Buying your first home is one of the biggest financial and emotional decisions you will ever make. For most people, it is the largest purchase of their lives. It can feel exciting, overwhelming, and honestly, a little scary. That feeling is completely normal. When you are about to make a major life decision, it is natural to feel nervous. The key is preparation. Whether you are just starting to think about buying, getting ready to speak with a mortgage broker, or actively looking at properties, this guide will walk you through some of the most important things first-time buyers in Toronto should know before taking the next step. Start With Mortgage Pre-Approval One of the first things every first-time buyer should do is get pre-approved by a financial institution or mortgage broker. A mortgage pre-approval helps you understand how much you may be able to spend before you start looking at homes. This is important because there is nothing worse than falling in love with a property only to find out later that the numbers do not work. A pre-approval can help you understand: In Canada, the minimum down payment can start at 5% for homes of $500,000 or less, while higher purchase prices require different minimum down payment calculations. CMHC notes that for homes over $500,000, the minimum down payment is typically 5% on the first $500,000 and 10% on the portion above that amount. Getting pre-approved early gives you clarity and helps you avoid shopping outside your realistic budget. Why a Mortgage Broker Can Be Helpful Many first-time buyers automatically think of going to their bank, especially if their parents have always used that bank. Banks can be a good option, but they are not the only option. A mortgage broker can shop around with different lenders and help you compare mortgage options. This may include major banks, credit unions, monoline lenders, or other mortgage providers. That matters because every buyer’s situation is different. Some lenders may be better for salaried employees with T4 income. Others may be more flexible for entrepreneurs, self-employed buyers, or people with more complex income. A mortgage broker can help you understand which lender is best suited to your situation. They can also help you think through details that first-time buyers may not consider, such as: The right mortgage is not just about the rate. It is also about the structure, flexibility, penalties, and whether it fits your life. Make Sure Your Down Payment Funds Are Liquid Before making an offer, you need to know where your down payment is coming from. Your funds might be in savings, an RRSP, a TFSA, a First Home Savings Account, or other investments. Wherever the money is, make sure you can access it when you need it. This is especially important because once your offer is accepted, you may be expected to provide a deposit quickly, often by bank draft or wire transfer. In many Toronto real estate transactions, that deposit may be due within about 24 hours of acceptance. That means your money cannot be tied up somewhere that takes days to access. If your funds are invested, you may need time to sell those investments and transfer the cash. If your money is with an online-only bank, it may take longer to get a bank draft or complete a wire transfer. Before you make an offer, make sure your deposit funds are: Being financially prepared can make your offer stronger and reduce stress when the right property comes along. Use First-Time Buyer Savings Tools Wisely First-time buyers in Canada may have access to helpful savings programs, including the First Home Savings Account and the Home Buyers’ Plan. The First Home Savings Account, or FHSA, is a registered plan that allows eligible first-time home buyers to save toward a qualifying first home tax-free, subject to contribution and withdrawal rules. CRA states that FHSA contributions are generally deductible and qualifying withdrawals can be tax-free. The Home Buyers’ Plan allows eligible buyers to withdraw funds from their RRSP to buy or build a qualifying home. CRA currently lists the HBP withdrawal limit at $60,000. These programs can be helpful, but they also have rules and deadlines. Before relying on them, speak with your mortgage broker, accountant, or financial advisor so you understand how the funds can be used and when they need to be available. Why Buy Your Own Place? There are many reasons people decide to buy their first home. For some, it is about stability. They want a place where no landlord can give them notice because a family member is moving in or because the property has been sold. For others, it is about lifestyle. They want to paint the walls, decorate the way they like, renovate, have pets, and make the space truly feel like home. For many people, it is also about building long-term equity. When you rent, your monthly payment goes to someone else. When you own, part of your mortgage payment can gradually go toward paying down your principal. In the early years, a larger portion of your payment may go toward interest, but over time, more of it typically goes toward building equity. Owning a home can also create a form of forced savings. Instead of hoping you will invest the difference between renting and owning, your mortgage payment helps you steadily build ownership in an asset over time. Think Long Term Before You Buy Buying your first home should not be treated as a quick short-term move. In many cases, it is best to buy only if you can see yourself staying in the home for several years. Real estate comes with transaction costs, market cycles, legal fees, land transfer tax, moving costs, and selling costs. If you buy and sell too quickly, you may not give yourself enough time to benefit from ownership. A good rule of thumb is to think about whether the home could work for you for the next seven to ten years.

