This is for educational purposes only; it does not guarantee future performance or serve as financial or tax advice.
Are you thinking about buying your first home in Toronto? You’re not alone. Many people are asking the same question: Should I buy a home now, or should I wait?
Toronto homes cost a lot of money. This makes it hard to decide what to do. While buying a home is still the Canadian dream, there might be a smarter way to use your money – especially if you don’t have a lot saved up.
Why Some Toronto Buyers Are Changing Their Plans
Most people think you should buy a home as soon as you can. But some real estate experts disagree. Laryssa is a real estate agent with our team here at Elevate Realty and is doing something different!
Instead of buying a home to live in, she rents where she wants to live. Then she uses her money to buy properties that make money for her. This idea makes sense for Toronto buyers who don’t have much money saved. When homes cost so much, every dollar needs to work hard for you.
What It Really Costs to Buy Your First Home in Toronto
The truth is, buying a home in Toronto’s best areas costs too much for most first-time buyers. Here’s what happens to many people:
- They spend all their money just to buy a home
- They take on huge loans they can barely afford
- They have no money left over for other things
- They can’t invest in anything else that makes money
When you think about it long-term, rushing to buy a home can actually slow down your path to building wealth.
Should You Rent or Buy Your First Home in Toronto?
The rent vs. buy question isn’t just about monthly payments. It’s about what else you could do with your money.
Good things about renting:
- You don’t have to fix things when they break
- You don’t pay property taxes
- You can move easily if you want to
- You keep your money free to invest in other things
- You can live in nice areas without paying huge prices
What you can do with your money instead: You can buy properties that make money for you every month. These are called investment properties.
Real Examples: How Toronto Buyers Make Money from Investment Properties
This isn’t just an idea – real people are doing this in Toronto right now.
Example 1: Small Investment Property
- Money needed upfront: $181,000
- Extra money it makes each month: $800
- You can make it worth more by fixing it up
- Tenants move in right away
This isn’t just an idea – real people are doing this in Toronto right now.
Example 1: Small Investment Property
- Money needed upfront: $181,000
- Extra money it makes each month: $800
- You can make it worth more by fixing it up
- Tenants move in right away
Example 2: Bigger Investment Property
- Total money needed (including fixes): $350,000
- Extra money it makes each month: $1,500
- Property became worth $100,000 more after fixes
- You can get some of your money back to buy more properties
When Should You Actually Buy a Home to Live In?
You should buy your own home when:
- Your investment properties make enough money for you
- You have money coming in from different places
- You can afford the home without using all your money
- Buying won’t stop you from making more investments
Build wealth first, then buy your dream home. This way you’ll get a better house with less stress.
Big Mistakes Toronto First-Time Buyers Make
Mistake 1: Buying with Your Heart, Not Your Head People think renting is “wasting money.” But renting is smart when it lets you invest your money better.
Mistake 2: Spending Too Much Just because a bank will lend you money doesn’t mean you should borrow it all. Save some for investments and emergencies.
Mistake 3: Only Looking at Homes to Live In Investment properties in Toronto often make more money than homes you live in.
Stop Guessing. Start Building Wealth.
Buying your first property shouldn’t be a guessing game. You need real numbers and smart advice, not just what your friends tell you.
At Elevate Realty, we don’t just sell houses – we buy them too. We’re investing in Toronto right now, so we know what actually works.
Here’s how we help you:
- Free Strategy Call: We figure out your goals and show you the best way to invest in Toronto. No sales pitch, just real advice.
- Find the Right Property: We help you buy properties that make money – whether they’re ready to rent or need some work.
- Fix-Up Help: Need to renovate? We know good contractors and we’ll help you avoid costly mistakes.
- Rent It Out: Want help finding tenants or managing your property? We do that too.
Want to see what’s possible for you? Book a strategy session with us here.
What Toronto Real Estate Investment Is Right For You?
Check out our complete Toronto real estate investment guide for all the details and real-life examples. If you’re ready to dive in, just book a call with us!
