Ontario home sold at massive loss after six failed attempts to sell

An Ontario home sold significantly below its original selling price earlier this year demonstrates just how prices tend to fluctuate in the province’s turbulent real estate market.

Located in Hamilton’s Huntington neighbourhood, this quaint three-bedroom, two-bathroom bungalow originally sold for $981,000 in January 2022.

According to its listing, the brick home boasts just over 1,000 square feet of living space and multiple renovations, including a new front exterior door, new vents, as well as updated plumbing and electrical.

Just a few months after it was sold, the home was relisted for $1.225 million in July 2022 but was terminated a short while after. One month later, the property was listed for just shy of $1.2 million, although this price reduction failed to attract any buyers.

This is Canada. 🇨🇦 pic.twitter.com/iCb3v5MlxZ

— EconomicWoes 🦁 (@ManyBeenRinsed) February 16, 2024

The home was eventually relisted for $1.279 million in April 2023; however, it was terminated once again just two months later.

The bungalow saw a heavy price reduction in September 2023 when it was relisted for $879,000, although the discount was not enough to draw in any buyers. In November 2023, the home was relisted for a sixth time at $889,000, but once again sat on the market for months before being terminated in January 2024.

Finally, the home was relisted for $689,900 in February 2024 and successfully sold just above its asking price for $720,000, although this amount was roughly $260,000 less than it was originally sold for just two years earlier.

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Throughout 2024, the province’s real estate market has witnessed several cases of properties selling at significant losses. In March, a home in Burlington’s LaSalle neighbourhood was also sold at a $700,000 loss after multiple failed attempts to sell.

In another example, a four-bedroom home in Hamilton’s Stoney Creek community sold at a staggering $500,000 loss after six failed attempts to sell.

Despite these well-documented cases, a Toronto Regional Real Estate Board (TRREB) report released earlier this month predicts that “tighter market conditions” in the GTA will drive home prices even higher.

“Price growth is expected to accelerate during the spring and even more so in the second half of the year, as sales growth catches up with listings growth and sellers’ market conditions start to emerge in many neighbourhoods,” said TRREB Chief Market Analyst Jason Mercer.

According to the report, the MLS Home Price Index composite benchmark was up 0.3% year-over-year, with the average selling price increasing by 1.3% to $1,121,615.