{"id":69031,"date":"2026-08-28T12:05:15","date_gmt":"2026-08-28T19:05:15","guid":{"rendered":"https:\/\/liv.rent\/blog\/?p=69031"},"modified":"2026-08-28T12:05:21","modified_gmt":"2026-08-28T19:05:21","slug":"buy-vs-rent-north-york-ontario","status":"publish","type":"post","link":"https:\/\/liv.rent\/blog\/renters\/buy-vs-rent-north-york-ontario\/","title":{"rendered":"Buy vs rent in North York, Ontario: what renters need to know in 2026"},"content":{"rendered":"\n

Is it cheaper to rent or buy in North York right now?<\/h2>\n

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For most North York households in 2026, renting still costs less every month than owning. Across the City of Toronto, average asking rent for an unfurnished one-bedroom sat at $1,947 in August 2026, down 5.99% from a year earlier, according to liv.rent’s August 2026 Ontario Rent Report<\/a>. That figure is citywide, not North York-specific, since the report ranks neighbourhoods by how much they moved rather than publishing a single dollar figure for each one. Carrying a condo purchase, once you add the mortgage, land transfer taxes, and ongoing fees, costs considerably more upfront and, in many cases, more every month too. The gap narrows the longer you plan to stay, so the right answer depends heavily on your own time horizon and finances.<\/p>\n

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What renters pay in North York in 2026<\/h3>\n

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North York’s rental market showed some of the more notable monthly pullbacks in liv.rent’s August 2026 tracking, ranking among the areas with the largest month-over-month decreases in unfurnished one-bedroom asking rents that month, alongside downtown Toronto and Scarborough. Furnished units followed a similar pattern: North York posted the third-largest furnished one-bedroom decline that month, behind Mississauga and Markham. Zoomed out across the wider region, the Toronto Regional Real Estate Board’s own figures<\/a> put the average GTA apartment rent at $2,246 for a one-bedroom and $2,939 for a two-bedroom in the first quarter of 2026. Those numbers cover the whole GTA rather than North York alone, so treat them as context rather than a neighbourhood-specific average.<\/p>\n

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What buyers pay in North York in 2026<\/h3>\n

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North York condo listings span a wide range, and pinning down one average price for the neighbourhood is harder than it looks once building age, unit size, and whether a listing is resale or new construction all come into play. For illustration only, this guide uses a $700,000 condo as a working example throughout: it isn’t a published North York average, just a round number that makes the tax and mortgage math easy to follow. Because North York sits inside the City of Toronto, a buyer at that price faces both the provincial Ontario Land Transfer Tax and the separate Toronto Municipal Land Transfer Tax at closing, on top of the mortgage itself.<\/p>\n

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The monthly gap: a side-by-side look<\/h3>\n

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Metric<\/strong><\/td>Renting<\/strong><\/td>Buying (on a $700,000 condo example)<\/strong><\/td><\/tr><\/thead>
Reference price<\/td>$1,947 a month (City of Toronto, unfurnished one-bedroom, August 2026)<\/td>$700,000 purchase price (illustrative example)<\/td><\/tr>
Wider GTA context<\/td>$2,246 a month, one-bedroom average (TRREB, Q1 2026)<\/td>Not applicable<\/td><\/tr>
Upfront cost<\/td>First and last month’s rent; no separate security or damage deposit is allowed<\/td>$45,000 minimum down payment, plus $20,950 in combined land transfer tax before rebates<\/td><\/tr>
Ongoing qualification<\/td>Income and credit check by the landlord<\/td>Must qualify at the mortgage contract rate plus two percentage points, or 5.25%, whichever is higher<\/td><\/tr><\/tbody><\/table><\/figure>\n

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Land transfer tax is the piece renters often underestimate. On our $700,000 example, Ontario’s marginal land transfer tax schedule<\/a> puts the provincial tax alone at $10,475, and the City of Toronto adds a near-identical municipal charge<\/a> using the same tiered structure, for $20,950 combined before rebates. Qualifying first-time buyers can reduce that bill: up to $4,000 off the provincial portion and up to $4,475 off the Toronto portion<\/a>, for as much as $8,475 in combined rebates. Eligibility depends on factors like citizenship or residency status and whether you’ve owned a home before, so confirm your own eligibility with the province and the city directly.<\/p>\n

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Does rent control protect you in North York, or not?<\/h2>\n

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Ontario ties rent control to when a unit was first occupied, not to how new the building looks. Units first occupied for residential purposes on or before November 15, 2018, are generally covered by the province’s annual rent increase guideline<\/a>, set at 2.1% for 2026. Units first occupied after that date are exempt from the guideline amount, though landlords still need to use the correct notice form and follow the standard timing rules for any increase during an existing tenancy. For a fuller walkthrough of Ontario’s tenancy rules, see liv.rent’s Ontario Tenancy Act guide<\/a>.<\/p>\n

