Hello all,

I am looking to invest in a home and I have a few questions.
Both my husband and myself work in downtown Toronto. I prefer a townhouse but a townhouse in downtown Toronto is really expensive. I have a budget of around $200,000 and am wondering whether it would be better to buy a high rise condo in downtown and save the daily commute or go a bit further and buy a townhouse in Mississauga.
I need to weigh the pros and cons regarding
1) Time spent in commuting to work
2) Resale value or appreciation of high-rise condo vs condo townhouse
3) Maintenance fees

Any inputs regarding the same will be greatly appreciated.

Thanking you all in advance

Rajog

-----------------------------------------------------------------

Hi Rajog

You will first need to determine your objective before you purchase a home.

If the main objective is convenience, then by all means go for a high rise condo in the downtown area. Be advised though that in 200K, you will probably get something between 500-750 sq ft only. If you still prefer convenience and prefer to be on the subway line, then there are a few choices in the Don Mills/Shephard Don Mill/Eglinton area as well. the price could still be an issue here as the properties would be slightly above the 200K. Other area where you may find property within your budget would be in Mississauga around Sq. One. Here you can also choose condos on Hillcrest as they are just on the GO...so the convenience of commuting to Downtown, with the advantages of life in the suburb.

Another factor you have to consider is affordability. Condos and Condo Townhomes have maintenance fee and that may differ for each type and unit. Maintenance fee may or may not include some or all utilities.

Freehold townhomes would cost you more than your budget in most of the places.

-----------------------------------------------------------------
Rajeev Narula, Broker, REALTOR®
ACE TEAM REALTY INC., Brokerage
10 Kingsbridge Garden Circle, Suite 704
(Opp Square One - HWY10/403)
Mississauga, ON L5R 3K6
Bus: 1-888-355-3155 Ext. 300
Fax: 1-888-443-3155
Email:
Web: http://www.RAJEEV.ca" rel="nofollow">LINK

Buying a condo versus a home is definetly a lifestyle choice as well as an investment choice. The financial differences are also significant. Like you said, living in a condo is not unlike renting an apartment but you gain the benefits of home ownership with appreciation of value and tax write-offs. A condo though can feel like living in an apartment with neighbors on top of each other, etc. While a home affords you more privacy, a yard, and more choices for customizing your home to make it more personal (a condo will have restrictions for certain things and you have to have approval of the condo board to say add a satellite dish, make an addition, etc.). So besides the investment side of things, a big part of your decision should be the lifestyle issue.

A condo will have Home Owners Dues/Management fees (not deductible) so the ownership cost increases compared to a home which doesn't have HOA dues (unless your home is located in a gated community which due have small HOA dues). On the flip side though, a home will have higher energy costs, maintenance issues, and yardwork and related expenses. If your roof leaks on a home you pay for it. If the condo roof leaks, the HOA pays to fix it, etc. So again, there are other issues to consider when deciding between a home or a condo.

It is true that in most cases, homes appreciate faster than condos.... That's the most info I can give to you and then depending on what your needs are you make your final decision.

If you do need help with your mortgage then contact me as i specialize in residential financing and can beat any banks in rates.

Thank you Rajeev and Aly for your replies
Personally, as a lifestyle choice, I would prefer a house over a highrise condo anytime but considering my budget and the convenience factor I was thinking of a condo apt in downtown. But I think I would like to settle for a condo townhouse in a good location preferably close to the subway.
Are there any such areas which I can consider. I can extend my budget to max $250,000. I was looking at Markham, Square one in Mississauga or any other location which has a fair mix of desis and goras

As regards fixing of roofs and other outdoor expenses, would a condo townhouse roof be fixed by the management or would I have to fix it myself?

Cheers

Rajog

-----------------------------------------------------------------

The maintenance fee you pay goes towards fixing the outside repairs. All repairs are common areas. You should ask the mgmt company when looking at a particular building as they will have the info you seek.

The only time that is not the case if its a freehold townhouses (not common for condo's) ...which means you are resposible for your unit.

Hope this helps

Quote:

---

Originally posted by rajog

Thank you Rajeev and Aly for your replies
Personally, as a lifestyle choice, I would prefer a house over a highrise condo anytime but considering my budget and the convenience factor I was thinking of a condo apt in downtown. But I think I would like to settle for a condo townhouse in a good location preferably close to the subway.
Are there any such areas which I can consider. I can extend my budget to max $250,000. I was looking at Markham, Square one in Mississauga or any other location which has a fair mix of desis and goras

As regards fixing of roofs and other outdoor expenses, would a condo townhouse roof be fixed by the management or would I have to fix it myself?

Cheers

Rajog

---

Quote:

---

Originally posted by ghar_ke_sapne

Quote:

---

Originally posted by rajog

Thank you Rajeev and Aly for your replies
Personally, as a lifestyle choice, I would prefer a house over a highrise condo anytime but considering my budget and the convenience factor I was thinking of a condo apt in downtown. But I think I would like to settle for a condo townhouse in a good location preferably close to the subway.
Are there any such areas which I can consider. I can extend my budget to max $250,000. I was looking at Markham, Square one in Mississauga or any other location which has a fair mix of desis and goras

As regards fixing of roofs and other outdoor expenses, would a condo townhouse roof be fixed by the management or would I have to fix it myself?

Cheers

Rajog

---

Bud, there is another aspect to consider in your home road map, returns. What would you get in 5 yrs were you to sell that condo or townhouse, how much would you recover by way of equity and premium. Any agent worth his salt will be able t that RoI model for you.

---