Rent versus buying remains a contentious issue among homebuyers, with no clear winner, especially considering inflation and location.
Only 9 out of 35 Toronto neighbourhoods have average monthly mortgage payments lower than average rent, making renting the most affordable option in 77% of them. The York Mills—Bridle Path-Hoggs Hollow neighbourhood offers the most affordable option, with an average mortgage payment of $6,273.
Some neighborhoods are more budget-friendly to rent than buy, such as Mount Pleasant, Mimico, Willowdale East, Scarborough Village, Stonegate and Queensway, and Birchcliff. Black Creek and York University Heights offer the most budget-friendly mortgage payment at $2,281, which is $400 lower than the average rent. In 17% of the analyzed neighborhoods, the difference between buying and renting is within $100.
The Willowridge-Martingrove-Richview neighborhood shows a significant price difference in favor of buying-over-renting, with an average mortgage payment $549 less than the average rent.
