What the fee covers, why it ranges from $0.59 to $1.50+ per square foot in Toronto, how to compare buildings accurately, and what rising fees signal.
Maintenance fees are one of the most misunderstood numbers in a condo listing. Buyers compare them across buildings without accounting for what's included, and they penalize high-fee buildings that actually represent good value while favoring low-fee buildings that may be inadequately funded. This guide explains what drives the fee and how to compare fairly.
Every maintenance fee has two components: the operating budget contribution and the reserve fund contribution. The operating budget pays for ongoing costs the building incurs every month: property management, building insurance, landscaping, cleaning, hydro for common areas, security, and similar recurring expenses. The reserve fund contribution is money set aside for major future repairs. Both are mandatory.
Beyond the two mandatory components, some buildings include utilities in the fee. Buildings that include heat, hydro, water, and cable in the maintenance fee will have significantly higher fees than those where utilities are individually metered. A $1,200/month fee that includes hydro and heat may be comparable in total cost to a $650/month fee in a building where you pay those separately. The only fair comparison is total monthly carrying cost.
The maintenance fee covers the common elements, not your unit. Your unit's interior, appliances, in-suite HVAC (heat pump, air handler), hot water tank if it's a private unit, flooring, fixtures, and any improvements you make, are all your responsibility. In buildings with individually metered utilities, your hydro and gas bills are separate from the fee.
Parking and locker storage fees may or may not be included depending on how they're structured. If parking is owned (a separate titled parking space), there's no separate parking fee. If parking is licensed to the unit by the corporation, a monthly parking charge may apply on top of the maintenance fee. Check the listing details carefully.
| Building type | Typical range ($/sqft/month) | Example: 700 sqft unit |
|---|---|---|
| Budget / utility-free | $0.59 – $0.70 | ~$413 – $490/month |
| Mid-range, utilities separate | $0.70 – $0.90 | ~$490 – $630/month |
| Mid-range, some utilities included | $0.80 – $1.10 | ~$560 – $770/month |
| Amenity-heavy, full service | $1.00 – $1.50+ | ~$700 – $1,050+/month |
A typical 700 square foot downtown Toronto condo with mid-range amenities and individually metered hydro runs around $875/month at the mid-point of the current range. Buildings with pools, 24-hour concierge, multiple fitness areas, and guest suites will be at the higher end. Smaller older buildings with few amenities and all-inclusive utilities often look expensive per square foot but compare well on total carrying cost.
The most common reasons a building has high fees are amenities, age, and utilities. Amenities cost money to run: pools have chemical and energy costs, concierge desks have staffing costs, and rooftop terraces require maintenance. A building with all of those will cost more to operate per unit than one with a gym and nothing else.
Older buildings often have higher fees because their infrastructure requires more maintenance and because reserve fund contributions are higher relative to newer buildings that haven't yet reached the repair cycle of their major components. A 1980s building with original elevators and aging mechanical systems will have a larger reserve fund requirement than a building from 2015, all else equal.
Management quality also affects costs. A well-managed building controls operating costs without cutting corners on maintenance. A poorly managed one either overspends on unnecessary items or defers maintenance that eventually becomes more expensive.
Fee increases of 2-5% annually are normal and expected. They reflect inflation in operating costs: energy prices, labour, insurance, and materials all increase over time. A building that hasn't raised fees in several years is more concerning than one that raises them 3% annually, because it suggests the board has been artificially suppressing increases to placate owners. That gap eventually closes through a larger catch-up increase or a special assessment.
Fee increases significantly above inflation, or a pattern of large irregular increases, suggest the building was underfunded and is correcting. This isn't necessarily a reason not to buy, but it means future costs were higher than the advertised fee implied. A look at fee history over the past 5 years at CondosReview.com gives useful context before you offer.
Step one is to determine exactly what the fee includes for each building you're comparing. Get the status certificate or the condominium's budget disclosure and read the operating budget breakdown. Step two is to add any costs that aren't included, such as separately billed utilities, to create a total monthly carrying number. Step three is to assess the reserve fund health, because a low fee paired with an underfunded reserve is a future cost that isn't reflected in today's number.
Two buildings with the same fee may have very different value propositions. One might include all utilities and have a healthy reserve. The other might have a low fee because reserves are thin and increases are coming. The status certificate is the only document that reveals all of this.
Reserve fund health and fee history are disclosed in the status certificate. Read our complete guide.
Status Certificate Guide