So, you’ve finally settled in Canada and you’re wondering, should I buy a house or keep renting?
It’s one of the biggest money questions newcomers ask. And with prices, mortgage rates, and rents all changing so much, it’s stronger than ever.
No pitch here. Just real, useful info about what renting vs buying will cost you, what risks are, and what to consider so you don’t end up regretting it.
Renting in Canada, The Real Pros and Cons
Why Renting Can Be Smart (for Now)
Flexibility: If you’re still new and not sure where you’ll live or work long-term, renting lets you move more easily.
Fewer surprise costs: You don’t pay property taxes, big repairs, or maintenance. If something breaks, it’s often the landlord’s job.
Lower immediate cost: Less cash needed up front. No big down payments.
The Downsides of Renting
You’re paying someone else’s mortgage: the money doesn’t build your own equity. Rent in big cities like Toronto or Vancouver goes up fast. It can eat a lot of your monthly budget.
Less stability: landlord might decide to sell, increase rent, or not renew lease.
Buying a Home, Is It Worth It Yet?
Why Many Dream of Buying
Owning feels stable. You’re building something for yourself.
Equity growth: over time, home value can increase. What you own becomes an asset.
No rent increases: when you own, your mortgage payment (if fixed-rate) stays predictable.
The Hard Truth About Buying in 2025
Upfront costs are steep: down payment, inspection fees, legal fees, land transfer taxes.
Mortgage rates are higher than they were a few years ago, so monthly payments can be tougher.
Ongoing costs: property taxes, utilities, repairs, insurance. These add up.
Market risk: home values might not rise as quickly in every city. It depends on location, city growth, and market demand.
What’s Happening in 2025 (You Should Know This)
Housing supply is still tight in many major cities. That means limited options, and sometimes higher prices.
Some smaller cities and towns are becoming more attractive, lower cost, more space, and still work options.
First-time home buyer incentives are being reviewed in many provinces. There are sometimes grants, rebates, or tax-credits for newcomers or first-time buyers.
Rent keeps rising in popular cities, which sometimes makes buying look better if you’re able to stay long term.
How to Decide What’s Right for You
Step 1: Check Your Finances Honestly
Do you have steady income and good credit score? How much have you saved? Do you have enough for a down payment plus emergency money if something breaks?
Step 2: Think About Your Future Plans
Are you going to live here for 5+ years? Or might you move to a different city or province? Do you plan on changing jobs, family size, or need more flexibility?
Step 3: Research Local Housing Markets
Prices differ wildly between cities. What you pay in Vancouver might be double what you pay in Halifax or Saskatoon. Look at property taxes, cost of living, commute time, they matter.
Step 4: Talk to a Mortgage Advisor
Ask what you qualify for under newcomer mortgage programs (some lenders give special terms). Compare fixed vs variable rate mortgages and what your payment looks like under each. Don’t forget closing costs and other one-time fees, these can surprise people.
Common Mistakes Newcomers Make
Rushing into buying before budgeting all the costs.
Not checking credit score or building credit first.
Ignoring closing costs, moving expenses, and ongoing maintenance.
Choosing a home for image instead of affordability or location.
Not getting pre-approved for mortgage before house-hunting, which can lead to disappointment or budget creep.
Quick Money Tip: Try the “5-Year Rule”
If you don’t plan to stay in the same city for at least 5 years, renting might be cheaper overall. But if you plan to stay long term, buy with care, you’ll likely recoup costs and build equity over time.
Conclusion
Buying a home is a beautiful goal. But it shouldn’t come with stress or regret. Take your time, compare costs, get your finances in order, and make a decision that feels right for you, not just what looks good or what others are doing.
Don’t rush because everyone around you is buying. Your time will come. Whether you rent for a bit or buy soon, what matters most is that your money decisions feel calm, not pressured. Comment your thoughts below.