A new report suggests the average condo renter will need to save nearly 1.5 years’ worth of rent to afford a condo down payment.
Using data from the Toronto Regional Real Estate Board, real estate firm Zoocasa found the average one-bedroom condo renter paid $2,532 in August, while the average down payment needed was $51,983. That means those looking to buy a condo in the city to need to save an average 17.9 months’ worth of rent to afford a down payment.
DEALS TO BE HAD
There are deals to be had, however, as condo down payments in five Toronto boroughs currently require less than a year’s rent, while the down payments needed in eight boroughs have actually declined in the last year.
“The last time we conducted this study was in March 2023, using Q4 2022 data, and since then several neighbourhoods have become more affordable, either because the average condo apartment sold price decreased or the average condo lease rate per month increased since the end of 2022,” Mackenzie Scibetta, a content market specialist with Zoocasa, wrote in the report.
There are also five boroughs where the average condo price is higher than $1 million, each requiring more than five years’ worth of rent to afford a down payment.