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The cutoff date that determines your protection<\/h3>\n

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First occupied for residential purposes is the legal test, and it isn’t always obvious from the outside. A newly renovated older building can still be covered if people lived there on or before November 15, 2018, while a building finished after that date is exempt even if it looks similar to an older one nearby. If a dispute over rent control status reaches the Landlord and Tenant Board, the landlord generally needs to show the unit’s first-occupancy date, using records such as occupancy permits or builder documents. Renters who want certainty can ask their landlord directly or check the building’s occupancy history with the city.<\/p>\n

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What the 2.1% guideline actually covers<\/h3>\n

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For covered units, a landlord generally has to wait 12 months since the last increase, or since the start of the tenancy, and give at least 90 days’ written notice using the correct form before a rent increase takes effect. An increase above the guideline is possible, but only with approval from the Landlord and Tenant Board, typically tied to specific circumstances such as major capital repairs.<\/p>\n

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Why some newer North York buildings are exempt from the annual guideline amount<\/h3>\n

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North York’s high-rise corridor along Yonge Street and Sheppard Avenue has seen a wave of condo construction over the past several years, and buildings first occupied after November 15, 2018, fall outside the guideline amount altogether. That doesn’t mean every newer building in the neighbourhood is exempt, and it’s worth confirming rather than assuming either way, since the exemption depends on a building’s specific occupancy date rather than construction era in general. It also doesn’t mean no process applies: even in an exempt building, a landlord raising rent during an existing tenancy still needs to give 90 days’ notice and wait 12 months between increases. The exemption only removes the percentage cap, not the notice and timing rules, and it has no bearing on a new tenant simply agreeing to a new rent at turnover.<\/p>\n

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Building status<\/strong><\/td>What applies<\/strong><\/td><\/tr><\/thead>
First occupied on or before November 15, 2018<\/td>Covered by the 2.1% 2026 guideline; landlord must wait 12 months and give 90 days’ notice; above-guideline increases need Landlord and Tenant Board approval<\/td><\/tr>
First occupied after November 15, 2018<\/td>Exempt from the guideline amount; the same 90-day notice and 12-month timing rules still apply during an existing tenancy, but the increase itself isn’t limited to the guideline amount; a new tenant can also agree to a new rent at turnover<\/td><\/tr><\/tbody><\/table><\/figure>\n

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What does buying in North York actually cost upfront?<\/h2>\n

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Beyond the down payment itself, the biggest first-time buyer surprise in the City of Toronto is the land transfer tax bill. Toronto is the only municipality in Ontario that charges a municipal land transfer tax on top of the provincial one.<\/p>\n

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The double land transfer tax, explained<\/h3>\n

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Ontario calculates its land transfer tax on a marginal scale: 0.5% on the portion of the price up to $55,000, 1% from $55,000 to $250,000, 1.5% from $250,000 to $400,000, and 2% on the portion from $400,000 up to $2 million. On our $700,000 example, that works out to $10,475 before any rebate. The City of Toronto layers its own municipal land transfer tax on top, calculated using a matching set of tiers, adding another $10,475 on the same example, for $20,950 combined before rebates.<\/p>\n

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Down payment and the mortgage stress test<\/h3>\n

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Federal rules<\/a> set the minimum down payment on our $700,000 example at $45,000, worked out as 5% of the first $500,000 plus 10% of the remaining $200,000. Homes priced at $1.5 million or more require a 20% down payment and aren’t eligible for mortgage default insurance at all. Once financing is in place, federally regulated lenders also apply the mortgage stress test<\/a>, which requires a buyer to qualify at the greater of the contract rate plus two percentage points, or 5.25%. Because North York purchase prices are often higher than many other Ontario markets, the same rule can require a higher qualifying income here than it would in a lower-priced city.<\/p>\n

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How long do you need to stay in North York for buying to make more financial sense than renting?<\/h2>\n

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There’s no single number of years that works for every buyer, and it’s worth being wary of any guide that hands you one. What can be said with confidence is that the upfront hurdle in North York is unusually high: $20,950 in combined land transfer tax alone on our $700,000 example, on top of legal fees, a home inspection, and moving costs. That money has to be recouped through some combination of monthly savings versus renting and home price appreciation before buying pulls ahead financially, and both of those variables are genuinely uncertain right now. GTA home prices, for context, have also been softening: TRREB’s Market Watch report<\/a> put the average GTA selling price at $1,017,796 in March 2026, down 6.7% year over year.<\/p>\n

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What actually moves the break-even point<\/h3>\n

