blog-banner

Are you looking for a contractor?

Submit our quick form and get quotes now!

Custom House Builds in Toronto: Are They Expensive?

By Editorial Team

Updated on July 19, 2024

Custom house

Building a custom home in Toronto in 2024 offers an exciting opportunity to create a living space that perfectly reflects your lifestyle, preferences, and needs. As Canada's largest city and a hub of architectural innovation, Toronto provides a diverse canvas for homeowners to bring their unique visions to life.

In 2024, the process of building a custom home in Toronto involves careful planning, significant investment, and navigating a dynamic real estate market. The cost to build a custom home in the city typically ranges from $500 to $750+ per square foot, depending on factors such as location, design complexity, and material choices. This translates to a substantial investment, but one that allows for complete customisation and long-term satisfaction.

The journey from concept to completion usually spans 12 to 24 months, encompassing stages such as land acquisition, design and architectural planning, obtaining necessary permits, and the actual construction process. Each phase requires careful consideration and expert guidance to ensure the final result aligns with your dreams while adhering to local regulations and building standards.

As you embark on this exciting venture, it's crucial to understand the various elements that contribute to the overall cost and timeline of your project. From selecting the perfect location to choosing sustainable building materials and incorporating smart home technologies, building a custom home in Toronto in 2024 presents an opportunity to create a space that's not just a house, but a true reflection of your personal style and values.

Why Build a Custom Home?

bright modern wooden house with beautiful designer garden

Source : Matière de goût

Building a custom home in Toronto in 2024 offers several compelling advantages:

Personalisation

 A custom home allows you to create a living space that perfectly suits your unique needs, preferences, and lifestyle. You can infuse your personality into every aspect of the design, from layout to finishes.

Market Conditions

The limited supply of suitable luxury homes over $4 million in Toronto's real estate market makes building a custom home an attractive option to get exactly what you want without compromising or committing to immediate renovations.

Economic Stability

Toronto's robust and diverse economy, accounting for 20% of Canada's GDP, provides a stable foundation for real estate investment. The city's economic health and low unemployment rate make it a favourable location for custom home building.

Future Cost Considerations

While construction costs are currently high, they are expected to continue rising due to labour shortages and increasing material prices. Building now may be less expensive than waiting, as the proportion of labour costs is projected to increase from 50% to 55% in the near future.

Strong Luxury Market

Despite economic challenges, Toronto's luxury construction market shows no signs of slowing down. The city's growing population (over 150,000 people per year) is expected to maintain demand for luxury homes and condos.

Sustainability and Efficiency

Custom homes in 2024 are incorporating sustainable design principles, energy-efficient features, and high-performance building envelopes. This focus on sustainability can lead to long-term cost savings and reduced environmental impact.

Smart Home Integration

Building a custom home allows you to incorporate the latest smart home technologies from the ground up, enhancing convenience, comfort, and security.

Adaptability

Custom homes can be designed with flexible spaces and multigenerational living options, accommodating changing family dynamics and work-from-home needs.

Investment Potential

Given Toronto's strong real estate market and growing population, a well-designed custom home has the potential for significant appreciation over time.

Key Trends Shaping Toronto's Custom Home Market in 2024

bright modern stone house

Source : Futura Québec

These trends reflect a focus on sustainability, technology integration, flexible living spaces, and personalised design in Toronto's custom home market for 2024.

Sustainability and Energy Efficiency

There's a growing focus on eco-friendly features and sustainable design principles. This includes passive solar design, green roofs, energy-efficient appliances, and high-performance building envelopes with advanced insulation and triple-glazed windows.

Smart Home Integration

Custom houses are increasingly incorporating automated systems for lighting, climate control, security, and entertainment, enhancing convenience and comfort.

Open-Concept Floor Plans

 Spacious, flexible layouts that create seamless flow between living spaces remain popular among homeowners.

