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Glossary
Investment

Price per Square Foot

Property value divided by total livable area, used to compare values across different sized properties. It is calculated by taking the sale price (or listing price) and dividing it by the total finished square footage. In the GTA, price per square foot varies widely by neighbourhood, property type, and whether the measurement includes basement space.

Why It Matters

Price per square foot is the quickest way to compare value across properties of different sizes. A 600-square-foot condo at $1,200 per square foot versus an 800-square-foot unit at $950 per square foot tells you something raw price alone does not. Just be careful with the numbers -- builders and sellers sometimes include unusable space to make the metric look better.

Real-World Example

You are comparing two condos in Mississauga. Unit A is 650 square feet listed at $520,000, which works out to $800 per square foot. Unit B is 850 square feet listed at $637,500, which is $750 per square foot. Unit B gives you more space at a lower per-foot cost, but you also need to compare condo fees, parking, and floor level. A penthouse at $900 per square foot might still be a better deal than a ground-floor unit at $750 if the view and finishes justify the premium.

Ontario & GTA Context

In the City of Toronto, price per square foot for condos typically ranges from $900 to $1,500 depending on neighbourhood, while 905-region cities like Brampton, Markham, and Oshawa often range from $600 to $900. Be aware that Ontario does not require sellers to verify square footage in MLS listings, so measurements can vary. Always confirm with the condo corporation's records or your own measurement.

How It Works in Practice

When comparing properties, calculate price per square foot for every listing you visit so you build an intuitive sense of fair value in your target neighbourhood. Exclude balcony space from the calculation to keep comparisons consistent, since balconies are measured differently across buildings.

Common Questions

What is a good price per square foot for a condo in Toronto?
It depends heavily on location and building age. Downtown Toronto condos typically range from $1,000 to $1,400 per square foot, while midtown and east-end units may fall between $800 and $1,100. Newer luxury buildings command a premium, while older buildings in the same area may be 15% to 25% lower.
Does price per square foot include the balcony?
It varies by listing. Some agents include balcony area to make the per-foot cost look lower, while others exclude it. Always ask whether the stated square footage includes balcony, storage, or parking to make an accurate comparison.
Is price per square foot different for houses versus condos?
Yes. Freehold houses in the GTA often have a lower price per square foot than condos because you are also paying for the land, which is valued separately. A detached home in Scarborough might be $500 per square foot of living space, but the land itself carries significant value beyond that number.

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