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A longer stay spreads the upfront transaction cost over more years, which helps the buying case. A stronger appreciation environment helps too, though that hasn’t been the recent pattern in the GTA. A lower mortgage rate helps the monthly math, and a higher one hurts it. None of these can be predicted with real precision, so treat any specific break-even estimate, including your own, as a working assumption you’ll want to revisit as rates and prices move. For a longer view of how North York rents have moved over time, browse liv.rent’s monthly rent reports<\/a>.<\/p>\n

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What renters do with the money instead<\/h3>\n

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Choosing to rent doesn’t make the down payment amount disappear, it keeps it liquid. Money that isn’t tied up in a down payment, land transfer tax, and closing costs can sit in savings or be invested instead, though investment returns are never guaranteed and can move in either direction. The comparison worth making isn’t renting versus buying in the abstract, it’s what you’d realistically do with that capital under each path, and how comfortable you are with the risk either way.<\/p>\n

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What are the real risks of renting in North York right now?<\/h2>\n

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Three issues come up most often for North York renters: personal-use eviction notices, rent increases with no cap in exempt buildings, and a set of Ontario regulatory changes that took effect through 2025 and 2026. None of this is legal advice, and anyone facing an active notice should speak with a paralegal, lawyer, or tenant advocacy organization about their specific situation.<\/p>\n

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N12 notices and a new occupancy rule<\/h3>\n

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An N12 notice tells a tenant that a landlord, a purchaser who has bought the property, or a qualifying family member of either, intends to move into the unit. Receiving one isn’t the same as being evicted: a tenant isn’t required to leave until the Landlord and Tenant Board issues an order, and a tenant who believes the notice was filed in bad faith can dispute it at a hearing or later file a T5 application if the person named never actually moves in. Ontario Regulation 240\/26<\/a>, filed July 21, 2026, takes effect September 21, 2026, and will require the person named in an N12 to occupy the unit within 60 days of the tenant leaving, or trigger a rebuttable presumption of bad faith under the Residential Tenancies Act.<\/p>\n

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Landlords using an N12 for personal or purchaser use have generally had to pay the tenant one month’s rent, or offer another acceptable unit, as compensation, a rule in place since 2017. Starting September 21, 2026, that requirement no longer applies if the landlord gives at least 120 days’ notice on a qualifying N12; shorter-notice N12s still require the usual compensation.<\/p>\n

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Rent increases in exempt buildings<\/h3>\n

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As covered above, a unit first occupied after November 15, 2018, is exempt from the 2.1% guideline amount, so a landlord can ask for any market rent when a new tenant moves in. That risk shows up most at turnover rather than mid-tenancy, since a sitting tenant in an exempt unit still needs 90 days’ notice before any increase, even though the size of that increase isn’t limited to the guideline amount.<\/p>\n

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What Bill 60 changed, and what it didn’t<\/h3>\n

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Ontario passed a separate package of Landlord and Tenant Board changes in 2025 through Bill 60, the Fighting Delays, Building Faster Act. Among other things, it’s intended to limit what can be raised at rent arrears hearings and speed up the board’s case backlog, on top of the N12 compensation change described above. One widely discussed proposal, a review of the rule that lets a tenancy continue on a month-to-month basis after a lease term ends, was dropped before the bill passed. That protection remains in place for North York renters.<\/p>\n

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Is the North York rental market actually getting better for renters in 2026?<\/h2>\n

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On the numbers liv.rent tracks directly, yes, at least compared with a year ago. Across the City of Toronto, the unfurnished one-bedroom average was down 5.99% year over year in August 2026, and North York ranked among the neighbourhoods with the more notable monthly declines in both furnished and unfurnished categories that month, according to liv.rent’s August 2026 Ontario Rent Report<\/a>. Furnished one-bedroom units in the City of Toronto, at $1,930, actually cost slightly less than unfurnished ones, at $1,947, in August, a reversal of the usual furnished premium and a sign of how much slack has entered the market.<\/p>\n

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What’s behind the softer market<\/h3>\n

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Part of the backdrop is monetary policy. The Bank of Canada held its policy rate at 2.25% as of July 15, 2026, its sixth consecutive hold, with its next scheduled announcement on September 2, 2026. Some landlords have also begun offering move-in incentives, such as reduced rent for the first month, to attract tenants faster in a well-supplied market. How widespread that is specifically in North York isn’t something liv.rent’s own data can confirm yet, so treat incentive reports elsewhere with some caution until they’re tied to a primary source.<\/p>\n

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Where demand still holds up<\/h3>\n

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Not every North York pocket is softening at the same pace. Areas with direct subway access, such as the Yonge-Sheppard corridor, tend to hold demand better than less transit-connected stretches, though it’s worth comparing current listings directly for the specific building or block you’re considering rather than leaning on a corridor-wide assumption.<\/p>\n

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Renting vs buying in North York: which choice fits your situation?<\/h2>\n

