Wednesday, April 16, 2025 / by Matthew Daniel Tamburello
HomeBuyers & Investors: How Much Does a Three-Bedroom Home Cost?
Courtesy of:
Matthew Daniel Tamburello
Team Leader & Broker/Owner
Trinity Real Estate Consultants
647-697-6743
matthew@searchhomesingta.com
Living space, no doubt, is a premium – and a necessity for a growing family. In Toronto, the cost of a three-bedroom home is not exactly cheap compared to other cities in Ontario. Nevertheless, it may be worth considering as an investment due to the sustained rising prices of the real estate housing market.
There are only three things to think about as you look at 3-bedroom houses for sale in the city of Toronto:
1) Do you need three bedrooms?
2) Is the location a necessity?
3) Can you afford the downpayment, mortgage, and other fees?
First, the size of the property affects the price. 3-bedroom home is more costly than a 2-bedroom. For couples that are only starting a family, a 3-bedroom house may seem lavish but also practical in the long run. It is better to have space instead of being stuck in a small home as the household grows.
A property’s location and proximity to workplaces, schools, hospitals and others affect the price. The more ideal it is, the more costly it is. For most families, compromising is necessary as you need to strike a balance between the suitability of a location and the price of the house.
Lastly, the most critical consideration of all is your ability to pay. The listing price is only a starter. There may be other buyers in a hot Toronto real estate climate, leading to multiple offers and bidding wars. Apart from that, there are also additional costs to consider.
The Cost of Houses for Sale in Toronto
Even though some economists warned of a possible bubble in Toronto real estate, there seems to be no slowdown. According to the Toronto Regional Real Estate Board (TRREB), the average price of homes sold in Toronto is $1,097,565 in March 2021. This figure is 21.6% higher than the same month of the previous year, in which the average cost of homes sold was $902,787. To date (January to March 2021), the average price is $1,053,585 (“TRREB Market Watch March 2021”).
Summary of the Average Prices of Homes Sold in Toronto (All Home Types)
January 2020: $838,087
January 2021: $966,735
February 2020: $910,024
February 2021: $1,045,435
March 2020: $902,787
March 2021: $1,097,565
The rapid acceleration is not only limited to prices. The number of homes sold in March almost doubled up compared to the previous year, increasing by 97% from 7,945 to 15,652 units.
Summary of Homes Sold in Toronto (All Home Types)
January 2020: 4,546
January 2021: 6,898
February 2020: 7,192
February 2021: 10,953
March 2020: 7,945
March 2021: 15,652
As stated earlier, you need to strike a balance between location and cost as a buyer. For one, the price in each area in the GTA varies from the others. Availability is also an issue. Looking at the listings, it is apparent that many sellers opt to underprice their properties. It is a common tactic used to encourage multiple offers, which drives up prices. In some cases, it may even lead to bidding wars.
Summary of Homes Sold and Average Prices in the Greater Toronto Area (All Home Types)
Halton Region
Homes Sold: 1,647
Average Price: $1,245,062
Peel Region
Homes Sold: 3,185
Average Price: $1,061,015
City of Toronto
Homes Sold: 5,130
Average Price: $1,083,322
York Region
Homes Sold: 2,911
Average Price: $1,265,481
Durham Region
Homes Sold: 2,077
Average Price: $901,322
Dufferin County
Homes Sold: 114
Average Price: $808,540
Simcoe County
Homes Sold: 588
Average Price: $924,585
Total Homes Sold: 15,652
Average Price: $1,097,565
For sellers, multiple offers and bidding wars are especially advantageous as they could get more money than originally intended. As a buyer, the experience can be frustrating. You have to compete with tens (or even hundreds) of other buyers and end up paying a higher price.
Cost of Buying a House in the GTA
In Canada, buying a house comes with costs other than the agreed purchase price. One thing going on for buyers is that interest rates on loans are at a historical low. However, buyers also need to qualify under new lending guidelines. Since 2018, Canadians applying for a mortgage need to undergo the OSFI Mortgage Stress Test (“Residential Mortgage Underwriting Practices and Procedures Guideline (B-20)”). It includes buyers who pay a 20% down payment.
You are responsible for paying the Land Transfer Tax (LTT). Furthermore, in Toronto, you are also going to pay provincial LTT and municipal LTT. As a first-time buyer, though, you are eligible for a rebate on the LTT.
Hiring a real estate lawyer is beneficial as you can have someone taking care of and ensuring all the legal papers are in order. It can cost up to $2,000, and may or may not include the cost of title registration ($400).
There are plenty of other costs that you may incur – insurance, home inspection, and others. Most of these are optional. At any rate, the following estimates are to give you an idea of how much it costs to buy a 3-bedroom house in the GTA.
Three Bedroom Home Price Fits Budget of $800,000 and Up
Having decided that, indeed, you need a 3-bedroom home, scout the neighbourhoods of Toronto. Although the average home price is currently at $1,097,565, it encompasses all types of homes, including detached and semi-detached houses, apartments, and condo units. On cost, it ranges from $800,000 to nearly $10,000,000.
One thing you can do to make house hunting easier is to work with an experienced realtor in Toronto. Be mindful when choosing a real estate brokerages. They are familiar with the property landscape and can help you find an ideal home. The reputable ones will make sure to guide you accordingly, focusing on your needs instead of their desire to close sales.
