FAQs
Straight answers for buyers, sellers and renters in Toronto.
Buying your first condo, selling the family home, renting in a new city or getting into pre-construction? These are the questions I hear most.
Pick a topic to jump in.
Buying a home in Toronto
From first condo to forever home, here is what to know before you start looking.
Where do I start?
With two conversations: one with a mortgage specialist to get pre-approved, and one with me to talk about what you want your life to look like. Knowing your real budget before you fall in love with a place saves a lot of heartbreak. From there I set up a live MLS search and we start viewing.
How much do I need for a down payment?
For homes under $1.5 million, the minimum is 5% of the first $500,000 and 10% of the portion above that. At $1.5 million and up, the minimum is 20%. With less than 20% down you'll need mortgage default insurance, which is added to your mortgage.
Example: on an $800,000 condo, the minimum is $25,000 + $30,000 = $55,000.
What closing costs should I budget for?
In Toronto, the biggest one is land transfer tax, which you pay twice: once to Ontario and once to the City. On an $800,000 home that's roughly $25,000 in total before any rebate. Add legal fees, title insurance, a home inspection, adjustments for prepaid property tax or condo fees, and moving costs. A safe rule of thumb is 3% to 4% of the price on top of your down payment, less if you qualify for first-time buyer rebates.
What help is there for first-time buyers?
Quite a lot, and you can stack it:
- Land transfer tax rebates: up to $4,000 from Ontario and up to $4,475 from Toronto, for a combined $8,475.
- FHSA: save up to $8,000 a year ($40,000 lifetime), tax-deductible going in and tax-free coming out for your first home.
- RRSP Home Buyers' Plan: withdraw up to $60,000 from your RRSP, repaid over time.
- 30-year amortization: available to first-time buyers on insured mortgages, which lowers your monthly payment.
- New-home HST relief: if you're buying brand new, see my HST Rebate page.
Do I need to sign an agreement with you?
Yes. Since December 2023, Ontario requires a written buyer representation agreement before a REALTOR® can work for you. It sets out what I'll do, for how long, the area or property type, and how I'm paid. I'll walk you through it line by line, and it can be as specific as you like.
Who pays your fee when I buy?
In most Toronto resale purchases, the seller's listing offers to pay the buyer's agent, so my fee is usually covered. The details are set out in our agreement, and I'll always tell you upfront if there's any difference you'd need to cover.
Downtown condo or Midtown home?
It depends on your stage of life, and I help clients with both. Downtown condos suit people who want to walk to work, transit and everything in between. Midtown neighbourhoods like Bedford Park and Lawrence Park offer houses, great schools, parks and a quieter pace while staying on the subway line. I live in Bedford Park and raise my kids here, so I'm happy to share what day-to-day life is really like.
I'm new to Canada. Can I still buy?
Often, yes. Many lenders have newcomer mortgage programs that work with limited Canadian credit history. Depending on your status, extra taxes or restrictions may apply, so we'll check your situation with a lawyer and lender before you shop. I immigrated to Canada myself, so I know how much it means to put down roots here.
Can you help me buy an investment property?
Absolutely. I'm an investor myself and work with many investor clients. We'll look at realistic rent, carrying costs, tenant demand and resale potential, whether that's a resale condo, a pre-construction unit or a property with a rental suite. When you're ready, I can lease it for you too.
Selling your home
Pricing, preparing and marketing so you sell well and move on with confidence.
What is my home worth?
I'll prepare a free, no-obligation market evaluation based on recent sales of comparable homes in your building or on your street, plus what's competing for buyers right now. Online estimates can be far off, especially for houses with renovations or unique features.
When is the best time to sell?
Spring is traditionally the busiest season in Toronto, with early fall a close second. But the best time is usually when your life is ready and your home is well prepared. Less competition in quieter months can work in your favour. We'll look at current inventory in your area and decide together.
Should I renovate or stage before listing?
Big renovations rarely pay for themselves right before a sale. What does pay off: fresh paint, small repairs, decluttering, deep cleaning and good staging. I'll walk through your home and give you a short, prioritized to-do list so you spend only where it counts.
