Starter homes in London: what first-time buyers start with

Last reviewed October 30, 2026

When renters compare their rent with owning, the question is really "owning what?" Here are the types of homes London first-time buyers most often start with, and how each compares with renting.

Condo apartments

Often the most affordable way into ownership, found downtown, in the north end and along main corridors across the city.

Pros

  • Lowest purchase price in many areas
  • Little maintenance, since the building handles the exterior
  • Feels familiar to apartment renters

Cons

  • Monthly condo fees, which also affect mortgage qualification
  • Building rules on pets, rentals and renovations
  • Risk of special assessments in under-funded buildings

Before buying, have a lawyer review the status certificate.

Townhouses

London has many townhouse complexes, both condo (with fees) and freehold (without). They offer more space than an apartment, often with a small yard and a basement.

Pros

  • More space, often multiple levels and a basement
  • Condo townhouses: exterior maintenance included
  • Freehold townhouses: no fees

Cons

  • Stairs
  • Condo fees and reserve fund questions (condo townhouses)
  • Shared walls

Semi-detached homes

A step toward a "house" feel at a lower price than detached, found in many established neighbourhoods.

Pros

  • Yard and more privacy than a townhouse
  • No condo fees (usually freehold)
  • Often room to grow

Cons

  • One shared wall
  • All maintenance is on you
  • Older semis may need updating

Small detached homes

Bungalows and smaller older homes in established areas such as the east end, the south end and parts of the west can be within reach for some first-time buyers, especially couples or buyers using several first-time programs.

Pros

  • Full control, with a yard and no shared walls
  • Potential to add value through updates
  • Possible space for a future secondary unit

Cons

  • Older systems: roof, furnace, electrical, plumbing
  • Highest maintenance budget
  • Needs a thorough inspection

A house with an income suite

Some first-time buyers buy a home with a legal secondary unit and rent it out to help with the mortgage, often called "house hacking". It can make ownership affordable sooner, but you become a landlord, with all the responsibilities that brings. Our sister site London Income Property explains how it works.

Comparing a starter home with your rent

For each type, estimate the total monthly cost of owning (see the cost of owning) and compare it with your current rent. Remember that part of the mortgage payment is principal, which you keep. For many London renters, a condo or townhouse comes surprisingly close to their current rent, while a detached house usually costs more each month.

New or resale?

New townhouses and condos are available in growth areas, and first-time buyers of new homes may qualify for the federal first-time buyers' GST rebate and Ontario's new housing rebates. Resale homes are usually ready sooner and in more established neighbourhoods.

Thinking ahead

Your first home doesn't have to be your forever home. Many people buy a condo or townhouse, build equity for several years, then move up. If that's your plan, consider resale appeal: location, layout, parking and building reputation all matter when it's your turn to sell.

Questions to ask on every viewing

Your local agent

Curious what owning would look like for you?

Comparing renting and buying only works with real numbers: actual homes in your price range, in neighbourhoods you'd want to live in. Rayna Elabed, a Sales Representative with CENTURY 21 First Canadian Corp., Brokerage in London, can show you what's available and what similar homes have recently sold for, so you can compare it fairly with your rent. No pressure, and no obligation to buy.

Browse London listings with Rayna