How Much Does an Apartment Cost in Ontario? Rent & Buy Prices Explained

Ontario is one of the most talked-about housing markets in all of Canada — and for good reason. Whether you’re relocating from another province, moving out for the first time, or weighing the decision to rent versus buy, understanding what you’ll actually pay is the essential first step.

Apartment costs in Ontario vary dramatically depending on where you live, what size unit you need, and whether you’re renting or purchasing. This guide breaks down current prices, neighborhood comparisons, and practical tips so you can make a financially smart decision from the start.

Average Rent in Ontario by Apartment Size

Rental prices across Ontario span a wide range, shaped heavily by city size and proximity to major employment centers. In general, you can expect to pay about C$1,545 per month for a studio, C$1,892 for a one-bedroom apartment, and around C$2,283 for a two-bedroom apartment in Ontario. If you opt for a three-bedroom rental, you could pay C$2,687 or more.

Toronto, as the province’s largest city, skews these numbers upward significantly. As of January 2025, the City of Toronto’s average monthly rent price for an unfurnished one-bedroom saw a year-over-year drop of $120 to a new monthly average of $2,149. That said, the market is showing signs of softening.

Key Insight: The gap between turnover and non-turnover rents is substantial — a new tenant renting a one-bedroom apartment pays $2,073, while a long-term tenant in the same unit type pays $1,711 on average. Staying in your current unit can save you over $4,000 per year.

If you’re renting a condo rather than a purpose-built apartment, expect to pay more. Condo two-bedroom rents are 41% higher than purpose-built two-bedroom rents ($2,891 vs $2,046). The type of building matters just as much as the location.

It’s also worth knowing that Ontario’s annual allowable rent increase limit for 2025/2026 is 2.5%. If you’re a current tenant, your landlord cannot raise your rent beyond this amount without Landlord and Tenant Board approval. You can explore different types of apartments to better understand which unit style fits your lifestyle and budget before committing to a lease.

Average Apartment Purchase Price in Ontario

Buying an apartment — typically a condo unit in Ontario — is a major financial commitment. The price you pay depends heavily on the city and the size of the unit you’re targeting.

In the Greater Toronto Area, the market has shifted in buyers’ favor recently. With buyers benefitting from more negotiating power, the average condo apartment selling price was down by 5.1 per cent year-over-year in Q4 2025 to $652,945. Meanwhile, the median asking price for condos in Toronto is $638,000, down about 7% year-over-year, creating a more approachable entry point for first-time buyers and investors.

For specific unit sizes in downtown Toronto, the price range is still steep. A one-bedroom condo apartment in Downtown Toronto has a price tag anywhere between approximately $650,000 to $750,000 depending on the neighbourhood, square footage, and proximity to public transit. A two-bedroom condo in the same areas could be anywhere between $800,000 to over $1,100,000.

Pro Tip: The minimum down payment for condos costing $500,000 or less is 5%. For condos costing $500,000 to $999,999, the minimum down payment is 5% of the first $500,000 and 10% of the remaining balance. Budget for this carefully before you start shopping.

Outside of Toronto, prices drop considerably. For those looking to buy in Ontario, the most affordable place is in Grey Bruce Owen Sound. The average condo price there is $336,200, almost 38% below the national average. Don’t forget to account for closing costs on top of the purchase price — closing costs for a condo unit can include two real estate transfer taxes (in Toronto) and administrative fees, and are typically between 1% and 4% of the purchase price.

If you’re also curious about other big-ticket purchases or costs of living, our guide on how much it costs to build a greenhouse is a great resource for homeowners thinking about property improvements.

Cost of Renting vs. Buying in Ontario

The rent vs. buy debate is especially relevant in Ontario, where purchase prices are high but rental rates have also climbed significantly over the past decade. The right choice depends on your financial situation, timeline, and lifestyle goals.

On the renting side, you gain flexibility and avoid large upfront costs. On the buying side, you build equity over time — but you take on mortgage payments, property taxes, condo fees, and maintenance. Monthly expenses that condo owners are liable to make include monthly mortgage payments, condo fees, property tax, and insurance.

There’s a $362 per month premium (21%) for moving to a new rental unit. This gap explains why turnover rates remain relatively low despite the softening market — the financial incentive to stay in your current apartment is significant.

Important Note: If you’re currently renting and considering buying, factor in that mortgage default insurance is required when your down payment is less than 20%. Depending on the down payment you make on your new condo, you might be required to purchase mortgage default insurance. Generally, mortgage lenders require borrowers to take out mortgage default insurance if their down payment amounts to less than 20% of the purchase price.

For budget-conscious renters, making the most of your money in other areas of life matters too. Check out these 9 ways to cut your grocery costs to free up more of your monthly income for housing.

