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Multi-Generational Family Renovations In Toronto

Multi-Generational Family Renovations and Home Building Ideas

Today’s real estate market in Toronto has altered how Toronto-based families are approaching the utilization of their homes and properties. Namely, families are trying to find creative ways to create separate spaces for the different generations in hopes to comfortably live on the same property. With the many changes to the Toronto Zoning Bylaws to allow for more density in residential zones along with the exciting establishment of Laneway Suites and Garden Suites in Toronto there is no shortage of opportunities for families to take advantage of their parcel of land and make it more affordable as a family to live in one of the most expensive Cities in the World.

In this article we break down the benefits of multi-generational homes, the different renovation and home building projects available, and the tax credits that you can take advantage of in particular circumstances within the City of Toronto.


What are the benefits of multi-generational Homes in toronto?

There are a wide range of benefits that you can expect when planning for a multi-generational home and property:

  1. Expenses Get Shared

    • When you are living with more people you have the ability to share expenses, including groceries, utilities, property taxes, and other home expenses.

  2. Consolidation Of Assets

    • If your family members have other homes or properties that that they own or live in, the creation of an Intergenerational home would allow for the liquidation of those assets (or at the very least provide additional income by way of renting the property)

  3. Rental Income from Family Members

    • The ability to give your family members a separate and livable space within your own home will provide you the opportunity to save your children money on the astronomical costs of rent in Toronto while still charging them rent to cover expenses around the home. It is a win-win in many cases as your child can presumably save up money and can help you subsidize expenses around the property.

  4. Shared Household Tasks

    • The more people there are the more hands there can be to help out. Spring Cleaning, food prep, and shoveling the driveway are just a few options.

  5. Built-in Babysitter(s)

    • For soon-to-be parents there are many built-in benefits to having your parents around, but the flexibility of walking down a set of stairs to drop your child off to grandma and/or grandpa so you can run errands is a huge benefit. With the cost of daycare nowadays it will save you quite a bit of money if your family is around and okay with partially handling the care of your child.

  6. Same Property, Different Dwelling

    • With the ability for properties to create ancillary dwellings (Garden Suites and Laneway Suite), there is the ability for a family to live on the same property but have their own spaces.


What types of renovations or home building projects should a multi-generational family consider?

Living in Toronto is definitely expensive but it comes with many different options for developing property. As an owner of a residentially zoned property in Toronto you have the following options to consider when setting it up for multiple generations:

Most cost-effective: Legal Basement Apartment or Secondary Suite within existing home

The process of setting up a legal secondary apartment within your existing home is usually very straight-forward in a lot of properties within Toronto. Note that you do not necessarily need to put the secondary apartment into your basement, but it is usually the most popular option if the ceiling height is conducive to having an apartment.

If your zoning allows for it: Single Family to Triplex/Fourplex Conversion

If your residential property is zoned as R or RM then you may be able to convert your property into even more units. A triplex would be a great option for a multi-generational family with children as you can rent out the third unit till the children get old enough then they can have the third unit when they are old enough. If your property has three levels you will have a good chance at setting up your property to become a triplex. Fourplexes require quite a bit of space to properly accomplish but are entirely possible to complete with the right properties.

If You Have a Large Enough Backyard: Garden Suite Construction

For many of the suburbs of Toronto with larger property sizes with suitably sized backyards, garden suites might be a great option. Though the cost of constructing a garden suite is more than retrofitting your existing home to be a multi-unit apartment, you are able to create a completely separate structure that could allow you to create the feeling of independence without the price tag of buying a new property. You can easily build a garden suite for less than the cost of buying a new property (way less if you follow our cost saving garden suite guide) so when you look at it from that perspective it becomes a very affordable option to create a secondary dwelling.

If you have a laneway abutting your property: Build a Laneway Suite

The laneway suite program has been around for a bit longer than the garden suite program and there are way more use cases that can be looked at to determine if your property would be eligible. The benefits and drawbacks for building a laneway suite are very similar to building a garden suite, though usually the properties are not as large. This means that you may be more constrained than when designing a garden suite but you can still create a very comfortable space for your family to live in.

Home Additions Could Allow For More Space + Additional Units

If you have an existing home that your family needs more space in AND you are looking to consolidate different generations of family under one roof a home addition could be the right solution. If you have a bungalow you can complete a second storey addition to create more space for your growing family, but also install a legal basement apartment to allow for your parents to live in the property as well. We have completed this type of project many times for families with a lot of success.

New Home Builds Could Allow you to create a more customized layout

If your existing home has a lot of problems and a layout that is not conducive to a home addition or renovation project, a new home build might be your best option. With a new home build you will be able to completely customize the layout from the foundation up, which will allow you to incorporate elements that could allow you to house multiple generations under one roof. Many times we see our new home building clients incorporating basement walk-outs to allow for a direct exit for a basement apartment, which either acts as additional rental income or a place for their grandparents or kids to live independently.


What grants and rebates are available for intergenerational families looking to renovate/build?

GST191 or HST Rebate for substantial renovations and primary residences

With this rebate you can receive up to $16 080 in rebates from the taxed paid on an eligible renovation or new home building project. The catch is that you will have to live in the property after you renovate, but if the goal is to create a multi-generational home then there will be no problems with that. Even if you build a garden suite or laneway suite, as long as you can prove that it will be your primary residence you will be eligible to the rebate on the HST paid.

Federal tax credit for multi-generational home renovations

The Government of Canada has recently approved a tax credit for families looking to renovate their home to become an intergenerational home. You would be able to receive up to a 15% tax refund on renovation expenses up to $50 000, for a maximum of $7500. For single family to duplex conversions this would be a good option to utilize.

The secondary suite must be for a related adult over the age of 65 or living with a disability, including a grandparent, parent, child, grandchild, sibling, aunt, uncle, niece or nephew. If you have any questions about this we recommend reaching out to us and we can get you in contact with our tax expert.


About BVM COntracting

BVM Contracting is a full-service General Contractor or Home Builder located in Toronto. We provide home renovation and building services for major home renovations (kitchen renovations, bathroom renovations, basement renovations, full interior renovations, home additions, lot severances, and new home construction). Our goal is to help guide our clients through the process of renovating their home, from concept to completion.

Further than providing General Contracting and Project Management for major home renovations, we also offer value-added services such as renovation financing, renovation rebate consultations and services, building permit and design services, smart home installation services, and real estate investor services.

To learn more about our offering by visiting our services page.