Published 2 November 2026 · By Jatin Dua, Broker of Record, RE/MAX Quantum Realty
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Keep the condo in 2027 if the rent covers all costs at a realistic mortgage rate and you can hold for several years. Sell if you are topping it up monthly, face fee hikes or need the equity. GTA condo medians fell 6% to 13% in 2026, while Toronto asking rents rose 1.6% year over year in October 2026.
This is for GTA owners who rent out a condo, or are about to move out of one, and are deciding whether to keep it as a rental or sell in 2027. You will get the latest sale prices and rents, a simple way to test your own cash flow, the selling costs and tax to plan for, and the situations where each choice usually wins.
Should you keep your condo as a rental or sell it in 2027?
There is no single right answer, but three questions decide most cases:
- Does it pay for itself? If rent covers the mortgage, condo fees, property tax, insurance and repairs with some room to spare, holding is easier to justify.
- Can you hold for several years? Condo prices fell again in 2026. Holding works best for owners who can wait out a slow market without being forced to sell.
- Is your money working harder somewhere else? The equity in a condo could pay down a mortgage on your home, fund a purchase, or sit in a safer investment. Compare the after-cost return on the condo with those options.
The rest of this guide gives you the numbers to answer each one.
What are GTA condos selling for going into 2027?
Condo apartment prices are lower than they were two years ago across most of the GTA. The table shows median sold prices for the first ten months of each year.
| Area | Median 2024 | Median 2025 | Median 2026 | Change vs 2025 | Avg days on market 2026 |
|---|---|---|---|---|---|
| Toronto C01 (downtown) | $680,000 | $642,650 | $600,000 | -6.6% | 37 |
| Toronto C08 (downtown east) | $657,750 | $610,000 | $565,000 | -7.4% | 38 |
| Toronto C14 (North York) | $702,000 | $625,000 | $568,500 | -9.0% | 37 |
| Toronto W08 (Etobicoke) | $603,500 | $575,000 | $525,000 | -8.7% | 38 |
| Mississauga | $583,000 | $535,000 | $485,000 | -9.3% | 42 |
| Vaughan | $635,000 | $595,000 | $530,000 | -10.9% | 42 |
| Markham | $700,000 | $643,000 | $558,000 | -13.2% | 39 |
| Brampton | $540,000 | $475,000 | $415,000 | -12.6% | 53 |
Source: TRREB MLS data via REALM, condo apartments, January–October 2026 vs the same period of 2025 and 2024. Medians are municipal or TRREB district level, not building level.
The latest month tells a similar story. In October 2026, TRREB’s Market Watch reported 949 condo apartment sales in the City of Toronto at a median of $545,000, with sellers getting 97% of their asking price on average and listings taking 36 days to sell. There were 5,251 active condo apartment listings in the city at month end, so buyers had plenty of choice. My own rough reading of those figures is more than five months of supply at October’s sales pace, which favours buyers.
What are GTA condos renting for, and are rents rising again?
Rents fell through 2025 and most of 2026, but Toronto may be turning.
- TRREB, Q2 2026: the average one-bedroom condo apartment lease across the TRREB area was $2,273, down 2.3% from a year earlier. Two-bedrooms averaged $3,013, down 1.7%. In the City of Toronto, one-bedrooms averaged $2,316 and two-bedrooms $3,154.
- Rentals.ca and Urbanation, October 2026: Toronto’s average asking rent for apartments and condos was $2,590, up 1.6% from a year earlier and the first annual increase after 32 months of declines. Asking rents were still falling in Oakville, Markham, Vaughan and Mississauga.
TRREB also reported 21,251 condo leases in Q2 2026, up 4.2%, against 27,844 units listed for rent, up 2.9%. More leases than new listings is an early sign the rental market could tighten. TRREB’s Q3 2026 rental report was not posted when I wrote this, so check for it before you set a rent.
Does your condo still cash flow at 2027 interest rates?
Run your own numbers, not an average. Start with gross yield: annual rent divided by today’s value. A condo worth $600,000 renting for $2,600 a month brings in $31,200 a year, a gross yield of about 5.2% before any costs. Then subtract every cost.
| Line | Where to find your number |
|---|---|
| Rent | Your lease, or recent leases of similar units in your building |
| Vacancy and turnover | Allow for a month between tenants and the cost of re-leasing |
| Condo fees | Your monthly statement; check the status certificate for planned increases |
| Property tax | Your tax bill; Toronto’s 2026 total residential rate is 0.767311% of assessed value |
| Insurance | Your landlord (unit owner) policy |
| Repairs and appliances | Set aside a yearly amount for the unit, not the building |
| Mortgage interest | Your current statement, and your rate at renewal |
Source: City of Toronto, 2026 property tax rates. Other lines come from your own documents.