Multigenerational Living Spaces

Designs that accommodate extended family members while maintaining privacy are gaining traction, reflecting changing family dynamics.

Wellness-Focused Design

Custom homes are incorporating elements that promote physical and mental well-being, such as dedicated fitness rooms, spa-like bathrooms, and biophilic design principles.

Home Offices and Flex Spaces

With the rise of remote work, dedicated areas for productivity and creativity are in high demand.

Personalised Amenities

Builders are offering a wide range of customisable features to suit individual lifestyles, such as wine cellars, outdoor kitchens, and home theaters.

Modular Construction Techniques

This approach is gaining popularity due to its efficiency, cost-effectiveness, and design flexibility.

Collaborative Design

Builders are increasingly working with architects and interior designers to create homes that are both aesthetically pleasing and highly functional.

Luxury Market Growth

The luxury custom home market in Toronto remains strong, with continued demand for high-end properties.

The Latest Smart Home Technologies Being Integrated into Custom Houses in Toronto

a modern, technological kitchen

Source : Industries DME

Several cutting-edge smart home technologies are being integrated into custom houses enhancing convenience, security, and energy efficiency. These technologies reflect a growing trend towards creating houses that are not only more convenient and secure but also more energy-efficient and responsive to the needs of modern living. Here are the most popular features:

Automated Lighting Systems

These systems allow homeowners to control lighting through voice commands, mobile apps, or preset schedules, improving energy efficiency and convenience.

Smart Climate Control

Advanced thermostats and HVAC systems can be controlled remotely and programmed to optimise energy use, ensuring comfort while reducing utility costs.

Security Systems 

Modern security solutions include smart locks, video doorbells, and surveillance cameras that can be monitored and controlled via smartphones, providing enhanced safety and peace of mind.

Integrated Entertainment Systems

Custom homes are incorporating centralised control for audio, video, and streaming services, allowing seamless entertainment experiences throughout the house.

Voice-Activated Assistants

Devices like Amazon Alexa, Google Assistant, and Apple HomeKit are being integrated to control various home functions, from lighting and climate to security and entertainment, through voice commands.

Smart Appliances

Kitchens and laundry rooms are being equipped with smart appliances that can be controlled remotely, offer energy-saving modes, and provide maintenance alerts.

Home Automation Hubs

Centralised systems that integrate and control all smart devices in the home, providing a unified interface for managing lighting, climate, security, and entertainment.

Energy Management Systems

These systems monitor and optimise energy usage, integrating with solar panels and battery storage to enhance sustainability and reduce costs.

Smart Irrigation Systems

Automated irrigation systems that adjust watering schedules based on weather conditions and soil moisture levels, promoting water conservation.

Health and Wellness Technologies

Features such as air quality monitors, circadian lighting systems, and smart fitness equipment are being integrated to promote a healthier living environment.

How Much Will a Custom New House Cost to Design and Build in Toronto, Ontario?

living room with high wooden ceiling and farmhouse decor

Source : Allure Construction Inc

Building a custom home in Toronto in 2024 is a significant investment, with costs typically ranging from $370 to $850 per square foo. Here are some key factors to consider:

Price Breakdown for New House Construction (Average Per Square Foot)

  • The average cost for custom homes in Toronto is between $400 and $550 per square foot.

  • High-end custom builders may charge between $250 and $450 per square foot, which is generally double the price of production houses.

Factors Affecting Cost

  • Location: Property prices vary significantly across Toronto neighbourhoods.

  • Design complexity: Unique or complex architectural designs increase costs.

  • Materials and finishes: Luxury materials and high-end finishes drive up expenses.

  • Size and vertical space: Larger homes and those with higher ceilings cost more.

  • Site conditions: Lot accessibility and excavation requirements impact costs.

Market Conditions

  • Toronto's luxury construction market remains strong, with continued demand for high-end homes.

  • Material and labour costs have been increasing, with labour potentially accounting for 55% of construction costs in the near future.

