If you’ve ever been in the situation where you need to rent a new condo in the city you’ve probably noticed how exorbitantly expensive rent has become. The CBC is reporting that the average cost to rent a condo in the GTA has risen close to 11 per cent in the past year. The reason for the increase in rent is due to tougher mortgage rules that have eliminated many new buyers from entering the GTA housing market.
A report from Urbanation that CBC site states that the average monthly rent for a condo has risen by $214 and is now at a staggering $2,206 a month. That rent is even higher if you only include rents in Toronto proper which has hit an average rental price of $2,432.
With a surplus of residents looking to rent instead of buying, rental costs have soared. As previously noted the CBC article highlights the point that buying in the city is just too difficult for many Toronto residents. An average buying cost of a one bedroom condo in the GTA is set to cost $558,000 in the first half of 2018.
Last year a buyer would need a salary of $77,000 a year to purchase that condo. Fast forward a year later, with the new regulations – assuming the buyer would have to come up with 20 per cent down payment – that same condo now requires an annual salary of $100,000.