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Buying a Toronto condo close to the subway will cost you more

With the announcement of yet another hike in transit fares, Torontonians continue to have a tenuous relationship with the TTC. Commuters will soon be paying 10 cents more at the fare box, and a $93 annual increase for a monthly Metropass. One thing is certain, though: Living close to the subway is a top priority for many house hunters.

A Toronto online real-estate brokerage compared the costs of buying both houses and condos within a 10-minute walk from 21 main subway stations in Toronto and the results were quite eye-opening.

“Since Toronto residents are always interested in living near transit, we wanted to see what the premium cost of living next to the subway line is.” says TheRedPin Realty co-founder, Rokham Fard.

The company arrived at the numbers by analyzing all the properties sold in 2014 and the results were revealing. For example, the cost of condos close to TTC subway stations are on average, 25 per cent higher as opposed to 10 per cent more for single-family homes.

In another interesting finding, condos along the Yonge line cost $150,000 more on average than on the University-Spadina line. The three most expensive stations to live near are York Mills, St. Clair, and Eglinton, all along the Yonge line.

The analysis revealed some interesting anomalies as well. Condo buyers paid nearly $90,000 more to live next to Eglinton station than King and College stations, despite being further from the downtown core.

Living closer to certain subway stations is actually less expensive, bucking the overall trend. Fard says one reason is the higher concentration of properties near the station and higher supply means lower prices. Also, homes closer to these stations are smaller in size.

Whether condo or home, it really depends on the buyer and what they want says Fard.

“They’re two different lifestyles, but it’s important to note that single-family homes include detached, semis, townhomes and link townhomes.”

By the numbers

•    Condos may be purchased below the average Toronto home price of $385,451 at the following stations: Finch, Don Mills, Kipling, Downsview, Eglinton West, Kennedy, McCowan and Yorkdale.

•    Single-family homes may be purchased below the average Toronto price of $697,383 at the following stations: Kennedy, McCowan and Woodbine.

•    The price gap between a single-family home and a condo were highest at the following stations: York Mills ($1,615,213), Eglinton ($1,040,126) and Finch ($736,117)

•    The Eglinton Crosstown LRT will add 25 new stations by the end of 2020.Construction has begun on six new stations along the Yonge-University-Spadina line from Downsview to Vaughan.