Buying your first home in Toronto is exciting, but it can also feel overwhelming once you start looking at the numbers. Beyond the purchase price, there are several costs first-time buyers need to understand before making an offer. From mortgage pre-approval to land transfer tax, legal fees, deposits, down payments, adjustments, and insurance, knowing what to expect can help you buy with more confidence and avoid unpleasant surprises on closing day. Here are some of the most important costs and financial decisions to keep in mind when buying your first home in Toronto. Start With a Mortgage Broker or Lender One of the best first steps you can take as a first-time home buyer is to speak with a mortgage broker or lender. Before you start seriously looking at properties, you want to know how much you can realistically afford. A mortgage professional can help you understand: A rate hold can be especially helpful if you are worried about interest rates going up. In some cases, a lender may be able to hold a rate for a set period, such as 90 days, while you search for your first home. That can give you more peace of mind while you shop. Consider Working With a Financial Planner Getting approved for a mortgage is one thing. Feeling comfortable with the payments is another. Some first-time buyers choose to work with a financial planner before buying so they can get a clearer picture of their budget. This can help you understand where your money is going, how much you can save, and what monthly mortgage payment would actually feel manageable. The goal is not just to buy a home. The goal is to buy a home without becoming house poor. Before you purchase, it is worth looking carefully at: Avoid Big Financial Changes Before Buying When you are preparing to buy your first home, consistency matters. Your lender wants to see stable income, stable employment, and a clear financial picture. That means this may not be the best time to change jobs, take on new debt, or finance a major purchase. For example, buying or leasing a new car before purchasing a home can affect your mortgage approval. A monthly car payment of $700, $800, or $1,000 can reduce the amount a lender is willing to offer you because it changes your debt ratios. If you are planning to buy your first home soon, be careful before you: These decisions can affect how much mortgage you qualify for and may delay your ability to buy. Understand Land Transfer Tax in Toronto One of the biggest closing costs for Toronto buyers is land transfer tax. In Toronto, buyers generally need to account for both the Ontario provincial land transfer tax and the City of Toronto municipal land transfer tax. The City of Toronto notes that the municipal land transfer tax applies to purchases in Toronto in addition to the provincial land transfer tax. Ontario’s land transfer tax is calculated on a graduated scale. For agreements entered into after November 14, 2016, Ontario lists rates of 0.5% up to $55,000, 1.0% above $55,000 up to $250,000, 1.5% above $250,000 up to $400,000, 2.0% above $400,000, and 2.5% above $2,000,000 where the land contains one or two single-family residences. Toronto has also introduced new graduated municipal land transfer tax rates for high-value residential properties containing one or two single-family residences, effective April 1, 2026. Because land transfer tax depends on the purchase price, it is important to calculate it before you make an offer. Your lawyer will confirm the exact amount owing before closing, but you should have an estimate early in the buying process. First-Time Buyer Rebates Can Help The good news is that first-time home buyers may qualify for rebates. For eligible first-time home buyers, the City of Toronto offers a municipal land transfer tax rebate of up to $4,475. Ontario also provides a first-time homebuyer land transfer tax refund, with the maximum refund listed at $4,000. However, eligibility matters. According to the City of Toronto, to qualify for the municipal rebate, a first-time purchaser must be at least 18 years old, must occupy the home as their principal residence within nine months, cannot have previously owned a home anywhere in the world, and must be a Canadian citizen or permanent resident, subject to the City’s rules. This is where some buyers get caught off guard. If you owned property outside Canada, you may not qualify as a first-time buyer for these rebates. If you are buying with someone else who has owned property before, your rebate may also be affected. If a parent is going on title to help you qualify, that can also change the rebate calculation. Before you rely on any rebate, speak with your lawyer and mortgage professional so you understand exactly what applies to your situation. Land Transfer Tax Cannot Be Rolled Into Your Mortgage One important