How will you market my home?
Professional photography, video and floor plans, a strong MLS listing, open houses where they make sense, and promotion to my audience on Instagram, TikTok, YouTube and LinkedIn. I also reach out directly to agents and buyers who are actively looking in your area.
Should I hold an offer date or take offers anytime?
It depends on the market and your home. An offer date can create competition when demand is strong. In a balanced market, accepting offers anytime keeps serious buyers from walking away. I'll recommend a strategy based on what similar homes nearby are doing right now.
Should I buy first or sell first?
Selling first gives you certainty about your budget. Buying first means you won't be rushed into your next home. Many families do both at the same time with carefully matched closing dates, or use bridge financing to cover the gap. We'll map out the option that fits your risk comfort.
What does it cost to sell?
The main costs are real estate commission, legal fees, and any mortgage discharge fee or prepayment penalty from your lender. You might also spend on staging, small repairs and moving. I'll give you a net proceeds estimate before we list so there are no surprises.
I own a rental. Can I sell it with a tenant in place?
Yes. You can sell it tenanted, which appeals to investor buyers, or a buyer who plans to live there can serve proper notice to end the tenancy for their own use. Tenants have rights around showings and notice, so the timing and paperwork matter. This is something I handle often for investor clients.
Do I pay tax when I sell?
If the home was your principal residence for every year you owned it, the gain is generally tax-free. Investment properties and second homes are usually subject to capital gains tax. Please confirm your situation with an accountant before you list.
Renting in Toronto
For tenants looking for the right home, and landlords looking for the right tenant. More detail on my Leasing Services page.
Does it cost me anything to use a REALTOR® to rent?
Usually not. On most MLS rentals in Toronto, the landlord pays the commission, including the tenant agent's share. I'll confirm this on any unit before you apply.
How early should I start looking?
About 30 to 60 days before you want to move. Good units can lease within days, so it helps to have your documents ready before you start viewing. Most Toronto leases start on the 1st of the month.
What do I need to apply?
Photo ID, an employment letter and recent pay stubs, a recent credit report, previous landlord references, and a completed rental application, which I prepare with you. A complete package the first time makes a real difference when there are multiple applicants.
How much can a landlord ask for upfront?
In Ontario, only last month's rent (no more than one month) and a refundable key or fob deposit. Damage deposits, pet deposits and application fees aren't allowed. First month's rent is due at the start of the tenancy as normal.
I'm new to Canada with no credit history. Can I still rent?
Yes. A guarantor, proof of funds, a strong employment or school letter and references from your previous country can all help. I've helped many newcomers secure their first Toronto home.
How do I avoid a rental scam?
See the unit in person or on a live video call, confirm who owns or manages it, and never send money before a lease is signed. Be wary of rent well below similar units. Every unit I show you is listed by a licensed brokerage on MLS, and if something feels off, send me the link.
Landlords: how do you find a good tenant?
Every applicant goes through identity, employment, income, credit and reference checks, verified independently rather than taken at face value. Forged documents are a growing problem in Toronto, so careful screening is your best protection. It's all done in line with the Ontario Human Rights Code.
Landlords: what rent should I ask?
I price from recently leased units in your building and area, not from listing prices or what the unit rented for two years ago. The right price leases faster and avoids costly vacant months. Ask for a free rent estimate.
Buying and selling resale homes
How offers, conditions and closings work on homes and condos that have been lived in before.
How does making an offer work?
I prepare an Agreement of Purchase and Sale with your price, deposit, closing date and any conditions, then present it to the seller's agent. The seller can accept, decline or sign it back with changes. Once everyone signs and any conditions are met, the deal is firm.
Conditional or firm offer?
A conditional offer gives you time to arrange financing, get an inspection or have a lawyer review condo documents. A firm offer has no conditions, which can win in competition but carries more risk. When you go firm, we do the homework upfront: pre-inspection, status certificate review and solid mortgage approval.
How much is the deposit, and when is it due?
In Toronto it's commonly around 5% of the price, delivered within 24 hours of acceptance. It's held in trust by the listing brokerage and goes toward your down payment on closing.