Cheapest and Most Expensive Neighborhoods in Ontario

Ontario’s housing costs are not uniform — the spread between the most affordable and most expensive areas is enormous. Knowing where to look can save you hundreds of dollars per month.

Most Affordable Cities and Areas for Renters:

• Windsor: Rents for one- and two-bedroom apartments in Windsor are usually significantly lower than in larger cities. Prices average around $1,200–$1,600 for a one-bedroom and up to $2,000 for larger apartments.
• Sarnia: Sarnia provides some of Ontario’s most affordable rental options, with average rents for apartments around $1,300 to $1,700 per month.
• Chatham-Kent: Average rents in Chatham-Kent range from $1,200 to $1,500 for a one-bedroom unit, with slightly higher rates for larger spaces.
• Thunder Bay: As of January 2026, the average one-bedroom asking rent runs about C$1,580/month, while the typical home price is around C$344,950.

Most Expensive Areas for Renters:

• Toronto Central: Within the City of Toronto proper, rents range from $1,630 in Etobicoke South to $2,163 in Toronto Central.
• Oakville: The gap between the most and least expensive zones is substantial — $785 per month between Oakville ($2,192) and Bradford ($1,407).
• Downtown Toronto: High-demand neighbourhoods like King West, Yorkville, and the Entertainment District consistently command the highest rents in the province.

Pro Tip: Some parts of Downtown Toronto are more affordable than others. In Old Town, for example, the average home price is significantly lower than in the rest of the city. The further away from the subway, the cheaper it will get — also check the eastern and western parts of Old Town to find cheaper rent.

If you’re moving to Ontario and planning to bring pets, it’s worth checking out our guide on best exotic pets for apartment living to find a companion that suits your space. And once you’re settled in, our list of urban living essentials every big city apartment must have will help you make the most of your new home.

What Affects Apartment Prices in Ontario

Several interconnected factors drive apartment costs up or down across Ontario. Understanding them helps you anticipate market shifts and negotiate more confidently.

1. Location and Proximity to Transit
Being close to a subway station, GO Train stop, or major employment hub significantly increases both rental and purchase prices. In Toronto, units within walking distance of transit lines can cost 15–25% more than comparable units in car-dependent neighborhoods.

2. Supply and Demand Dynamics
Several factors drove the 2025 shift in Toronto’s rental market: reduced immigration due to federal policy changes sharply curtailed new arrivals, particularly temporary residents and international students who are heavy users of rental housing. Ontario’s young adult population (15–34) — the primary driver of rental demand — declined. A weaker labour market, with rising unemployment especially among younger workers, limited new household formation.

3. Unit Type: Purpose-Built vs. Condo Rental
Toronto’s rental market includes both purpose-built apartments (always operated as rentals) and condominium apartments (individually owned units rented out by investors). Condo rentals tend to be pricier and more modern, while purpose-built rentals offer more stable, regulated pricing.

4. New Construction and Inventory Levels
Increased rental supply from strong construction completions added new purpose-built units. Simultaneously, a record number of newly completed condominiums entered the rental market as owners who couldn’t sell opted to lease. This has helped moderate rent growth in some areas.

5. Size, Floor Level, and Building Amenities
Condo apartments that are close to shopping centres, entertainment, schools, etc., tend to cost more. Buildings with concierge service, rooftop terraces, gyms, and visitor parking also command a premium over basic apartment blocks.

6. Ontario Rent Increase Guidelines
The rent increase guideline is the maximum percentage a landlord can raise rent annually in Ontario without Landlord and Tenant Board approval. It is set by the provincial government based on CPI. This protects existing tenants but can create large gaps between what long-term and new tenants pay.

Common Mistake: Many renters overlook the true cost of a new unit by only comparing monthly rent. Factor in utilities, parking, and internet — costs that are often included in older purpose-built buildings but billed separately in newer condo rentals.

How Ontario Compares to Other Major Cities

Ontario’s apartment costs — especially in Toronto — sit near the top of the Canadian scale, but the picture varies when you compare specific cities.

Ontario remains Canada’s most expensive rental province, primarily driven by Toronto’s significant influence on provincial averages. However, British Columbia is close behind. British Columbia follows closely behind Ontario in rental costs, with Vancouver leading the charge at $2,830 for one-bedroom apartments.

A $70,000 salary affords comfortable one-bedroom apartments in Edmonton or Montreal but requires shared accommodation or significant commutes in Vancouver or Toronto. If affordability is your top priority, smaller Ontario cities like Windsor or Thunder Bay offer a compelling alternative to the GTA.

Canada’s rental market has entered a cooling phase after unprecedented growth. National asking rents decreased by 1.5% annually in June 2025, marking a significant shift from previous years when rents increased by 8–12% annually. This is encouraging news for renters across Ontario.

For a global perspective on apartment costs, you might find it useful to compare with our breakdown of how much an apartment costs in Kathmandu.