Rates matter here. The Bank of Canada raised its policy rate to 2.50% on October 28, 2026, and prime moved to 4.70%. The Bank said it expects inflation to stay around 3% through much of 2027, so do not plan on quick rate cuts. If your mortgage renews in 2027, use a renewal rate quote, not your old rate. The Bank’s next decision is December 9, 2026.
Condo Valuation
What’s your condo
worth today?
Three quick steps. Condos don’t price like houses — your floor, your view, and whether you own parking move the number more than anything else. This weighs all of them.
Reading recent condo sales…
Estimated market value
—
$0–$0
Most likely $0 · about $0 per square foot
What moved the number
Starting from what comparable units in your area sell for, here’s what your specifics added or subtracted.
Market context
—
—
Two units, same floor plan,
$90,000 apart.
That happens constantly in condos — one has the parking, the right exposure, or a board that keeps the reserve fund healthy. A model can’t see your status certificate. I can.
What does it cost to sell, and what tax will you owe?
Selling costs usually include commission plus HST, legal fees, any mortgage prepayment charge, and adjustments for condo fees and property tax. My guide to seller closing costs in Ontario for 2027 breaks these down.
Tax is the bigger planning item for a rental. The Canada Revenue Agency’s rental income guide (T4036) says that if you sell a rental property for more than it cost, you may have a capital gain, and if you claimed capital cost allowance (CCA) on the unit, part of it can be added back to income as recapture. Legal fees and commissions reduce the gain. A condo that was once your home and later became a rental can have part of the gain sheltered, depending on the years and any elections you made. An accountant should run this before you list.
Should you sell your condo with the tenant or vacant?
You can sell either way, and the tenancy rules shape the price.
- To a buyer who will move in: once you have a firm deal, section 49(2) of the Residential Tenancies Act lets you give the tenant notice on the buyer’s behalf if the buyer, their spouse, a child or parent, or a caregiver will live there. The termination date must be at least 60 days after the notice and fall on the last day of a rental period or the end of a fixed term. You must pay the tenant one month’s rent or offer another acceptable unit (s. 49.1).
- To an investor: the buyer takes over the lease and the tenant stays. Investors price a tenanted unit on its rent, so a below-market rent pulls the price down.
- Rent-controlled units: if your building was first occupied on or before November 15, 2018, a long-term tenant’s rent may be well below market, and an investor cannot raise it beyond the guideline (1.9% for 2027).
I explain the price gap in how much less a tenanted condo is worth, and your obligations to the tenant in selling a rented property in Ontario.
What if you leave the condo empty while you decide?
In Toronto, an empty condo can cost you more than lost rent. The City’s Vacant Home Tax is 3% of the property’s assessed value if it was vacant for six months or more in the year, unless an exemption applies. Every owner must declare the property’s status each year, and the City treats a missing declaration as vacant. The declaration for 2026 is due by April 30, 2027. A completed sale in the tax year can qualify for the transfer of ownership exemption, but months of indecision with no tenant and no sale do not.
Do not let a tenant leave and the unit sit empty “until spring.” You lose rent, you still pay fees and tax, and in Toronto you may trigger the 3% Vacant Home Tax. Decide before the lease ends, so you either re-let quickly or list a vacant unit that is ready to show.
When does keeping the condo make sense in 2027?
- The rent covers all costs, including a realistic 2027 mortgage rate, with a cushion.
- You can hold for several years and would not be forced to sell in a downturn.
- The building is in good shape: a healthy reserve fund, no special assessment, and fees that have not jumped.
- The unit is in a building first occupied after November 15, 2018, so you can move the rent toward market each year.
- Selling now would lock in a loss you do not need to take.
When does selling the condo make more sense?
- You are topping up the rent every month, and a 2027 renewal will widen the gap.
- The building faces a special assessment or large fee increases.
- You need the equity for a home purchase, to pay down higher-rate debt, or to retire.
- You do not want to be a landlord, and a property manager would erase the margin.
- A tenant has given notice and you can sell vacant, which usually widens your pool of buyers.
In my view, 2027 is a year to make this decision on cash flow, not on hope. Toronto rents are showing the first signs of rising, but condo prices are still lower than in 2024 and there are many units for sale. If your condo pays for itself and the building is sound, holding is reasonable. If you are feeding it every month, a rebound would need to be large just to cover what you lose while you wait. Forecasts are forecasts, and I would not bet on a quick recovery.
If you are leaning toward selling, my guide on how long it takes to sell a Toronto condo in 2027 will help you plan the timing.