What is a status certificate?
For resale condos, it's a package from the condo corporation covering the building's finances, reserve fund, rules, any special assessments and legal issues. Your lawyer reviews it before you're committed. It's one of the most important protections a condo buyer has.
Do I need a home inspection?
For houses, I strongly recommend one. In older Midtown homes, inspectors look for things like knob-and-tube wiring, older plumbing, basement moisture and roof age. Some of these affect insurance and financing, so it's better to know before you're firm.
Can I back out after my offer is firm?
Not without serious consequences. Unlike new condos, resale purchases have no cooling-off period. Walking away from a firm deal can mean losing your deposit and being sued for the seller's losses. That's why we take care of the conditions before firming up.
How long does closing take?
Usually 30 to 90 days after the deal is firm, and it's negotiable. In between, you'll finalize your mortgage, arrange home insurance, and meet your lawyer to sign. On closing day, the lawyers exchange funds and you get the keys.
Pre-construction and new homes
Buying new from a builder, whether it's years away or ready to move in now.
Why buy pre-construction?
You lock in today's price, spread your deposit over time, choose your floor plan and finishes, and get a brand-new home with warranty coverage. It suits buyers who can plan ahead and investors with a longer time horizon.
Can I buy a brand-new condo without waiting years?
Yes. Builders often have completed or nearly completed units available. You can see the actual suite and view before you buy, move in much sooner, and sometimes take advantage of builder incentives. Ask me what's available right now.
How do deposits work?
Instead of one large deposit, you pay in instalments over the construction period, often 15% to 20% of the price for condos, spread over a year or two. Every project's structure is different, and I'll help you find one that fits your cash flow.
Is my deposit protected?
Condo deposits are held in trust, and Tarion provides deposit protection up to $20,000 on condos. Builders in Ontario must be licensed by the Home Construction Regulatory Authority (HCRA), and I check a builder's record before recommending a project.
What is the 10-day cooling-off period?
When you buy a new condo from a builder, you have 10 calendar days to cancel for any reason and get your full deposit back. The clock starts once you've received the signed agreement and the disclosure documents. Use those 10 days to have a real estate lawyer review everything.
What is interim occupancy?
In a new condo, you'll often move in before the building is officially registered. During that time you pay a monthly occupancy fee, made up of interest on the unpaid balance, estimated property taxes and common expenses. It doesn't reduce your mortgage. Once the building registers, your purchase closes and your mortgage begins.
Are there extra closing costs on new homes?
There can be, such as development charges, utility connection fees and warranty enrolment. Many of these can be capped in the agreement, and I'll point them out before you sign so your budget is realistic.
What is the HST rebate on new homes?
For agreements signed by March 31, 2027, eligible buyers of new homes can get up to $130,000 in combined HST relief. It's one of the biggest incentives new-home buyers have seen. See the details on my HST Rebate page.
What warranty comes with a new home?
New homes in Ontario come with Tarion warranty coverage: one year for workmanship and materials, two years for things like water leaks, electrical and plumbing, and seven years for major structural defects.
What is an assignment?
An assignment lets you sell your contract to another buyer before the project closes. Builders usually allow it with conditions and a fee, so I check the assignment clause before you buy. It gives you flexibility if your plans change.
Does it cost me anything to use you for pre-construction?
Generally no. The builder typically pays the agent's commission, and having your own representation can get you VIP pricing, better unit selection and someone on your side through to closing.
Madiha Khan · REALTOR®Let's figure out your next move, together.
I'm Madiha. I'm a mom of two raising my family in Toronto, an investor myself, and an immigrant who has put down roots here, so I know how big these decisions feel. Book a free call and we'll talk about where you are now, where you want to be, and the smartest way to get there.
- Free, 30 minutes
- Phone or video
- No pressure, no obligation
Prefer to reach out directly? 647.262.2300 · madiha@madihakhanrealestate.com
Last updated October 2026. This page is general information, not legal, tax or mortgage advice. Rules and programs change, so please confirm your situation with a lawyer, accountant or mortgage professional before acting.