Turning your Toronto condo into an Airbnb sounds like an easy way to make extra income. With a steady stream of tourists, business travelers, and temporary residents looking for short-term stays, the demand seems strong. But before listing your unit, you need to know whether it’s even allowed.
Toronto has strict short-term rental rules, and condo buildings have their own policies that can either support or ban Airbnb altogether. Even if your unit qualifies under city law, your condo board might not allow it. Ignoring these rules could lead to hefty fines or even legal action.
This guide breaks down everything you need to know before getting started. You’ll learn about Toronto’s Airbnb regulations, how condo boards enforce short-term rental policies, and whether you can still list your unit. Plus, we’ll dive into how much you can earn renting out a 1-bedroom condo on Airbnb and what expenses you need to consider. By the end, you’ll know if Airbnb is a smart investment or a hassle you’d rather avoid.
If managing all of this sounds overwhelming, you’re not alone. Many first-time hosts choose to work with professionals who understand the local rules and handle the day-to-day hosting. For hands-free support, check out Home Again’s Airbnb management services in Toronto.
TL;DR: Can You Airbnb Your Toronto Condo?
- Toronto allows Airbnb only in principal residences—you can’t list second homes or investment units.
- You must register with the city and pay a $375 annual fee (starting January 1, 2025).
- Entire home rentals are limited to 180 nights/year; private room rentals have no cap.
- Condo boards can override city rules, so always check your building’s bylaws first.
- Costs include Airbnb’s 3% host fee, 4% Municipal Accommodation Tax, cleaning, utilities, and more.
- Average income from a 1-bedroom condo could be $2,625–$3,000/month before expenses, depending on occupancy and pricing.
- To boost earnings, use great photos, offer flexible check-ins, update your calendar, and respond quickly to guest inquiries.
If it feels like too much to handle, consider working with a professional Airbnb property manager—especially if you’re new to hosting.
Is Airbnb Allowed in Toronto Condos? Understanding the City’s Rules
Before you start welcoming guests, you need to make sure your condo meets Toronto’s short-term rental regulations. The city has set strict conditions for operating an Airbnb, and not every property qualifies.
Toronto allows short-term rentals only if the unit is your principal residence. That means you can’t list an investment property or a second home for Airbnb, even if you own multiple condos. The city also requires all short-term rental operators to register their units, which costs $375 annually, starting 1/1/2025. Once registered, you must include your unique city-issued registration number on your Airbnb listing.
Another restriction is the 180-night limit for entire home rentals. If you plan to rent out your entire unit, you can only do so for up to half the year. However, renting out a private room in your home has no such limit. In addition, Toronto enforces a 4% Municipal Accommodation Tax (MAT) on all Airbnb bookings, which hosts must collect and remit.
Failing to comply with these regulations can lead to fines and legal trouble. To make sure you fully understand the city’s Airbnb policies, check out this comprehensive guide on Toronto’s Airbnb regulations.
Which Condos Allow Airbnb in Toronto?
While Toronto may legally permit short-term rentals like Airbnb in certain zones, your ability to list a condo depends heavily on your building’s condo board. Even if you’re in a condo that’s perfectly zoned for short-term rentals, many condo corporations have specific bylaws that either tightly regulate or completely ban Airbnb-style hosting. These rules are often designed to maintain building security, reduce wear-and-tear on common areas, and preserve a long-term resident community. Before listing your unit, it’s crucial to review your condo’s declaration and speak directly with the board or property manager—what’s allowed in one building might be completely off-limits in the one next door.
How to Check If Your Condo Allows Airbnb Hosting
To find out if your condo allows Airbnb, start by reviewing your condo corporation’s bylaws and declaration—these documents outline what’s permitted in your building. Look specifically for rules about “short-term rentals” or “transient occupancy.” Next, contact your property manager or condo board directly—they can confirm whether Airbnb hosting is allowed, restricted, or completely banned. Don’t rely on assumptions or what other residents are doing; rules can change, and violations can lead to fines or legal issues.
How to List My Condo on Airbnb in Toronto
If your condo allows Airbnb and you meet the city’s short-term rental rules, you’re good to go! Here’s what you need to do next:
Step 1: Register Your Condo with the City
To legally operate your Airbnb in Toronto, you must first register as a short-term rental operator with the city. Head over to the City of Toronto’s official website and complete the online registration process. There’s a $375 fee to register, and once approved, you’ll receive a unique registration number. This number must be included in your Airbnb listing—it’s a mandatory requirement to stay compliant with local regulations.
Step 2: Create Your Airbnb Host Account
If you don’t already have an Airbnb account, go to airbnb.ca and sign up. Select the “Host your home” option and follow the steps to set up your hosting profile. Make sure to have your Short-Term Rental (STR) registration number ready—Airbnb requires this to verify that your listing complies with Toronto’s regulations.
💡 Tip: When setting up your profile, use a clear and friendly photo and write a short personal bio to help build trust with potential guests. A welcoming profile can go a long way in attracting bookings.
Step 3: Set Up Your Listing
Now it’s time to bring your condo to life on Airbnb. Start by entering key details like property type (choose condo or apartment) and how many guests your space can comfortably host. Upload high-quality, well-lit photos that showcase important areas—think kitchen, bedroom, bathroom, views, and standout amenities. Craft a title and description that’s both catchy and honest, such as “Modern Downtown Condo Near CN Tower.” Don’t forget to list amenities like Wi-Fi, kitchen access, or parking, and set clear house rules to manage guest expectations. Well-presented listings with strong visuals and clear details tend to get more bookings and better reviews.