thing to know is that land transfer tax is paid on closing. It is not typically something you can simply roll into your mortgage. That means you need to have the money available in addition to your deposit and down payment. For many first-time buyers, this is one of the biggest surprises. You may have saved carefully for your down payment, only to realize that land transfer tax, legal fees, moving costs, and adjustments also need to be paid. That is why it is important to budget for closing costs early. Legal Fees and Title Insurance Another cost to prepare for is your lawyer’s fee. Your real estate lawyer helps with the legal side of the transaction, including reviewing documents, handling funds, registering the property, and making sure the closing is completed properly. Legal fees often include title insurance. Title insurance can help protect you if there are certain title-related issues with the property after closing. Your lawyer can explain what is covered and why it is recommended. The exact cost can vary, so ask your lawyer for an estimate

This week, I had the opportunity to show a beautiful home in Leaside. Interestingly, it hadn’t even hit the market yet. The sellers were planning to wait until the fall because the home they had purchased doesn’t close until November, and, like many families in Leaside, they assumed summer wasn’t the ideal time to sell while so many people are away at cottages. The home was impressive; four bedrooms, four bathrooms, beautifully renovated from top to bottom, with a walk-out lower level that felt more like another floor of the house than a basement. So what was the asking price? Here’s the interesting part. They listed it for exactly what they paid in 2024: $2.75 million. The property was offered exclusively first, and the listing agent reached out to a small group of Realtors to let us know it was available. After fewer than five showings, it sold at the asking price. Why? It certainly helped that the home showed beautifully, but I think the biggest reason was that the sellers understood today’s market. They weren’t trying to chase yesterday’s prices or test the market. They priced the home where buyers saw value, and the result was a straightforward sale. That reminded me of another house I mentioned a few weeks ago. It was initially listed at $1.99 million with an offer date, received no offers, was then increased to $2.295 million, and has now been reduced to $2.149 million. It’s a fantastic home, but it lacks secure parking, making it a tougher sell for many buyers. Even great homes need to be priced with today’s buyers in mind. One of the biggest lessons we’re seeing this year is that every market has its own story. Detached homes in sought-after neighbourhoods like Leaside are very different from the condo market, where buyers have an abundance of choice and considerably more negotiating power. There isn’t one Toronto market, there are dozens of micro-markets, each behaving a little differently. If you’re wondering what your home might be worth, or what buying or selling looks like in your neighbourhood today, we’d be happy to share what we’re seeing on the ground. And if you’d like to buy or sell, please call Davelle. My First Home: How to Buy Smart in Toronto Know someone who talks about buying a home “someday”? Forward them a copy of our new My First Home magazine. It covers what to know, where to look, and how to buy smart in Toronto. Want to Make This Market Work for You? As always, if you have questions about the market, or would like an updated home evaluation, we’re here to help. For Sale: Beautiful Loft-Style Junior 1-Bedroom Condo (508 Wellington Street West #401) Some addresses put you in the city. Others put you at the center of it. Welcome to 508 Wellington, a beautifully furnished loft-style junior one-bedroom in one of Toronto’s most coveted boutique buildings. Soaring ceilings and oversized windows create an airy, light-filled space, while the thoughtfully designed layout makes everyday living feel effortless. For Sale: Beautiful 3-Bedroom Family Home (2 Bettina Pl) Space to spread out. Space to come together. And a backyard that feels like your own private retreat. This beautifully updated family home offers 3 bedrooms, 4 bathrooms, and the kind of thoughtful layout that gives everyone room to breathe. A welcoming living room at the front of the home creates the perfect spot to gather with guests, while the open-concept kitchen, dining, and family room—with cozy gas fireplace—becomes the true heart of the home. For Sale: Bright 1-Bedroom Condo in Corktown, Toronto (60 Tannery Rd #516) Step into a sunlit living and dining space with clean sightlines and effortless flow. The open-concept kitchen keeps you connected – prep dinner, catch your favourite show, and take in the view all at once.

