Budgeting for Your First Canadian Home: Complete Cost Breakdown

Understanding the True Cost of Renting in Canada

When budgeting for your first Canadian home, it's essential to look beyond just the monthly rent. Many newcomers underestimate the total cost of renting, which can lead to financial stress. Here's a complete breakdown of all expenses you should consider.

Monthly Rental Costs

Base Rent

This is the amount you'll pay monthly for the unit itself. In major cities like Toronto and Vancouver, expect:

• Studio/1-bedroom: $1,500 - $2,500+
• 2-bedroom: $2,000 - $3,500+
• 3-bedroom: $2,500 - $4,500+

Prices vary significantly by neighborhood, building age, and included amenities. Research thoroughly before committing.

Utilities

Many rentals don't include utilities. Budget for:

• Electricity: $50 - $150/month (varies by season and usage)
• Heat: $80 - $200/month (winter months can be higher)
• Water: Often included, but can be $30 - $60/month
• Internet: $50 - $100/month
• Phone: $40 - $80/month

Some landlords include heat and water in the rent, which can save you money. Always clarify what's included before signing a lease.

One-Time Initial Costs

Security Deposits

Most landlords require deposits upfront:

• Last month's rent: Required in most provinces
• Security deposit: 0.5 - 1 month's rent (varies by province)
• Key deposit: $50 - $200 (usually refundable)

These deposits can add up to 2-3 months of rent upfront, so plan your budget accordingly.

Moving Expenses

Don't forget the cost of actually moving:

• Moving truck rental: $100 - $500
• Professional movers: $500 - $2,000+
• Moving supplies: $50 - $150
• Storage (if needed): $100 - $300/month

If you're moving from another country, international moving costs can be significantly higher.

Furniture and Essentials

If renting unfurnished, budget for:

• Basic furniture: $1,000 - $5,000
• Kitchen essentials: $200 - $500
• Bedding and linens: $200 - $400
• Cleaning supplies: $50 - $100
• Basic appliances: $300 - $1,000 (if not included)

Ongoing Monthly Expenses

Tenant Insurance

Most landlords require tenant insurance:

• Basic coverage: $20 - $40/month
• Comprehensive: $40 - $80/month

This protects your belongings and provides liability coverage. It's often required by landlords and is a wise investment.

Parking

If you have a vehicle:

• Included parking: Often free or included in rent
• Additional parking: $50 - $200/month
• Street parking permit: $20 - $100/month (varies by city)

Laundry

If not in-unit:

• Coin laundry: $20 - $50/month
• Laundromat: $30 - $60/month

Budget Planning Tips

The 30% Rule

Financial experts recommend spending no more than 30% of your gross income on housing. This includes:

• Base rent
• Utilities
• Tenant insurance

If housing costs exceed 30% of your income, you may struggle with other expenses.

Emergency Fund

Always maintain an emergency fund covering:

• 3-6 months of expenses
• Unexpected repairs or replacements
• Job loss protection

This provides financial security and peace of mind.

Hidden Costs to Consider

• Application fees: Some landlords charge $25 - $100
• Credit check fees: $20 - $50
• Pet deposits: $200 - $500 (if applicable)
• Parking tickets: Budget for occasional fines
• Maintenance: Minor repairs you're responsible for

Sample Budget Breakdown

For a $2,000/month 2-bedroom apartment in Toronto:

How Settura Helps You Budget

Settura makes budgeting easier by:

• Transparent pricing: All costs clearly listed upfront
• Budget calculator: Tools to help you plan your expenses
• No hidden fees: Clear, honest pricing from verified landlords
• Financial guidance: Resources to help you understand Canadian rental costs

Ready to find affordable housing? Join Settura and browse verified listings with transparent pricing that fits your budget.