Ontario home sold at $700K loss after multiple failed attempts to sell
A home in Burlington re-listed for sale multiple times and eventually sold at a staggering loss shows just how prices tend to fluctuate in the GTA real estate market.
The bungalow, located atĀ 841 Danforth Place in Burlington’s affluent LaSalle neighbourhood sold for $2.1 million in February 2022, when home prices reached an all-time peak in the GTA.
As interest rates began rapidly driving prices down further into the year, the home failed to sell when it was re-listed for a mind-boggling $3.3 million just a few months later.
Hold onto your hats! š©š” In a jaw-dropping turn of events, a home in Burlington, previously sold for a whopping $2.1 million in August 2021, has now been offloaded for just $1.4 million, resulting in a staggering loss of $700,000! š±šø #RealEstateShocker #HaltonRegion #GTA šØš¦š pic.twitter.com/rMFoQsWz8Y
ā Hussein E (@therealhebrahim) March 13, 2024
The home was put back up on the market just above its initial selling price atĀ $2.2 million in April 2023, but failed to sell once again. In November 2023, the home was re-listed at a fraction of its original price at $1.5 million.
Eventually, the home sold for $1.42 million in March 2024, approximately $700,000 less than it was originally purchased for just two years earlier.
Check out the sales in the Bayview area by the lake for the last 90 days, all the homes sold below the listed price. š® pic.twitter.com/aaArKsCoEV
ā Hussein E (@therealhebrahim) March 13, 2024
Despite this case, theĀ Toronto Regional Real Estate BoardĀ (TRREB) found in itsĀ latest market report, that selling prices in the GTA actually edged upward in February, driven by “population growth” and a “resilient regional economy” that continued to support the overall demand for housing.
At the same time, higher borrowing costs kept home sales below the February sales record reached in 2021.
“We have recently seen a resurgence in sales activity compared to last year. The market assumption is that the Bank of Canada has finished hiking rates. Consumers are now anticipating rate cuts in the near future,”Ā said TRREB President Jennifer Pearce.
“To minimize higher monthly payments, some buyers have likely saved up a larger down payment, chosen to purchase a less-expensive home type and/or looked to a different location in the GTA,” Pearce said.
“As we move through 2024, an increasing number of buyers will re-enter the market with adjusted housing preferences to account for higher borrowing costs,”Ā TRREB Chief Market Analyst Jason Mercer added.
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