What Are Condo Fees in Canada? Everything You Need to Know Before Buying a Condo

As condominiums continue to grow in popularity across Canada—particularly in major cities like Toronto, Vancouver, and Calgary—understanding condo fees has become essential for prospective homebuyers. Whether you're a first-time buyer, a downsizer, or someone seeking a low-maintenance lifestyle, this guide explains what condo fees are, how they’re calculated, what they cover, and how they affect your total cost of ownership.

What Are Condo Fees?

Condo fees, also known as maintenance fees, are mandatory monthly payments made by every condominium unit owner. These fees are used to cover the costs of building operations, upkeep of shared amenities, and future repair reserves. They are separate from your mortgage payments and are non-negotiable.

The amount you pay depends on your unit’s size and share of the overall condo property. Larger units or those with premium features (such as corner layouts or multiple parking spots) typically carry higher monthly fees.

🔑 Quick Fact: Condo fees are mandatory in divided co-ownerships but not in *undivided co-ownerships.

Divided vs. Undivided Co-Ownership: What’s the Difference?

✅ Divided Co-Ownership

• The most common form of condo ownership in Canada.
• You own your private unit (plus any deeded parking/storage).
• You share ownership of common elements (lobbies, elevators, gyms).
• Minimum 5% down payment.
• You can sell your unit independently.

⚠️ Undivided Co-Ownership

• You co-own the entire building, not an individual unit.
• Requires a 20% down payment.
• More flexibility but shared decisions with other owners.
• Often seen in older buildings or cooperative housing.

How Are Condo Fees Calculated?

Condo fees are calculated based on:

• Unit size (square footage or percentage share of the building)
• Annual operating budget
• Reserve fund contributions
• Included utilities
• Amenities offered

These fees are reviewed and adjusted annually by the condo board based on operating costs and future maintenance projections.

How Much Are Condo Fees in Canada?

Condo fees vary widely by location, building type, and amenities. Here's a snapshot of average fees per square foot across major cities (source: WOWA.ca):

For example, a 700 sq. ft. condo in Toronto would cost around $490/month in fees, while the same size unit in Montreal may be just $189/month.

🚨 Watch Out: Extremely low condo fees could be a red flag for deferred maintenance or an underfunded reserve.

What Do Condo Fees Cover?

Condo fees typically include:

1. Utilities

• Water (almost always included)
• Heat (sometimes)
• Electricity (depends on individual metering)
• Garbage & snow removal
• Common area heating/lighting

2. Maintenance & Repairs

• Landscaping
• Window cleaning
• Roof repairs
• Elevator maintenance
• Exterior work

3. Building Amenities

• Gym, pool, sauna
• Party/meeting rooms
• Concierge service
• Rooftop terraces
• Guest suites

4. Reserve Fund Contributions

A portion of each fee goes into a reserve fund, a savings account used for major repairs (e.g., roofing, HVAC, garage resurfacing). If this fund is insufficient, owners may face a special assessment.

5. Insurance & Administration

Covers the building’s master insurance policy and day-to-day management by a property manager or board.

💡 Even if you don’t use the amenities, you're still responsible for paying for their upkeep.

Do Condo Fees Include Utilities?

In many Canadian condos, some utilities are included. Always confirm what’s covered in your specific building:

• Included Most Often: Water, garbage, common area lighting
• Sometimes Included: Heat, gas
• Rarely Included: Electricity (especially in newer units)

Having more utilities included means higher condo fees but more predictable monthly costs.

Do Townhouses Have Condo Fees?

Yes, condo townhomes also carry condo fees. These are often lower than high-rise buildings due to fewer shared amenities, but they still cover:

• Snow and lawn care
• Shared driveways and roofs
• Exterior maintenance
• Reserve fund contributions

Do Condo Owners Pay Property Tax?

Yes. Property taxes are NOT included in condo fees. Each condo owner is responsible for paying property taxes separately, based on the assessed value of their individual unit.

Rates vary by municipality. For example:

• Toronto: ~0.72%
• Vancouver: ~0.28%

These taxes fund local services such as schools, fire departments, roads, and transit.

What is a Status Certificate and Why is It Important?

Before buying a condo, request the Status Certificate—a detailed document that outlines the financial health of the condo corporation. It includes:

• Current condo fees
• Reserve fund balance
• Planned increases or special assessments
• Legal issues involving the condo board

📄 Cost: Around $100 in most provinces—worth every penny for peace of mind.

Final Thoughts: Plan Ahead for Condo Living

Condo ownership offers a low-maintenance, lifestyle-rich alternative to traditional detached homes. However, understanding condo fees is crucial for budgeting, long-term planning, and making an informed purchase.

Before buying, make sure to:

• Understand what your monthly condo fees cover
• Review the Status Certificate
• Ask your Realtor about potential fee increases
• Budget for property taxes and insurance separately

Ready to Buy a Condo in Canada?

A trusted RE/MAX agent can guide you through the buying process, help you interpret condo documents, and ensure you’re making a smart investment. Reach out today to start your condo search with confidence.

🏢 Connect with a RE/MAX President professional and experience the difference that expertise makes.