This week, we noticed something interesting in our neighbourhood. A detached 4-bedroom, 3-bathroom home was listed at $1.998 million and held offers for a week. In years past, that might have been enough to attract multiple bids. This time, it wasn’t. We went to see the house and, honestly, it has a lot going for it. It’s detached, sits on a 25-foot lot, has a large backyard, a beautiful modern kitchen, multiple living spaces, and a spacious primary bedroom with a wall of closets and a lovely ensuite. So what’s missing? Parking. The home has a mutual driveway and the next owner will most likely need to rely on street parking. It may sound like a small thing, but when buyers are spending more than $2 million, details matter. For some buyers, a private parking space isn’t a nice-to-have—it’s a must-have. The property has since been relisted at $2.295 million. It’s a beautiful home and I’m sure it will eventually find its buyer, but it’s a reminder that today’s buyers are being selective. They have choices, they’re taking their time, and they’re placing a premium on the features that matter most to them. At our sales meeting this week, we had Jason Friesen from Outline Financial share some insights into what is happening in the mortgage world. The Bank of Canada held rates steady again for the fifth consecutive meeting. The economy is sending mixed signals. Growth has slowed, but inflation remains slightly above target, which is making the Bank cautious about making any changes. For now, most experts expect rates to remain where they are when the Bank meets again in July. What I found most interesting was how borrowers are responding. Over the last couple of years, many buyers gravitated toward variable-rate mortgages because they expected rates to keep falling. That’s changing. More borrowers are now locking into fixed-rate mortgages, particularly 3-year terms. The thinking is fairly simple. Fixed rates have become more attractive, the Bank of Canada appears to be in a holding pattern, and many people prefer the certainty of knowing exactly what their payments will be for the next few years. It’s also worth noting that today’s buyers have more choices than they’ve had in a long time. Inventory remains high in many parts of the market, especially condos, and buyers are taking advantage of the opportunity to negotiate. We’re seeing people ask for longer condition periods, negotiate harder on price, and take the time to make thoughtful decisions. That’s very different from the market we experienced a few years ago. Whether it’s a missing parking spot on a $2 million home or choosing between a fixed and variable mortgage, buyers are taking a closer look at the details before making a decision. In many ways, that’s what defines today’s market. Patience, preparation, and careful decision-making are winning the day. Don’t forget, if you need to buy or sell, please call Davelle. My First Home: How to Buy Smart in Toronto Know someone who talks about buying a home “someday”? Forward them a copy of our new My First Home magazine. It covers what to know, where to look, and how to buy smart in Toronto. Want to Make This Market Work for You? As always, if you have questions about the market, or would like an updated home evaluation, we’re here to help. For Sale: Beautiful Loft-Style Junior 1-Bedroom Condo (508 Wellington Street West #401) Some addresses put you in the city. Others put you at the center of it. Welcome to 508 Wellington, a beautifully furnished loft-style junior one-bedroom in one of Toronto’s most coveted boutique buildings. Soaring ceilings and oversized windows create an airy, light-filled space, while the thoughtfully designed layout makes everyday living feel effortless. For Sale: Beautiful 3-Bedroom Family Home (2 Bettina Pl) Space to spread out. Space to come together. And a backyard that feels like your own private retreat. This beautifully updated family home offers 3 bedrooms, 4 bathrooms, and the kind of thoughtful layout that gives everyone room to breathe. A welcoming living room at the front of the home creates the perfect spot to gather with guests, while the open-concept kitchen, dining, and family room—with cozy gas fireplace—becomes the true heart of the home. For Sale: Bright 1-Bedroom Condo in Corktown, Toronto (60 Tannery Rd #516) Step into a sunlit living and dining space with clean sightlines and effortless flow. The open-concept kitchen keeps you connected – prep dinner, catch your favourite show, and take in the view all at once.

The Bank of Canada announced its latest rate decision this week and, as expected, nothing changed. This marks the fifth consecutive rate hold. It’s funny how sometimes these announcements feel like must-watch events, and other times you barely pay attention because everyone already knows what the outcome will be. What I’m hearing from buyers right now is that rates aren’t necessarily the biggest factor holding them back. It’s confidence. Many are waiting for more certainty before making a move. The irony, of course, is that today’s market offers something buyers haven’t had in years: choice, negotiating power, and time to make decisions. On a completely different note, FIFA has become a hot topic around our office. At this week’s sales meeting, our manager asked us what our plans are for working during the tournament. What he really meant was: how are we going to navigate downtown showings, open houses, road closures, and the expected traffic chaos? The honest answer is that we’ll simply need to budget more time. Some neighbourhoods, such as Liberty Village, are expected to be particularly challenging, with residents requiring access passes during certain periods. It will certainly make getting around downtown more interesting than usual. The good news is that the disruption will be relatively short-lived, wrapping up in mid-July. Until then, we’ll be learning alongside everyone else and I’ll be sure to share some of the more entertaining stories from the front lines in future newsletters. If you’re planning to buy, sell, or simply venture downtown over the next few weeks, wish us luck. We may need it. My First Home: How to Buy Smart in Toronto Know someone who talks about buying a home “someday”? Forward them a copy of our new My First Home magazine. It covers what to know, where to look, and how to buy smart in Toronto. Want to Make This Market Work for You? As always, if you have questions about the market, or would like an updated home evaluation, we’re here to help. For Sale: Beautiful Loft-Style Junior 1-Bedroom Condo (508 Wellington Street West #401) Some addresses put you in the city. Others put you at the center of it. Welcome to 508 Wellington, a beautifully furnished loft-style junior one-bedroom in one of Toronto’s most coveted boutique buildings. Soaring ceilings and oversized windows create an airy, light-filled space, while the thoughtfully designed layout makes everyday living feel effortless. For Sale: Beautiful 3-Bedroom Family Home (2 Bettina Pl) Space to spread out. Space to come together. And a backyard that feels like your own private retreat. This beautifully updated family home offers 3 bedrooms, 4 bathrooms, and the kind of thoughtful layout that gives everyone room to breathe. A welcoming living room at the front of the home creates the perfect spot to gather with guests, while the open-concept kitchen, dining, and family room—with cozy gas fireplace—becomes the true heart of the home. For Sale: Bright 1-Bedroom Condo in Corktown, Toronto (60 Tannery Rd #516) Step into a sunlit living and dining space with clean sightlines and effortless flow. The open-concept kitchen keeps you connected – prep dinner, catch your favourite show, and take in the view all at once.