Timeline

  • The entire process, from property acquisition to completion, typically takes 1.5 to 2.5 years.

  • Design and city approval usually take 4-8 months, while construction takes 1 to 1.5 years.

Considerations

  • Recent changes in Toronto's housing market, including new taxes and zoning restrictions, have made the custom house building process more complex.

  • The shortage of skilled tradespeople in Toronto may affect project timelines and costs.

When planning to build a custom home in Toronto in 2024, it's crucial to work with experienced professionals who can navigate the current market conditions and regulations. Careful budgeting and prioritising your must-have features will help ensure your project stays on track financially while delivering the home of your dreams.

While challenges exist, such as navigating complex regulations and managing costs, partnering with experienced professionals can help streamline the process. Ultimately, building a custom house in Toronto in 2024 is not just about creating a house; it's about crafting a unique living experience that reflects your personal style and enhances your quality of life for years to come.

In Summary, How Expensive Is It, on Average, to Build a Custom House in Canada's "The Six"?

As highlighted in this article, building a custom home in Toronto in 2024 generally costs between $370 and $850 per square foot. This range is influenced by factors such as location, design complexity, materials, and current market conditions in Toronto's real estate and construction sectors.

Want to learn more about other areas of your home that can be custom-built? Check out these articles:


Get 3 quotes for your renovation project

RenoQuotes.com can help you get quotes from a general contractor. By submitting your project, we’ll put you in contact with top-rated contractors. Fill in the form on the homepage (it only takes a few minutes) and get estimates from trusted professionals.

Dial 1-844 828-1588 to speak with one of our customer service representatives.

Get 3 free quotes for your project!

Submit a project and get 3 free quotes!

Looking for something else?

Table of contents

7 min read

Get 3 free quotes for your project!

Submit a project and get 3 free quotes!

Are you a contractor?

Join our network and receive real leads!

Download the price guide for renovations

We’ll be emailing you the latest market price guide for renovations.



Related articles

The latest industry news, interviews, technologies, and resources.

7 min read

Editorial Team • 01 Aug 2024

The Average Cost of New Construction in 2024

New homes are increasingly in demand. In fact, they're very popular with young professionals looking for a modern and comfortable living space. Gone are the days of people purchasing to restore and remodel; the trend’s now set toward new construction. And it's understandable!

Price guide
7 min read

Editorial Team • 25 Jun 2024

Cost of Electrical Repairs in 2024

An electrical installation won’t last a lifetime, and some of its operative components will eventually need to be replaced. There are several reasons behind a home renovation project: to improve aesthetics, enhance comfort, or increase energy efficiency. 

Price guide
5 min read

Editorial Team • 07 Nov 2023

Everything You Need to Know About a Wet Room

If you haven’t heard of a wet room before, we recommend you start paying attention to this growing trend. The wet room is becoming more desirable as a minimalist, one-of-a-kind feature that works to add value to your home.

7 min read

Editorial Team • 07 Nov 2023

The Different Air Conditioner Brands

It's all too easy to be overwhelmed by the countless brands and models of air conditioners. For this reason alone, you have to do plenty of research before you head out the door to buy one. Today, many air conditioner models work efficiently while also being energy efficient. However, it’s important to know each model’s features to make sure it fits your needs.

Interior renovations
6 min read

Editorial Team • 14 Nov 2024

Fence Cost Guide - How Much to Budget for Your Renovations in 2024?

Curious about the cost of a new fence and what type would best suit your property line? Whether it's ornamental fences and gates or wooden designs, each option offers distinct benefits and pricing. What are the most durable materials and what about the low-maintenance fences? How much should you budget to install a PVC or aluminum fence? This article features a useful guide, detailing distinct characteristics and cost-influencing factors unique to every type of fence to help you make a well-informed project-based decision.

Price guide

Looking for a contractor?

Submit a project and get 3 free quotes now!