In the Greater Toronto Area, the added cost of a long commute often outweighs the savings from cheaper housing in the suburbs surrounding the city, according to a new study from the Canada Mortgage and Housing Corporation.
Homeowners attracted by the affordability of a house with a plot of land in a bedroom city can save money by commuting by public transit, the study found, but then the trade-off is the cost of your time as transit commuting takes longer than driving.
“It’s important that people are looking at the cost of commuting when they’re considering the cost of carrying a home,” said Andrew Scott, a senior analyst with CMHC.
“They also should be looking at commuting times … It can cost more than $500 a month to commute. It’s going to be a sizeable portion of your budget.”
Other people also stated that there are other costs should be considered too when doing the comparison and make the decision. For example, parking in downtown can be costly; in addition, most people still carry a car loan, there will be extra $200 – $300 cost to be taken inBACK TO NEWS FEED