One of the questions we get asked most often is, “How is the market?” The truth is that there isn’t one market right now. There are several. In the past few months, we’ve seen some homes sit on the market for weeks with very little activity, while others have attracted multiple offers and sold quickly. So what’s the difference? Price The biggest factor is almost always price. Buyers today are extremely educated. With so much information available online, they know what similar homes have sold for and they’re quick to recognize when a property is overpriced. In a market with more inventory, buyers have options. If a home is priced too aggressively, many will simply move on to the next one. Presentation The homes that tend to perform best are the ones that show well from day one. Professional photography, staging, decluttering, fresh paint, and small repairs can make a significant difference. Buyers often make an emotional decision within seconds of walking through the front door. First impressions matter. Property Type Not all segments of the market are moving at the same pace. For example, many areas of the condo market currently have a larger supply of listings, which means buyers have more choice and sellers face more competition. Meanwhile, well-priced freehold homes in desirable neighbourhoods can still attract significant interest. Location Still Matters Certain neighbourhoods continue to be in high demand because of schools, transit, walkability, parks, and lifestyle amenities. Buyers are often willing to compete for the right home in the right location. Buyer Psychology Perhaps the most overlooked factor is buyer psychology. When a home is perceived as good value, buyers act. They book showings quickly, tell their friends, and sometimes compete with one another. When buyers feel a home is overpriced, they often wait. They assume a price reduction is coming and adopt a “let’s see what happens” mentality. The Bottom Line In today’s market, sellers don’t need to be perfect, but they do need to be realistic. The homes that are selling are typically the ones that combine strong presentation, strategic pricing, and an understanding of what today’s buyers are looking for. Real estate isn’t just about what a home is worth—it’s about what buyers are willing to pay for it today. Understanding that difference can save sellers both time and money. If you’re thinking about selling and would like an honest assessment of where your home fits in today’s market, we’re always happy to help. Have a great week and if you need to buy or sell, please call Davelle. My First Home: How to Buy Smart in Toronto Know someone who talks about buying a home “someday”? Forward them a copy of our new My First Home magazine. It covers what to know, where to look, and how to buy smart in Toronto. Want to Make This Market Work for You? As always, if you have questions about the market, or would like an updated home evaluation, we’re here to help. For Sale: Beautiful Loft-Style Junior 1-Bedroom Condo (508 Wellington Street West #401) Some addresses put you in the city. Others put you at the center of it. Welcome to 508 Wellington, a beautifully furnished loft-style junior one-bedroom in one of Toronto’s most coveted boutique buildings. Soaring ceilings and oversized windows create an airy, light-filled space, while the thoughtfully designed layout makes everyday living feel effortless. For Sale: Beautiful 3-Bedroom Family Home (2 Bettina Pl) Space to spread out. Space to come together. And a backyard that feels like your own private retreat. This beautifully updated family home offers 3 bedrooms, 4 bathrooms, and the kind of thoughtful layout that gives everyone room to breathe. A welcoming living room at the front of the home creates the perfect spot to gather with guests, while the open-concept kitchen, dining, and family room—with cozy gas fireplace—becomes the true heart of the home. For Sale: Bright 1-Bedroom Condo in Corktown, Toronto (60 Tannery Rd #516) Step into a sunlit living and dining space with clean sightlines and effortless flow. The open-concept kitchen keeps you connected – prep dinner, catch your favourite show, and take in the view all at once.