Step 4: Set Pricing
Decide how much to charge per night by either using Airbnb’s Smart Pricing tool or setting your own rates manually. Make sure to factor in additional costs like a cleaning fee, a security deposit, and possibly higher rates for weekends or peak seasons. To stay competitive, check what similar condos in your area are charging. Getting the price right is key—set it too high and you may struggle to get bookings, too low and you risk losing profit. Aim for a balanced rate that reflects your condo’s value while attracting steady guests.
Step 5: Add Availability & Booking Preferences
Set up your availability by syncing your calendar—especially if you’re listing your condo on multiple platforms. Decide whether to enable Instant Book, which lets guests book without approval, or stick with manual booking to screen requests first. Be sure to block off any dates when your condo isn’t available to avoid double bookings.
💡 Tip: If you’re new to hosting, consider offering a small discount for your first few guests to attract bookings and build up positive reviews quickly.
Step 6: Prepare for Hosting
Before welcoming guests, make sure your condo is guest-ready. Set up a reliable cleaning routine—cleanliness is one of the top factors in positive reviews. Double-check your insurance coverage, as Airbnb’s Host Guarantee might not cover everything. Also, stay on top of your condo board’s rules—there may be limits on guest access to amenities like the gym or pool. Skipping these steps can lead to complaints, fines, or legal issues, so it’s worth getting everything in order from the start. For a more detailed breakdown of what to prepare, check out The Ultimate Airbnb Host Checklist for a step-by-step guide.
How Many Condos in Toronto Are Used as Airbnb Rentals?
Toronto has a significant number of short-term rental listings, but the exact number fluctuates due to changing laws and enforcement efforts. Thousands of condos have been used as Airbnbs in the past, though the city’s crackdown on illegal short-term rentals has reduced the number of active listings.
Before stricter regulations were enforced, many condos operated as ghost hotels, where multiple units in a building were solely rented on Airbnb. However, today, only legal listings tied to a host’s principal residence remain. Many buildings have transitioned away from short-term rentals altogether, while others cater specifically to Airbnb-friendly landlords.
If you’re looking to maximize profitability, it’s important to consider which buildings still allow short-term rentals and whether they are actively enforcing restrictions.
How Much Can I Earn from a 1-Bedroom Condo on Airbnb in Toronto?
Your potential income from a 1-bedroom condo on Airbnb in Toronto depends on several factors—location, seasonality, local events, and guest demand all play a big role. On average, let’s say your nightly rate is $250, though this can vary widely depending on your building and time of year. If you maintain a 70–80% occupancy rate (roughly 10–13 nights per month for a total of 180 days a year), you could earn between $2,625 and $3,000 each month before expenses like cleaning, management fees, and taxes. To get the most accurate estimate, it’s best to monitor similar listings in your area or speak with a short-term rental property manager.
Costs to Consider
While Airbnb hosting can be profitable, it’s important to factor in the expenses that come with it. Airbnb charges a host service fee of around 3% per booking. Cleaning services typically cost between $50 and $100 per stay, depending on the size of your unit and the provider. You’ll also need to pay a 4% Municipal Accommodation Tax in Toronto, along with income tax on your rental earnings—learn more on the City of Toronto’s official site. Expect higher utility bills too, as short-term guests often use more water, electricity, and WiFi. Some condos may also charge additional fees specifically for short-term rental activity. For a deeper look at Airbnb hosting expenses and income potential, check out this detailed Airbnb earnings guide.
Tips for Maximizing Your Airbnb Rental in Toronto
Want to boost your earnings and attract more guests? These simple, realistic tips can help improve your condo’s performance without overcomplicating things:
💡 Use Professional Photos
You don’t need a luxury space to impress—just clean, bright photos that highlight what you offer. Hire a photographer if you can, or use natural light and a good phone camera to show off key areas like the bedroom, kitchen, and view.
💡 Offer Flexible Check-In Times
Travelers often arrive at odd hours. By allowing self check-in with a lockbox or smart lock, you remove a common barrier and make your place more appealing to busy or late-arriving guests.
💡 Keep Your Calendar Updated
Even if your availability doesn’t change much, regularly updating your calendar shows Airbnb that you’re an active host. This can help improve your visibility in search results and avoid booking mix-ups.
💡 Respond Quickly to Inquiries
You don’t have to be glued to your phone, but try to respond within a few hours. Fast replies can build trust and often make the difference between a guest booking your place or someone else’s.
💡 Adjust Pricing with Demand
Toronto’s short-term rental market can fluctuate a lot depending on the season or local events. Check what similar listings are charging and tweak your rates to stay competitive. You don’t always have to be the cheapest—just fairly priced.
For more thoughtful and practical advice, check out these strategies to boost your Airbnb occupancy rate.
Is Airbnb Right for Your Toronto Condo?
If you’re a Toronto condo owner, Airbnb can be a smart way to earn extra income—but only if you do it right.
✔ Start by checking your condo’s bylaws to make sure short-term rentals are allowed.
✔ Register your unit with the City of Toronto to stay compliant and avoid costly fines.
✔ Factor in all the expenses—host fees, cleaning, taxes, and utilities—before setting your prices.
✔ And most importantly, focus on delivering a great guest experience to keep your ratings high and your income steady.
If you’re exploring Airbnb in other cities, Home Again also offers expert short-term rental management in nearby markets. Learn more about our services in Mississauga, Hamilton, Kitchener, and more.
