Old Condo or New Build? Which to Buy in Toronto
In Toronto we have two kinds of condos: older buildings, and the new ones that went up in the last few years. The question I get all the time is which is the smarter buy. New condos look modern and shiny, but in my experience older condos have real advantages that buyers often don't know about, and in today's market they frequently sell faster.
Bigger, better-built, better-located
Older condos usually have better floor plans built for a family to actually live in, not for an investor to flip. An older two-bedroom averages around 1,000 square feet; a new two-bedroom is often close to half that. The build quality is frequently better too, and because they were built long ago, many sit in the best parts of the city: on the water, on Bay Street, in prime neighbourhoods. And you often pay less per square foot for all of it.
A healthier building
Older buildings tend to have more owner-occupants rather than investors, and owners look after a building better, so it ages well over 20 or 30 years. The amenities are usually larger (bigger pools, libraries, party rooms), the front-desk staff are long-tenured and know everyone, and a well-run older building often has a healthy reserve fund, which you can confirm in the status certificate before you buy.
Where older condos fall short
The maintenance fee is higher, but it usually includes utilities like heat, hydro, and sometimes internet, where a new build bills those separately, so compare what you actually get. Beyond that: older buildings can carry rules you may not want (pet limits, even age restrictions), many have no balcony (a big deal since COVID), laundry may not be in-unit, and units occupied before November 2018 are rent-controlled, which matters to investors.
Who's buying them
Two groups, mostly. Downsizing baby boomers selling a large home who want to stay in their neighbourhood (think Lawrence Park or Forest Hill) and simply can't fit into a 600-square-foot new two-bedroom. And larger families who need the space but can't afford a house in a good area, so a big older condo becomes the smart option.
As an investment
For a long-term rental, the rent-control rules make the math hard, often negative cash flow on 20% down. Where older condos shine is a light renovation and quick flip: because the building handles windows, roof, foundation, and parking, you can refresh floors, the kitchen, and bathrooms for relatively little, then resell to a downsizer who wants a clean, move-in-ready unit. If you'd like a straight answer for your own situation, fill out the form below and book a free consultation. Stay well and take care.
Frequently asked questions
Is it better to buy an old or new condo in Toronto?
It depends on your goal, but older condos often give you more space, better build quality, and a better location for the price. An older two-bedroom can be near 1,000 sq ft, roughly double a comparable new build.
Why are maintenance fees higher on older condos?
Because they usually include utilities like heat, hydro, and water, and fund larger amenities. A new build may charge less per square foot but bill utilities separately, so compare what the fee actually covers.
Are older condos a good investment?
For a long-term rental they can be tough, since most are rent-controlled (occupied before November 2018), which limits rent increases. They shine for a light renovation and quick resale to downsizers.