Exhaust fans technically called as vent fan serve the ventilation purpose. Exhaust fan will help remove smoke, moisture and bad odor out form bathroom and washroom. It helps to improve room air quality by throwing out inside room air outside and circulating outside fresh air inside. Exhaust fan helps remove humidity. Not removing humidity from bathroom especially from bathroom results in mold, mildew growth and also weakens walls, doors and fixtures in bathroom. Having exhaust fan will not let the fog form on mirror installed in bathroom/toilets. So I would say yes, exhaust fans are a must in bathroom, toilets and in kitchens too.
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