If you’re like many Torontonians, you got your first step on the property ladder by buying a condo. That exciting moment led to a series of firsts, including buying your own furniture, setting up the kitchen the way you want it, and that first celebratory housewarming party with your friends and family.
No matter how much you have grown to love your space, the time could come when you are ready to upsize to something a little bigger or in a different neighbourhood. If this is the case, you’re about to experience another life milestone, the act of moving on from your first condo. In this post, we’ll talk about the many benefits of upsizing to a larger house – as well as some the resources you’ll need.
Curious about what to look for in your next home or what the buying process will be like in today’s market? Contact us for a customized buyer’s consultation right here.
You’ll Need a Bigger Budget
It’s no secret that you’ll need more money to buy a bigger house, but what surprises some homebuyers is precisely how much more, particularly when it comes to Etobicoke real estate. Property values aren’t the only additional cost associated with upsizing, either.
Your down payment and deposit are based on the purchase price, as are many of your closing costs, especially the municipal and provincial land transfer taxes. Now that you’re no longer a first-time buyer, you won’t have the land transfer rebate to bring you relief.
Property taxes are typically higher for a house compared to a condo, and ongoing maintenance costs are also your responsibility. You’ll want to set aside funds for a rainy day – or for if and when something breaks – because something will, eventually.
On a positive note, the new CMHC threshold for down payments has changed, which can help make your new home more accessible. Before the change, you needed a 20% down payment on any amount over $1 million. That threshold is now $1.5 million, which greatly reduces the amount you need upfront.
This change means you can now buy a $1.5 million home with $125,000 down, whereas before, the minimum would have been $300,000. If that’s not exciting enough, amortization periods have been extended, which could lower your monthly payments. If you wanted to make your home purchase even more affordable, you might consider a basement apartment for rental potential to help offset the mortgage payment.
Though upgrading your home may be more expensive, your equity from your condo has also likely increased. This greater purchasing power could even make it easier to buy a larger home than it was to get into the market in the first place.
Ready to begin the upsizing process? The posts below will help you on your home-buying journey:
- What Will It Really Cost to Buy a House in Toronto?
- How Not To Overpay For Your New Home
- Where Is The Best Value In Etobicoke When Buying A Home?
You Have More Control – and Responsibility
As a condo owner, you can look outside and laugh at the 10 cm of snow that has fallen overnight. The same thing happens in the summer as the grass begins to grow. You can relax, safe and comfortable, as the property management company takes care of the condo’s shared outdoor spaces.
All of this changes once you become a homeowner. The buck stops here, and there’s no landlord to call if there’s no hot water or the furnace is making a funny noise. All repairs are on you, whether you handle them yourself or call in a contractor.
On the plus side, you also have more freedom and control to renovate your home without first obtaining a landlord’s approval. Perhaps best of all, no more monthly condo fees! That said, you might want to set some of those funds aside to cover the maintenance of your new home.
How much will your condo earn in today’s market? Find out by booking your free home evaluation right here.
What to Do With the Extra Space?
Having more space might be what you’re looking forward to the most when upsizing from your condo. If you’re used to cramming your entire lifestyle into a few hundred square feet, a three or four-bedroom home with multiple bathrooms can feel enormous. If you’ve always wanted a cat or dog for companionship, now is your chance.
In addition, just imagine how much room there will be for all of your clothes and furniture. You may have already started a shopping spree in anticipation of having a place for everything. Just be sure to take it slow at first until you have a clear picture of the layout and design you want to achieve. Crowding every nook and cranny can be a huge temptation if you’re not careful.
Unexpected Drawbacks of Homeownership
Other than the added expense, it’s tough to say that there is a downside to leaving your condo in favour of a larger house. Still, you want to be prepared for anything, and there are undoubtedly a few aspects that you will miss.
Living in a detached house can feel a little more isolating when you’re used to having next-door neighbours steps away. Suddenly, everything is quiet, and that can be a double-edged sword. You may have to make more of an effort to get out and say hello to your new neighbours, even if they are a little further away.
A successful upsizing experience begins with the successful sale of your condo. The posts below can help:
- What Are The Fastest Ways To Add Value To Your Home When Selling?
- What to Look For in a Real Estate Agent When Selling Your Home
- Can You Earn More Money By Staging Your Home?
The Upside of Upsizing Your Home
Like anything, there are drawbacks and considerations when moving from your first condo to your next home. However, the upsides far outweigh any negatives for most people. Your new home isn’t just a place to sleep; it’s your sanctuary and your pride and joy.
Your condo may have had shared outdoor spaces and maybe even a BBQ terrace, but now you have a whole backyard to yourself. No more elevators to get a breath of fresh air, just open the door and step outside!
You’ll have more privacy and better noise control. If you’ve always wanted to learn to play the drums or another musical instrument – now you can without worrying about annoying your neighbours. Alternatively, you can put your power tools to use or sing in your living room with reckless abandon. Whatever you choose to do, you’ll have an exhilarating sense of freedom like never before.
If, after weighing the pros and cons, you decide to move forward with upsizing to a home, your first step is to connect with an experienced real estate agent who knows your area. We can walk you through the entire process, from getting the highest possible price on your existing condo to finding the best value for your new dream home.
Do you have questions about selling and buying a new home in Etobicoke? Our Etobicoke real estate agents are happy to guide you through the process. Reach out to us today at 647-282-7653 or contact@thompsonsells.com to learn more.
Upgrading Your Home?
Our Etobicoke real estate experts are here to help with anything you need. Contact us today at 647-282-7653 or contact@thompsonsells.com or fill out the form below.