Matthew Daniel Tamburello
Team Leader & Broker/Owner
Trinity Real Estate Consultants
647-697-6743
matthew@searchhomesingta.com
Living space, no doubt, is a premium – and a necessity for a growing family. In Toronto, the cost of a three-bedroom home is not exactly cheap compared to other cities in Ontario. Nevertheless, it may be worth considering as an investment due to the sustained rising prices of the real estate housing market.
There are only three things to think about as you look at 3-bedroom houses for sale in the city of Toronto:
1) Do you need three bedrooms?
2) Is the location a necessity?
3) Can you afford the downpayment, mortgage, and other fees?
First, the size of the property affects the price. 3-bedroom home is more costly than a 2-bedroom. For couples that are only starting a family, a 3-bedroom house may seem lavish but also practical in the long run. It is better to have space instead of being stuck in a small home as the household grows.
A property’s location and proximity to workplaces, schools, hospitals and others affect the price. The more ideal it is, the more costly it is. For most families, compromising is necessary as you need to strike a balance between the suitability of a location and the price of the house.
Lastly, the most critical consideration of all is your ability to pay. The listing price is only a starter. There may be other buyers in a hot Toronto real estate climate, leading to multiple offers and bidding wars. Apart from that, there are also additional costs to consider.
The Cost of Houses for Sale in Toronto
Even though some economists warned of a possible bubble in Toronto real estate, there seems to be no slowdown. According to the Toronto Regional Real Estate Board (TRREB), the average price of homes sold in Toronto is $1,097,565 in March 2021. This figure is 21.6% higher than the same month of the previous year, in which the average cost of homes sold was $902,787. To date (January to March 2021), the average price is $1,053,585 (“TRREB Market Watch March 2021”).
Summary of the Average Prices of Homes Sold in Toronto (All Home Types)
January 2020: $838,087
January 2021: $966,735
February 2020: $910,024
February 2021: $1,045,435
March 2020: $902,787
March 2021: $1,097,565
The rapid acceleration is not only limited to prices. The number of homes sold in March almost doubled up compared to the previous year, increasing by 97% from 7,945 to 15,652 units.
Summary of Homes Sold in Toronto (All Home Types)
January 2020: 4,546
January 2021: 6,898
February 2020: 7,192
February 2021: 10,953
March 2020: 7,945
March 2021: 15,652
As stated earlier, you need to strike a balance between location and cost as a buyer. For one, the price in each area in the GTA varies from the others. Availability is also an issue. Looking at the listings, it is apparent that many sellers opt to underprice their properties. It is a common tactic used to encourage multiple offers, which drives up prices. In some cases, it may even lead to bidding wars.
Summary of Homes Sold and Average Prices in the Greater Toronto Area (All Home Types)
Halton Region
Homes Sold: 1,647
Average Price: $1,245,062
Peel Region
Homes Sold: 3,185
Average Price: $1,061,015
City of Toronto
Homes Sold: 5,130
Average Price: $1,083,322
York Region
Homes Sold: 2,911
Average Price: $1,265,481
Durham Region
Homes Sold: 2,077
Average Price: $901,322
Dufferin County
Homes Sold: 114
Average Price: $808,540
Simcoe County
Homes Sold: 588
Average Price: $924,585
Total Homes Sold: 15,652
Average Price: $1,097,565
For sellers, multiple offers and bidding wars are especially advantageous as they could get more money than originally intended. As a buyer, the experience can be frustrating. You have to compete with tens (or even hundreds) of other buyers and end up paying a higher price.
Cost of Buying a House in the GTA
In Canada, buying a house comes with costs other than the agreed purchase price. One thing going on for buyers is that interest rates on loans are at a historical low. However, buyers also need to qualify under new lending guidelines. Since 2018, Canadians applying for a mortgage need to undergo the OSFI Mortgage Stress Test (“Residential Mortgage Underwriting Practices and Procedures Guideline (B-20)”). It includes buyers who pay a 20% down payment.
You are responsible for paying the Land Transfer Tax (LTT). Furthermore, in Toronto, you are also going to pay provincial LTT and municipal LTT. As a first-time buyer, though, you are eligible for a rebate on the LTT.
Hiring a real estate lawyer is beneficial as you can have someone taking care of and ensuring all the legal papers are in order. It can cost up to $2,000, and may or may not include the cost of title registration ($400).
There are plenty of other costs that you may incur – insurance, home inspection, and others. Most of these are optional. At any rate, the following estimates are to give you an idea of how much it costs to buy a 3-bedroom house in the GTA.
Three Bedroom Home Price Fits Budget of $800,000 and Up
Having decided that, indeed, you need a 3-bedroom home, scout the neighbourhoods of Toronto. Although the average home price is currently at $1,097,565, it encompasses all types of homes, including detached and semi-detached houses, apartments, and condo units. On cost, it ranges from $800,000 to nearly $10,000,000.
One thing you can do to make house hunting easier is to work with an experienced realtor in Toronto. Be mindful when choosing a real estate brokerages. They are familiar with the property landscape and can help you find an ideal home. The reputable ones will make sure to guide you accordingly, focusing on your needs instead of their desire to close sales.