Can Foreigners Buy an Apartment in Ontario?

This is one of the most important questions for international buyers, and the rules have changed significantly in recent years. The short answer: it’s restricted but not entirely off the table.

In 2023, Canada passed the Prohibition on the Purchase of Residential Property by Non-Canadians Act, which went into effect January 1, 2023. Its goal was to restrict foreign competition in heated housing markets. The ban was originally set to expire in 2025, but in early 2024 the government extended it to January 1, 2027.

The ban means that non-Canadians (i.e., not citizens or permanent residents) cannot purchase property in most residential areas located within Census Metropolitan Areas (CMAs) or Census Agglomerations (CAs). Most of Ontario’s major cities — including Toronto, Ottawa, Hamilton, and London — fall within these boundaries.

There are, however, exemptions. You may still be eligible to purchase if:

• You are a temporary resident (work permit holder) with 183 days or more remaining on your permit and have not purchased more than one residential property
• You have lived in Canada for five years or more and filed income tax returns for at least four of the last five years
• The purchase price does not exceed $500,000
• The property is in a city with a population under 10,000, or is a vacation or recreational property that often lies outside Census areas and may be exempt

Important Note: Ontario and BC charge foreign buyers 20–25% on top of the purchase price for residential properties in many regions through the Non-Resident Speculation Tax (NRST). This is in addition to standard land transfer taxes and closing costs — a significant added expense that must be factored into your budget.

Foreign buyers also face stricter mortgage requirements. A non-resident buying property in Ontario often needs a larger down payment. Preparing finances in advance makes securing mortgages and ownership smoother in the competitive Ontario housing market.

When selling, there are additional tax obligations. When selling, non-residents must notify the CRA under Section 116 of the Income Tax Act. A 25% withholding (or 50% for certain properties) on sale proceeds may apply until you get a clearance certificate. Always work with a licensed Canadian real estate lawyer before proceeding.

Tips for Finding an Apartment in Ontario

Whether you’re renting or buying, navigating Ontario’s apartment market takes preparation and strategy. Here are the most practical steps to take before you sign anything.

1. Set a Realistic Budget Before You Search
Factor in more than just rent or mortgage payments. Include utilities, internet, parking, tenant insurance, and any condo fees. A good rule of thumb is to keep total housing costs under 30–35% of your gross monthly income.

2. Use Multiple Listing Platforms
Don’t rely on a single source. Use platforms like Realtor.ca, Zumper, PadMapper, Kijiji, and local Facebook groups. For purchases, work with a licensed REALTOR® who specializes in your target area.

3. Understand Your Rights as a Tenant
Ontario’s Residential Tenancies Act provides strong protections for renters. The rent increase guideline is the maximum percentage a landlord can raise rent annually in Ontario without Landlord and Tenant Board approval. Knowing your rights prevents you from being overcharged or unfairly evicted.

4. Consider Up-and-Coming Neighborhoods
Neighbourhoods like Leslieville and Riverside have seen tremendous price growth over the last few years due to gentrification and affordability, so if you’re wondering whether to buy a condo in Toronto, look to neighbourhoods that are up-and-coming. Getting in early can mean better value — both for renters looking for deals and buyers seeking appreciation.

5. Time Your Move Strategically
Turnover rents fell across every bedroom type in 2025. Studios and three-bedroom-plus units saw the largest declines (-6.7% and -7.8% respectively), while two-bedroom units were the most resilient (-2.5%). If you’re flexible on unit size, you may find better deals in the studio and larger unit categories right now.

Pro Tip: While prices now are lower than a few years back, they are showing signs of increasing again in several locations. If you’re planning to buy, waiting too long in a recovering market could mean paying more. Get pre-approved for a mortgage early so you can act quickly when the right unit appears.

6. Inspect Before You Commit
Always visit a unit in person before signing a lease or making an offer. Check water pressure, heating, natural light, noise levels, and the condition of appliances. For purchases, hire a professional home inspector even for condo units — especially in older buildings where common area maintenance costs could affect your monthly condo fees.

7. Think About Long-Term Livability
Consider proximity to work, schools, grocery stores, and green space. To figure out whether a place is affordable, you shouldn’t consider house and rent prices only. Everyday living expenses like transportation, food, and utilities are also significant. Job opportunities, average salaries, and the convenience and pleasure of living there matter too.

If you’re still in the early stages of deciding what kind of space works for you, our guide on different types of apartments covers everything from bachelor suites to loft conversions. And for ideas on making a smaller space feel like home, don’t miss our urban living essentials checklist.

Ontario’s apartment market rewards those who do their homework. Whether you’re after an affordable one-bedroom in Windsor or a downtown Toronto condo, knowing the numbers — and the rules — puts you in the strongest possible position to find a place that fits both your lifestyle and your budget.