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Neither renting nor buying is the correct answer here. It depends on your time horizon, your cash position, and how much certainty you need. Use the checklist below as a starting point, not a verdict.<\/p>\n

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Renting tends to fit when<\/strong><\/td>Buying tends to fit when<\/strong><\/td><\/tr><\/thead>
You plan to stay under five years<\/td>You’re confident you’ll stay five-plus years<\/td><\/tr>
Still building a down payment and closing-cost fund<\/td>Enough saved to cover at least the minimum down payment, plus land transfer tax, closing costs, and mortgage insurance if putting down less than 20%<\/td><\/tr>
Your income is variable or still getting established<\/td>Your income comfortably qualifies at the stress-tested rate<\/td><\/tr>
You’d rather keep savings liquid<\/td>You’re prioritizing equity over flexibility<\/td><\/tr>
Your unit is in a post-2018 exempt building and rent stability matters to you<\/td>You’re comfortable trading short-term cash flow for long-term equity<\/td><\/tr><\/tbody><\/table><\/figure>\n

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If you decide renting is the right call for now, you can search North York rentals on liv.rent<\/a> and use its Trust Score system to review a listing and landlord’s information before applying. And for anyone who wants to understand how to vet a landlord before signing anything, our guide to screening a landlord<\/a> walks through the basics.<\/p>\n

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Is it cheaper to rent or buy in North York in 2026?<\/h2>\t\t\t\t
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On current numbers, yes, renting costs less month to month for most households. Across the City of Toronto, the average unfurnished one-bedroom asking rent was $1,947 in August 2026, according to liv.rent’s own tracking, while our $700,000 example condo purchase carries $20,950 in combined land transfer tax alone before a mortgage payment even starts. Buying can still make sense with a long enough time horizon. There’s no fixed number of years that works for everyone.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

Does rent control apply to my North York apartment?<\/h2>\t\t\t\t
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It depends on when your building was first occupied for residential purposes, not on how new it looks. Units first occupied on or before November 15, 2018, are covered by Ontario’s 2.1% 2026 rent increase guideline. Units first occupied after that date are exempt from the guideline amount, though a landlord still needs proper notice and must wait 12 months between increases during an existing tenancy; only the percentage cap doesn’t apply. Check with your landlord or the city if you’re not sure which applies to you.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

What is the double land transfer tax in Toronto, and how much does it add to buying in North York?<\/h2>\t\t\t\t
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Because North York sits inside the City of Toronto, buyers pay both the provincial Ontario Land Transfer Tax and a separate Toronto Municipal Land Transfer Tax. On our $700,000 example condo, the two combined come to $20,950 before rebates. Qualifying first-time buyers can claim up to $4,000 off the provincial portion and up to $4,475 off the Toronto portion.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

What happens if my North York landlord serves me an N12 notice?<\/h2>\t\t\t\t
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An N12 notice, which can be filed by a landlord, a purchaser, or a qualifying family member of either, alone doesn’t require you to leave. You’re only obligated to move once the Landlord and Tenant Board issues an order, and you can dispute the notice at a hearing. Starting September 21, 2026, the person named in the notice will need to move in within 60 days of you leaving or face a presumption of bad faith, and landlords who give at least 120 days’ notice will no longer owe the usual one month’s rent compensation. This is general information, not legal advice.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

Are North York rents going up or down in 2026?<\/h2>\t\t\t\t
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Down, on the most recent numbers. North York ranked among the neighbourhoods with the more notable month-over-month rent decreases in liv.rent’s August 2026 Ontario Rent Report, in both furnished and unfurnished categories, continuing a softer trend across the City of Toronto this year.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

How much do I need to save before buying a condo in North York?<\/h2>\t\t\t\t
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North York isn’t one uniform market. The Yonge-Sheppard corridor offers the strongest subway access, while other pockets, such as Don Mills, Bayview Village, and the area around Downsview, vary in price and availability. Compare current listings directly for the building or block you’re considering rather than relying on a single neighbourhood-wide assumption.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

Which North York neighbourhoods are best for renters?<\/h2>\t\t\t\t
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North York isn’t one uniform market. The Yonge-Sheppard corridor offers the strongest subway access, while other pockets, such as Don Mills, Bayview Village, and the area around Downsview, vary in price and availability. Compare current listings directly for the building or block you’re considering rather than relying on a single neighbourhood-wide assumption.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\n\t\t\t\t

Does the mortgage stress test affect North York buyers differently than buyers elsewhere in Ontario?<\/h2>\t\t\t\t
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The rule itself is the same everywhere: you need to qualify at the greater of your contract rate plus two percentage points, or 5.25%. Because North York purchase prices are often higher than many other Ontario markets, that same rule can require a higher qualifying income here than it would in a lower-priced city.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\n