What to do next
- Fill in the cash flow table with your real numbers, using a 2027 renewal quote for your mortgage.
- Get the status certificate or the latest budget and reserve fund study for your building.
- Ask your accountant to estimate the capital gain and any CCA recapture if you sold in 2027.
- Check your lease end date and the tenant’s rent against current market rents.
- Get a written price opinion for your unit, tenanted and vacant. I can prepare one for any condo in Toronto or the wider GTA.
Need help with this? Talk to me.
I’m Jatin Dua, Broker of Record at RE/MAX Quantum Realty, and I’m the best agent to do this kind of work for you in Toronto and across the GTA. Over $100 million in GTA sales and 100+ families helped sell. Feel free to contact me any time: call or text 833-330-1925 or email [email protected].
Frequently asked questions
Should I sell my rental condo in 2027?
Sell your rental condo in 2027 if it does not cover its own costs, the building faces a special assessment, or you need the equity. Keep it if rent covers the mortgage, fees, tax and repairs with room to spare and you can hold for years. GTA condo medians fell in 2026, so selling now may lock in a lower price.
Is it better to keep a condo or sell it in Toronto?
It depends on cash flow and time. In Toronto, condo apartment medians were down 6.6% in C01 and 7.4% in C08 in January to October 2026, while asking rents rose 1.6% year over year in October 2026. Keeping makes sense if the unit pays for itself and you can hold; selling makes sense if you are topping it up every month.
How much rent can I get for my condo in Toronto in 2027?
Most Toronto condos rent for roughly $2,300 to $3,200 a month depending on size. TRREB reported City of Toronto average condo leases of $2,316 for one-bedrooms and $3,154 for two-bedrooms in Q2 2026. Rentals.ca put Toronto’s average asking rent at $2,590 in October 2026. Your building, floor and parking will move the number.
Do I pay capital gains tax when I sell my rental condo?
Yes, usually. The Canada Revenue Agency says selling a rental property for more than it cost can create a capital gain, and capital cost allowance you claimed can be added back as recapture. Legal fees and commission reduce the gain. If the condo was once your home, part of the gain may be sheltered, so have an accountant check before you sell in 2027.
Can I sell my condo with a tenant in it in Ontario?
Yes. In Ontario you can sell a tenanted condo to an investor who takes over the lease, or to a buyer who will live there. For a buyer moving in, you can give the tenant at least 60 days’ notice on the buyer’s behalf after a firm sale, ending on a rental period or term end, and you must pay one month’s rent in compensation.
Will Toronto condo prices go up in 2027?
Nobody can say for sure. TRREB’s October 2026 data showed City of Toronto condo apartment prices still below last year, with about 5,250 active listings against 949 sales. The Bank of Canada expects inflation near 3% through much of 2027, which limits room for rate cuts. Treat any 2027 rebound as a possibility, not a plan.
What happens if my Toronto condo sits empty?
You may owe Toronto’s Vacant Home Tax. The City charges 3% of the assessed value if a residential property was vacant for six months or more in the year and no exemption applies. Owners must declare each year, and the declaration for 2026 is due by April 30, 2027. A missing declaration is treated as vacant.
Is a condo still a good rental investment in the GTA?
It can be, but only on the right numbers. In 2027, test rent against the mortgage at a current renewal rate plus condo fees, property tax, insurance and repairs. A condo that pays for itself, sits in a well-funded building and was first occupied after November 15, 2018, so rent can move toward market, is a stronger hold than one that needs monthly top-ups.
Sources
- TRREB Market Watch, October 2026
- TRREB Rental Market Report, Q2 2026
- Rentals.ca and Urbanation National Rent Report, October 2026
- Bank of Canada raises the policy rate to 2½% (October 28, 2026)
- City of Toronto, property tax rates and fees
- CRA Guide T4036, Rental Income
- City of Toronto, Vacant Home Tax
- Residential Tenancies Act, 2006 (e-Laws)
Related reading
- Can My Landlord Enter Without Notice in Ontario?
- Can a Landlord Evict You Without Going to the LTB in Ontario?
- Can My Landlord Raise the Rent Every Year in Ontario? 2027 Rules
- Can a Landlord Put Security Cameras in or Outside a Rental in Ontario?
About the author — Jatin Dua, Toronto and GTA real estate broker
I am Jatin Dua, Broker of Record and co-founder of RE/MAX Quantum Realty Inc., Brokerage, Unit 101, 799 The Queensway, Toronto. I work with buyers and sellers across Toronto and the GTA and have helped more than 100 families sell. Four-plus years of active GTA transactions and over $100 million in sales volume.
Reach me at [email protected] or 833-330-1925, or book a call.