Key Takeaways at a Glance 53 Sold listings analyzed across midtown Toronto $370K – $1.1M Sold price range $333 – $1,588/mo Maintenance fee range Smallest condos (under 500 sqft) command the highest price per sqft at $1,567/sqft — nearly double the rate of larger units The 600–699 sqft range is the most active, representing 32% of all transactions (17 of 53 listings) Maintenance fees scale sharply with size: from $361/mo (micro-units) to $1,333/mo (1,200+ sqft) The most maintenance-efficient size tier is 500–599 sqft at just $0.83/sqft/month Where Are Buyers Active? Listing Distribution by Size The midtown Toronto condo market remains concentrated in the 600–699 sqft range, which accounts for 32% of recent transactions. Notably, this dataset includes a broader spread of larger units — nearly a quarter of listings are 700 sqft or more. Average Sold Price by Square Footage Range Sold prices rise broadly with unit size, from an average of $391K for micro-units under 500 sqft to $944K for units in the 1,000–1,199 sqft range. The jump from 800–899 sqft ($764K) to 900–999 sqft ($805K) is modest, while the 1,200–1,399 sqft tier averages $855K — slightly below the 1,000–1,199 tier — reflecting the limited sample and the mixed vintage of larger units in this market. Key Insight The sharpest price jump occurs between the 600–699 sqft tier ($543K) and the 700–799 sqft tier ($645K) — a $102K gap for just 100 additional square feet. Price per SqFt: The Small-Unit Premium Micro-units under 500 sqft trade at a significant premium of $1,567/sqft — nearly double the rate seen in the 600–699 sqft tier at $836/sqft. After that initial drop, price per sqft stabilizes in a relatively tight band of $836–$899/sqft across the 500–899 sqft range, before declining again for the largest units (1,200+ sqft at $658/sqft). Key Insight The 1,000–1,199 sqft tier averages $1,055/mo in fees — but one outlier unit at 18 Merton St carries $1,588/mo, underscoring how building vintage and amenities can dramatically affect carrying costs. Wide Variability Within Each Size Tier Average fees tell only part of the story. Within each size tier, maintenance fees can vary by hundreds of dollars per month — driven by building age, amenities, and reserve fund health. The 1,000–1,199 sqft tier shows the widest spread: from $444/mo to $1,588/mo. * Spread = Maximum minus Minimum fee within the tier Most Maintenance-Efficient Size: 500–599 SqFt When maintenance fees are measured per square foot per month, the 500–599 sqft tier emerges as the most cost-efficient at just $0.83/sqft/mo, closely followed by 600–699 sqft at $0.85/sqft/mo. Key Insight The 500–699 sqft range offers the best balance of space, price, and carrying costs — making it the sweet spot for buyers focused on long-term affordability. How Maintenance Fees Relate to Sold Price There is a general positive correlation between maintenance fees and sold price — but the relationship is loose, with significant outliers driven by building age and amenity level. The most active tier (600–699 sqft) sold for $420K–$648K with fees ranging from $420/mo to $843/mo — a $423/mo spread for units of the same nominal size. The highest-fee unit, 18 Merton St #302 (1,068 sqft), carries $1,588/mo in fees — reflecting its boutique two-storey layout and full-service amenities in an older building. Best value in the 1,000+ sqft category: 8 Hillsdale Ave E #1732 sold for $999K with only $444/mo in fees — a newer building with significantly lower carrying costs. What This Means for Buyers & Investors 1. The 600–699 sqft tier remains the most liquid With 32% of all transactions (17 of 53), the standard one-bedroom remains the dominant trade in Midtown. This size offers the broadest buyer pool and fastest resale potential. The market is more evenly spread across sizes than in prior periods, however, signalling growing demand for larger units. 2. Micro-units carry a steep price premium Sub-500 sqft units average $1,567/sqft versus $836/sqft for the 600–699 tier — an 88% premium per square foot. Unless the entry price is a hard constraint, buyers get substantially more space and better long-term value by moving up to the 500–699 sqft range. 3. Always scrutinize the maintenance fee Within the 600–699 sqft tier alone, fees range from $420/mo to $843/mo — a difference of $5,076/year. Over a 5-year hold, that’s over $25,000 in additional carrying costs. Building age, reserve fund health, and included utilities are critical factors that the listing price alone does not reveal. Data Notes & Methodology DATA SOURCE PlatformREALM MLS shared portal — 53 unique sold condo listings GeographyMidtown Toronto: Yonge-Eglinton corridor, Mount Pleasant West, Davisville Village Sale DatesApproximately late 2024 through May 2026 Property TypeCondo apartments and stacked townhomes; all sold (not listed) transactions METHODOLOGY Square FootageTRREB-reported sqft range used for tier classification; midpoint of each range used for $/sqft calculations Maintenance Fees Monthly maintenance fees extracted directly from individual listing detail pages as reported by listing agents AveragesSimple arithmetic means used for all averages; medians reported separately for fee variability analysis LIMITATIONS Sample SizeThe 900–999 sqft and 1,200–1,399 sqft tiers each contain only 2 listings — treat those averages as directional, not definitive Excluded Listings0 listings excluded from the main analysis; all 53 listings had valid sold price and sqft range data Special Assessments One-time special assessments and reserve fund deficiencies are not captured in the reported maintenance fee figures

