First Home in Markham: Condo, Townhouse or Detached?

The short answer

• Get pre-approved for a mortgage before you start looking so you know your real budget, including rate and stress test results.
• Budget for closing costs on top of your down payment, typically land transfer tax, legal fees, title insurance and adjustments.
• Ontario offers a land transfer tax rebate for eligible first time buyers, which can meaningfully reduce your closing costs.
• Markham has a wide price range depending on the neighbourhood, so decide early whether a condo, townhouse or detached home fits your budget.
• Use a real estate lawyer and a buyer’s agent who represents your interests, not the seller’s.

Why Markham is different from other GTA markets

Markham sits in York Region, just north of Toronto and it draws buyers who want more space and newer construction without leaving the GTA entirely. That demand has kept prices firm across most property types, though the gap between a condo in Markham Centre and a detached home in Unionville or Cathedraltown can be significant.

For a first time buyer, this matters because “average price” numbers reported for Markham blend very different products. A townhouse near Highway 7 and a large detached home near Angus Glen are both technically Markham real estate, but they serve very different budgets and lifestyles. Any Markham first time home buyer guide worth reading should push you to look at price by property type and by specific area, not just the citywide average.

How much you actually need to save

Your down payment is the most obvious number, but it is rarely the only one. In Canada, minimum down payment rules are tiered: 5% on the first portion of the purchase price, a higher percentage on the portion above that threshold and 20% or more once you are above the insured mortgage limit. Because home prices in Markham often sit in the range where these tiers apply, it’s worth running your specific numbers with a mortgage broker rather than assuming a flat 5% or 20%.

Beyond the down payment, plan for closing costs separately. These typically run a few percent of the purchase price and include:

• Land transfer tax (Ontario provincial tax, calculated on a sliding scale based on purchase price)
• Legal fees and disbursements
• Title insurance
• Home inspection fees, if you order one before waiving conditions
• Adjustments for prepaid property tax or utilities the seller has already covered

None of these numbers should be guessed at closing time. Ask your lawyer for an estimated statement of adjustments as soon as you have an accepted offer, so there are no surprises.

Government programs worth checking into

Several programs exist specifically to help first time buyers, though eligibility and amounts change from year to year, so confirm details before you build them into your budget.

• First Home Savings Account (FHSA): a registered account that combines features of an RRSP and TFSA, letting eligible first time buyers save and withdraw funds tax-free for a home purchase.
• Home Buyers’ Plan (HBP): allows eligible buyers to withdraw funds from an RRSP toward a down payment, which must be repaid over time.
• Ontario Land Transfer Tax Rebate: a rebate on the provincial land transfer tax for qualifying first time buyers, applied at closing by your lawyer.

Because Markham is not within the City of Toronto’s municipal boundary, buyers here pay only the provincial land transfer tax, not Toronto’s additional municipal tax. That is one real cost advantage of buying in Markham versus buying downtown and it is worth mentioning because a lot of buyers assume the Toronto tax applies region-wide. Confirm current rebate thresholds with your lawyer or the Ontario Ministry of Finance, since these figures are adjusted periodically.

Choosing between a condo, townhouse or detached home

This decision usually comes down to budget first, lifestyle second. Markham has a genuine mix of housing stock and each type comes with its own trade-offs for a first time buyer.

Condos and condo townhouses

Generally the most accessible entry point, especially in areas like Markham Centre or near the Highway 7 corridor. You’ll pay monthly maintenance fees that cover building upkeep, amenities and sometimes utilities, so factor that into your monthly carrying costs, not just your mortgage payment.

Freehold townhouses

A middle ground for buyers who want a bit more space and no condo fees, but still a manageable price point compared to a detached home. Many newer Markham communities, particularly further north and east, have a strong supply of freehold towns.

Detached homes

The highest price point, concentrated in established neighbourhoods like Unionville, Cathedraltown, Berczy Village and Cornell. These areas also tend to carry a premium for school boundaries, which matters a great deal to many Markham buyers even before they have children.

Comparing property types at a glance

Property type	Typical buyer	Ongoing costs to plan for	Where to look in Markham
Condo apartment	Single buyers, couples, downsizers	Monthly maintenance fees, property tax	Markham Centre, Highway 7 corridor
Condo townhouse	First time buyers wanting more space	Lower maintenance fees than high-rise, property tax	Cornell, Wismer, Cathedraltown
Freehold townhouse	Growing households, move-up buyers	No maintenance fees, own exterior upkeep	Cornell, Box Grove, Greensborough
Detached home	Families, long-term buyers	Full maintenance, landscaping, higher property tax	Unionville, Berczy Village, Angus Glen

The buying process from offer to closing

Once you find a home and get pre-approved financing lined up, the process generally follows the same steps regardless of property type. Understanding the sequence removes a lot of the anxiety for a first time buyer.

• Submit an offer with your agent, including any conditions such as financing or inspection.
• Negotiate terms with the seller, which may involve one or more counter-offers.
• Fulfill or waive conditions within the agreed timeframe, often five to ten business days.
• Firm up the deal once conditions are satisfied, then hand the file to your lawyer.
• Close on the agreed date, usually 30 to 90 days after the offer is accepted, when funds and keys change hands.

Multiple offer situations still happen in Markham on well-priced homes in desirable pockets, so having your financing fully sorted before you write an offer puts you in a stronger position than a buyer who is still waiting on approval.

Mistakes first time buyers make in Markham

A few patterns show up again and again with new buyers in this market. Knowing them ahead of time can save you money and stress.

• Shopping by citywide average price instead of by neighbourhood and property type, which leads to disappointment or overspending.
• Waiving a home inspection to compete on offer day without understanding what that risk actually means for an older home.
• Underestimating closing costs and having to scramble for cash right before possession.
• Not accounting for school boundaries, commute routes or future transit plans that affect long-term resale value.
• Working with an agent who primarily represents sellers, rather than one focused on buyer representation.

What to do next

Start this week by getting a mortgage pre-approval from a broker or your bank, so you know your real price range before you fall in love with a listing. Pull together your down payment sources and check whether an FHSA or the Home Buyers’ Plan makes sense for your situation. Make a short list of two or three Markham neighbourhoods that fit your budget and commute, then start touring in person rather than relying only on listing photos. Finally, line up a real estate lawyer early so they can review your offer before you sign, not after.

If you’re a first time buyer trying to make sense of Markham’s neighbourhoods, price points and closing costs, I’m happy to walk through it with you. Reach out to Kirby Chan directly and we can put together a realistic plan based on your budget and what actually matters to you in a home.