Ontario’s real estate market is as diverse as its landscape—from downtown Toronto’s bustling condos to quiet, tree-lined suburban homes in Ottawa, Hamilton, and beyond. For many Ontarians (and newcomers to the province), one of the first major decisions when entering the housing market is whether to buy a freehold home or a condominium (condo). Each comes with its own set of advantages, challenges, and lifestyle implications. This blog post breaks down the major differences to help you determine what’s best for your needs.

1. Understanding the Basics: What’s a Home vs. a Condo?

Freehold Home

A freehold home means you own both the building and the land it sits on. This category includes detached homes, semi-detached homes, and townhouses that aren’t part of a condo corporation. You’re responsible for all maintenance, repairs, and property management.

Condominium

A condo (short for condominium) typically refers to a unit within a larger building, although some townhouses are also condos. You own your unit but share ownership of common areas like hallways, gyms, pools, and lobbies. A condo corporation manages these shared spaces, funded by your monthly condo fees.

2. Cost: What Can You Afford?

Upfront Costs

Generally speaking, condos in Ontario are more affordable upfront than freehold homes. In cities like Toronto or Mississauga, where detached homes can easily surpass $1 million, condos often provide a more accessible entry point into the housing market, with prices ranging from $400,000 to $800,000 depending on location and size.

Monthly Expenses

Here’s where it gets nuanced:

• Condo owners pay monthly condo fees, which cover building maintenance, security, amenities, and a reserve fund.

• Homeowners don’t pay condo fees, but they bear all repair and maintenance costs—think roof replacements, landscaping, and plumbing issues.

If you’re on a tight monthly budget, you’ll need to decide whether you’d rather have a predictable condo fee or potentially variable home maintenance expenses.

Property Taxes

Freehold homeowners typically pay higher property taxes, as they’re taxed on both the land and the structure. Condo owners are taxed only on the unit’s value, so property taxes are usually lower.

3. Lifestyle Considerations

Location

Condos often dominate urban cores, offering proximity to public transit, entertainment, and jobs. If you love the city life and want to walk to work or restaurants, a condo might be ideal. On the other hand, freehold homes are more commonly found in suburban or rural settings—better suited for those who prioritize space, quiet, and a backyard.

Space

Most condos are smaller, ideal for singles, couples, or downsizers. If you’re starting or growing a family, a home offers more bedrooms, storage, and outdoor space. Pets, too, are easier to accommodate in a house, especially large dogs.

Privacy & Autonomy

Living in a house usually provides more privacy and control—no shared walls, no elevator waits, and no need to ask permission for renovations. Condo life, while convenient, involves living in close quarters with neighbors and following building rules.

4. Maintenance and Responsibility

Condos: Low Maintenance Living

One of the biggest perks of condo living is the “lock-and-leave” lifestyle. Building maintenance, snow removal, landscaping, and even HVAC upkeep in some buildings are all taken care of by the condo corporation. This is especially attractive for busy professionals or retirees.

Homes: More Work, More Freedom

Owning a home means more responsibility—shoveling snow, mowing lawns, maintaining the roof, and fixing appliances. But it also means more freedom to upgrade your home, add an extension, or even install a hot tub without needing permission.

5. Investment Potential

Appreciation and Resale

Historically, freehold homes appreciate more quickly than condos in Ontario, especially in high-demand markets like the GTA. This is partly due to land scarcity—land is finite, and owning it gives you a valuable asset that typically increases in value over time.

Condos can also appreciate, particularly in booming urban centres. However, resale can be slower if the building has high condo fees or poor management. Investors should also factor in market saturation—if too many condos are being built in a given area, prices can stagnate.

Rental Income

Condos can be easier to rent out, especially in urban centres with high demand for short-term or long-term rentals. Many condos are popular with students, young professionals, and newcomers to Canada.

That said, rental rules vary between buildings and municipalities. Some condos have restrictions on short-term rentals, and cities like Toronto now regulate Airbnb-type rentals strictly.

6. Legal Differences

Condo Rules and Bylaws

When you buy a condo in Ontario, you automatically become part of a condo corporation, which comes with a set of rules, bylaws, and governance. These can affect:

• Renovation approvals

• Pet ownership

• Noise restrictions

• Use of common areas

Always review the Status Certificate before purchasing a condo to understand the rules, finances, and legal health of the condo corporation.

Homeowners Have More Legal Independence

With a freehold home, you’re more or less the boss—within municipal zoning laws. You can usually renovate, rent, or rebuild with fewer legal constraints.

7. Market Trends in Ontario

Condos on the Rise

In cities like Toronto, Ottawa, and Hamilton, condo construction is booming. As urban land becomes more expensive and immigration continues to rise, condos are becoming the most feasible option for many first-time buyers.

Suburban and Rural Homes Gaining Popularity

Since the pandemic, more Ontarians are moving to suburban or rural communities for affordable homes, especially as remote work becomes more common. Regions like Durham, Waterloo, and Prince Edward County are seeing increased demand for freehold properties.

8. Who Should Buy What?

A Condo Might Be Right for You If:

• You want to live in a vibrant urban area.

• You’re a first-time buyer with a limited budget.

• You travel often or don’t want to worry about maintenance.

• You’re downsizing and seeking convenience.

• You’re okay with some lifestyle restrictions and monthly fees.

A Home Might Be Right for You If:

• You need space for a family, pets, or a home office.

• You want outdoor space and privacy.

• You’re willing and able to maintain the property.

• You’re looking for long-term investment and appreciation.

• You want more freedom over how you use and modify your property.

Final Thoughts

Both condos and freehold homes have their place in Ontario’s dynamic housing market. The right choice depends on your budget, lifestyle preferences, future goals, and personal comfort with responsibility and rules.

For first-time buyers or downsizers, a condo can be a practical, affordable, and low-maintenance solution. For growing families or long-term investors, a freehold home offers freedom, space, and the potential for higher returns.

No matter which path you choose, be sure to work with a knowledgeable real estate agent, get pre-approved for a mortgage, and understand all the legal and financial responsibilities before you sign on the dotted line.