Is it better to rent or buy in Ontario if I might move in 3 years?

Renting is usually the better choice if there’s a real chance you’ll move in 3 years in Ontario. That time frame is short, and buying and then selling can eat up a lot of your gains.

Why renting often wins:

• Buying comes with big upfront costs: land transfer tax, legal fees, inspection/appraisal, title insurance, and moving costs
• If you sell, you may also pay realtor commissions, legal fees, mortgage discharge fees, and possible prepayment penalties
• Ongoing ownership costs add up: property tax, insurance, maintenance, condo fees, repairs, and interest

Buy only if:

• You’re confident you can stay longer, or
• You could keep the place and rent it out if you move

Bottom line: if moving in 3 years is a real possibility, renting is usually safer and more flexible. Buying makes more sense if the price is strong, your move risk is low, or you’d be happy holding the property as a rental.

Check the current costs for your city, since Toronto’s extra municipal land transfer tax can make buying even more expensive.