would be a huge challenge to overcome. Condos are often clustered in high-transit areas, making it super easy to get to work and dinner without ever taking the TTC or getting in a car.
As mentioned, condos now make up a huge percentage of the rental market in Toronto. Since developers essentially stopped building purpose-built rental towers for several decades, private landlords have picked up the slack. While many condo units are owner-occupied, a large amount are held by investors and speculators, and are bought specifically to rent out. While renters may want to find less-pricey rental options, there’s simply not enough to go around.
Also, condos tend to be newer and more luxurious than the often-dated purpose-built towers which were built in the 1950 to 1970s, or basement units in detached houses, which range in quality. What condos may lack in square footage, they make up for in their finishings, as they are often decked out with the latest appliances and include features such as new baseboards and granite counters. The amenities are also enticing, as many buildings have gyms, pools, and barbeques available.
But all these benefits come at a price.
Most Toronto condo towers are located near King Street, in Liberty Village and near the entertainment district. In this cluster of buildings, tenants are looking to pay $2,709 for the privilege, or 5.5 per cent above average.
For bargains, rent seekers will have to move away from the core to the former boroughs of North York, Etobicoke and Scarborough. That’s where renters will be able to enjoy all the advantages of condos, including the subway line, while also enjoying lower rent.
Islington-City Centre West (near Islington subway station), for example, has condos renting for $2,280 a month and you can snag a unit for just $2,285 in Bathurst Manor and Clanton Park (near Wilson subway station).
Other notable bargain neighbourhoods include Hillcrest Village and Bayview Village, with condos going for $2,277, Rockcliffe-Smythe and Keelesdale-Eglinton West with units on the market for $2,126 and Leaside, Thorncliffe Park and Flemingdon Park where they currently rent for $2,125.
Want to see how much condos rent for in every neighbourhood in Toronto? Check out the infographic below: