You have probably heard the rumours about living in the big city. People will tell you that Windsor homes are beyond the reach of the average home buyer. The market is saturated because there is no longer room for further development (at least on the single detached market, which we will get to in a second). But, people are still drawn to Toronto because of the employment mark and the various bonuses which come with living in a big city. Housing prices are therefore very high, and climbing ever higher.

These rumours are somewhat true, although it does depend on your point of view. For example, the average price of a home in Toronto is much less than that of a similar home in the much smaller cities of Calgary and Vancouver in the west. That said, most working people in Toronto find the mortgage they must take out for a house on Yonge and Bloor or any other street in the city to be quite excessive.

That's because today, the average house in Toronto will sell for about $370,000. That is one big mortgage, and many people are having to be creative about managing it. Longer commitments appear to be the norm in this market, as well as smaller homes. The price will of course vary from one neighbourhood to the next, but don't expect to find many hoes selling for less than this.

One option that many Torontonians have taken over the last decade is to purchase some condo real estate in Toronto rather than a single detached home. There are a couple reasons for this.

The first is definitely that the average Yonge Eglinton condo will be much more affordable than the average Toronto home. How much more affordable is a Toronto condo? Well, you can expect to pay up to $100,000 less for a two bedroom unit in a relatively new development, and that will significantly reduce your mortgage payments. Of course, you will also be living in a lot smaller space, so taking this option isn't for everyone.

If you are included in the wealthier segment of society, on the other hand, it would appear as though condo living is the perfect choice. You can find luxury condos all over the downtown area, with prices to match. These may have only two bedrooms themselves, but location, amenities, and features serve to drive prices through the roof. Penthouse condos sell for at least a million dollars in the city, and many cost more than that. No matter how extravagant, they always seem to find buyers!

In the past, Toronto lofts have been a more economic alternative to condos. However, the popularity of these units has meant their prices too have gone up; you can expect to pay around $250,000 for one of these units as well.