We finally had a few warmer days this past week and it definitely felt like the city came alive again. Patios started filling up, parks were busy, and for the first time in a while it actually felt like spring in Toronto. This week I spent some time digging through Outline Financial’s latest Mortgage & Economic Update and there were a few things that really stood out to me, especially as they relate to the Toronto real estate market. First, the Bank of Canada once again decided to hold its overnight rate steady at 2.25%, marking the fourth rate hold in a row. Prime remains at 4.45%. While many people were hoping rate cuts would continue this year, the conversation has shifted a little. Rising oil prices, global uncertainty, and ongoing trade tensions are making the Bank of Canada more cautious right now. At the same time, Canada’s unemployment rate has now climbed to 6.9%, which is higher than expected, while job losses continue to add up nationally. Inflation also ticked up again to 2.8%, although much of that increase was tied to higher gas prices. So what does all of this mean for real estate? Honestly, I think it explains why so many buyers are still in “wait and see” mode. There’s a lot of uncertainty in the economy right now and people are trying to figure out where rates, jobs, and affordability are all heading next. But here’s the interesting part… Even though buyers are nervous, affordability has quietly improved quite a bit compared to a few years ago. According to the report, the average GTA condo apartment price has fallen from approximately $726,000 in April 2023 to about $636,000 today. Mortgage rates have also improved from roughly 5.29% down to around 4.29%. That means the estimated monthly carrying cost on the average condo is now significantly lower than it was a few years ago.We’re also continuing to see more buyers choosing fixed-rate mortgages again instead of variable rates, likely because people simply want predictability right now. Another thing we’re watching closely is the condo market — particularly pre-construction. The report discussed rising mortgage arrears, increasing insolvencies, and concerns around condo defaults as some buyers who purchased years ago are now facing very different financing conditions at closing. And yet despite all of that uncertainty, there are still pockets of the market performing very well. Well-priced houses in desirable neighbourhoods are still attracting strong attention and in some cases multiple offers. Condos continue to require more patience and negotiation, but buyers today have something they haven’t had in years: options, leverage, and time to think. As I keep saying lately, this market isn’t impossible, it’s just different.The buyers and sellers who are doing the best right now are the ones making thoughtful, informed decisions instead of emotional ones. And honestly? That’s probably healthier for the market long term. Have a great week everyone. If you know of anyone who needs to buy or sell, please make sure they call Davelle. My First Home: How to Buy Smart in Toronto We recently launched My First Home, a free online magazine designed to help first-time buyers navigate Toronto’s market with confidence. Click here to read it and feel free to share it with anyone who might benefit: Want to Make This Market Work for You? As always, if you have questions about the market, or would like an updated home evaluation, we’re here to help. For Sale: Beautiful 3-Bedroom Family Home (2 Bettina Pl) Space to spread out. Space to come together. And a backyard that feels like your own private retreat. This beautifully updated family home offers 3 bedrooms, 4 bathrooms, and the kind of thoughtful layout that gives everyone room to breathe. A welcoming living room at the front of the home creates the perfect spot to gather with guests, while the open-concept kitchen, dining, and family room—with cozy gas fireplace—becomes the true heart of the home. For Sale: Bright 1-Bedroom Condo in Corktown, Toronto (60 Tannery Rd #516) Step into a sunlit living and dining space with clean sightlines and effortless flow. The open-concept kitchen keeps you connected – prep dinner, catch your favourite show, and take in the view all at once.