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Home Options

We'll help you identify the type of home you prefer by giving you the pros and cons of each.

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Resale vs. Newly Built

Choosing a new home from a floor plan can be exciting. However, it's difficult to know what it will look like when you move in; whereas, with a resale home, you know exactly what you're getting – inside and out.

  • Resale

    • You know exactly what your home will look like - inside and out
    • Available for you to move in
    • Neighbourhood and amenities, including schools, are already established
    • You don't pay GST
    • You pay land transfer tax (speak with a BMO Mortgage Specialist or in-branch mortgage representative or visit your provincial Finance Ministry site about land transfer rebates)
    • Possible character features such as crown molding or stained glass 
    • Possible maintenance or replacement costs in the near future as systems wear down 
    • Only covered under a provincial New Home Warranty program if less than a year old 
    • Usually less energy efficient 

  • Newly Built

    • You don't know exactly what your finished home will look like
    • Usually involves a waiting period
    • Neighbourhood might not be as well established if it's a new development area
    • You pay GST
    • You pay land transfer tax (speak with a BMO Mortgage Specialist or in-branch mortgage representative or visit your provincial Finance Ministry site about land transfer rebates)
    • Brand new features of your choosing
    • Less risk that brand new systems will need to be replaced in the near future
    • Covered under a provincial New Home Warranty program
    • Usually more energy efficient, saving you on overall expenses

Condominiums

Although condominiums are usually apartments, the term actually refers to the style of ownership, not the type of dwelling. "Condos" can be low-rise apartment buildings or even large houses divided into units. In some provinces this type of ownership is called "strata title" or "co-proprietorship." Co-operative ownership is slightly different and may have different financing requirements.

Pros

  • Less expensive way of entering the market or owning in a desirable neighbourhood
  • Fewer maintenance or repair worries (involves condo fees)
  • Increased security and accessibility (involves condo fees)

Cons

  • Monthly condo fees
  • Incorporation by-laws can restrict door and window treatments, pets or unit rentals
  • Could require attendance at corporation meetings
  • Possible special assessment fees for major repairs to the building or common areas

Houses

A house generally requires more work and more upkeep than a condo, but many people prefer it because they usually get more space and more control over their environment.

Each style of house offers its own unique features:

Single-Family Detached HouseProvides more options for renovating or even rebuilding. They are often situated on larger lots, and may be farther away from the neighbours (depending on location), which may mean less noise.

Semi-Detached HouseUsually less expensive than a comparable fully detached home, because the two side-by-side units share an adjoining wall; however, there may be noise issues for the same reason.

HouseWhile it looks like a detached house, the garage of a link house (also known as a carriage house) is attached to the neighbouring garage, with which it shares a wall. The basement walls of the home are often adjoined as well. Ownership and responsibilities are similar to a semi-detached, as are potential cost savings compared to a fully detached home.

TownhouseTraditionally consists of three or more homes attached side-by-side.Townhouses can also be stacked, so that units are above and below as well as side-by-side. Depending on the type of building and where your unit is situated, you may have one, two, or even three adjoining neighbours. Townhouses can be either full ownership or condominium ownership.

DuplexThis contains two units, situated either beside each other or one above the other. You own both units, which means you can generate rental income from the second unit.

Helpful mortgage resources

    Mortgage basics

    Learn how a mortgage works, how to build equity, and what terms like amortization actually mean.

    Insuring your home

    A BMO property insurance is an important part of the process. You’ve got your perfect home, now it’s time to protect it.

    Buying a home

    Buying a home is an exciting experience with a lot to navigate. We’ve got you covered every step of the way with our guide to the home buying process.

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