Real Estate

Precon Investment - should you buy a locker?

  • Last Updated:
  • Feb 15th, 2020 5:03 pm
[OP]
Jr. Member
Sep 11, 2017
163 posts
102 upvotes

Precon Investment - should you buy a locker?

For those investing in DT Toronto Preconstruction condos, what is you're philosophy on adding a locker to your purchase? Sure they can be quite small and the extra $5k+ to the purchase price is another cost. My premise is with land $$ ever increasing in the city, and condos becoming smaller & smaller, a locker for storage can be add beneficial value when selling down the line. Thoughts?
16 replies
Sr. Member
May 3, 2013
611 posts
175 upvotes
Toronto
It depends on the size you are buying. If you are getting a studio < 500sqft, a locker is very valuable. A bigger unit with more closet space, maybe you can get away without a locker. If you have a parking, then a locker is a must (for winter tires).
Deal Addict
Sep 11, 2007
4438 posts
631 upvotes
I think it's valuable, like lets be honest how much more cost will it add to your monthly mortgage ? If you don't use it, can always rent it out. It adds value when you're selling it.
Member
User avatar
Nov 5, 2018
492 posts
568 upvotes
Scarborough
I’ve always bought when it’s available because it’s not THAT much and usually adds to the value of the condo. But most new precons have waitlists for them.
Money, Common Stocks, Credit Cards, Coupons, Condos (MCCCC)
Deal Addict
Jan 9, 2010
1454 posts
659 upvotes
My agent has always advised against buying it even though I thought it would be a good idea for the reasons above. The explanation she gave me was that it adds to the maintenance fees and that you won't get more rent for it or that much more when it comes to the time to sell.
Deal Addict
User avatar
Dec 13, 2016
3118 posts
2501 upvotes
moofur wrote: My agent has always advised against buying it even though I thought it would be a good idea for the reasons above. The explanation she gave me was that it adds to the maintenance fees and that you won't get more rent for it or that much more when it comes to the time to sell.
Your agent is clueless.

Locker is a better investment than parking. Low fees, good rental potential if you don't use it and no maintenance required whatsoever.
Deal Addict
Jul 27, 2017
2026 posts
822 upvotes
GTA
BiegeToyota wrote: Your agent is clueless.

Locker is a better investment than parking. Low fees, good rental potential if you don't use it and no maintenance required whatsoever.
agree, although there are folks that will buy & not use the parking spot, or buy 2 parking spots.

dont know if condo rules allow folks to rent out their parking spots?

renting out your driveway/parking spot or garage in a major city could be better than renting out a condo.
Deal Fanatic
Feb 29, 2008
9273 posts
4365 upvotes
Depends on the size but I think it's worth it.
Deal Addict
Jan 9, 2010
1454 posts
659 upvotes
BiegeToyota wrote: Your agent is clueless.

Locker is a better investment than parking. Low fees, good rental potential if you don't use it and no maintenance required whatsoever.
To each their own I think, but there are indeed maintenance fees for a locker. Like I said, from a pure investment perspective, I can see her point, you don't get more rent with a locker, and it adds to the monthly fees. From a resale perspective it doesn't seem like it would allow you to sell for much more, although it does give you an advantage if you're looking at two identical units and one has a locker.

I think from a pure math perspective, you could theoretically rent out the locker separately and make a profit, but the hassle is probably not worth it.

A couple of threads that seem to have touched on this before:

https://forums.redflagdeals.com/pre-con ... e-2230530/
https://forums.redflagdeals.com/downtow ... r-2286969/
Deal Addict
Mar 21, 2010
4712 posts
1526 upvotes
Toronto
I'd always get a locker and parking space if it was an option. It's much more of a hassle to do it after the fact, and not having one can make the place a lot less attractive.
Deal Expert
User avatar
Aug 18, 2005
18867 posts
3528 upvotes
GTA West
I don't know what I would have done without my locker when I owned a highrise condo.

A lot of balcony furniture is 3-season.
Where are you going to store your Winter Tires?
Lots of my other car maintenance stuff went in there, since the locker was close to parking.
I had all sorts of other boxes and storage in there.
I have a giant multi-function printer, and I stored the original box in there. And it was invaluable many times for packing and moving the printer.
Deal Addict
Apr 5, 2016
3867 posts
2500 upvotes
Calgary/Vancouver
Seriously??? There's extra maintenance fees for lockers? I have never had a condo charge extra strata fee for lockers. Is this an Ontario thing?

Maintenance fees are based off of square footage. Lockers or parking makes no difference. Only exception to this would be EV charging.

Honestly, if you don't have a locker, you'll actually be compensating for those who do as you'll be paying for the security and electricity of managing those lockers in your own maintenance fees.

Renting out locker and parking is based on bylaws set by your strata council. This is why I always suggest to at least attend and participate in those council meetings. Even better if you get elected in. Then you'll have lower chances of having stupid bylaws being implemented.

EDIT: Oh my, seems like it actually is a Toronto thing. LOL Was curious on this so googled maintenance fee with lockers and it's all Toronto articles. Looks like they charge you extra $10-50 a month. That's so stupid, there's isn't even a significant increase in cost for maintaining those lockers. They don't even have water pumped into them LOL
Last edited by bomber17 on Feb 13th, 2020 11:22 pm, edited 1 time in total.
Current Fido customer.
Ex Koodo customer.
Jr. Member
Sep 11, 2007
152 posts
15 upvotes
toronto
definitely get it, if it's an investment property maybe, maybe not, but if for your own use, you will definitely need it especially with some DT 1 bed units sizing at 300sqf... crazy lol.
Deal Addict
User avatar
Dec 13, 2016
3118 posts
2501 upvotes
moofur wrote: To each their own I think, but there are indeed maintenance fees for a locker. Like I said, from a pure investment perspective, I can see her point, you don't get more rent with a locker, and it adds to the monthly fees. From a resale perspective it doesn't seem like it would allow you to sell for much more, although it does give you an advantage if you're looking at two identical units and one has a locker.

I think from a pure math perspective, you could theoretically rent out the locker separately and make a profit, but the hassle is probably not worth it.

A couple of threads that seem to have touched on this before:

https://forums.redflagdeals.com/pre-con ... e-2230530/
https://forums.redflagdeals.com/downtow ... r-2286969/
Of course there are maintenance fees for the locker. About 10 bucks a month in my building. What I meant there is no maintenance involving a locker. Nothing will break down.

Cost of a locker $5000-$6000

Rent it for $40-50 a month.

In more demand than a parking space.
Deal Addict
Dec 4, 2016
1659 posts
751 upvotes
If you live in a condo, a locker is really a must have. Without a garage or a basement, you're going to end up owning something you don't want hanging around in your living space. Even if your floor plan happens to have dead space, you still want to keep certain things out of sight when you're not using it.

Top

Thread Information

There is currently 1 user viewing this thread. (0 members and 1 guest)