Real Estate

Did we just hit the peak of the Toronto RE bubble?

  • Last Updated:
  • Sep 25th, 2017 10:20 pm
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Jr. Member
Mar 10, 2009
175 posts
149 upvotes
Toronto
Buggy166 wrote:
Sep 12th, 2017 4:39 pm

most bought them in the last 3 years, with the last purchased this last spring i believe. Im not in Toronto so i havent asked them whats up lately, but the jist of it is they're rented out and thats about it.
Buggy166 wrote:
Sep 12th, 2017 5:04 pm

could be, im not their accountant, although the math wouldn't add up based on their work income. One of them purchased a condo in Sauga with $15000 down on a 300k mortgage, which was based off the equity in their principal home. this spring they got another condo, but for 400k or so, also backed by their house mortgage. They basically buy new properties based off the new valuations of their home.

I dont know what expenses a family with 2 kids has, but id imagine they're a lot higher than a single person with an income of 150k+. With renters in the units handling most of the mortgage payload, i cant see 50% in 3 years in their case.

Others who are better off (income in the 200k+ range, no kids) are obviously better positioned, but i dont think their properties would be much above the 30% equity line.

How did yours jump to 50% equity in a couple of years?
I bought one of my condo's in Sept 2015 for $167,900. Sold it couple weeks ago for $292,000. 74% increase in two years - $125K profit. This is in Scarborough.
Member
Dec 4, 2004
483 posts
203 upvotes
GTA
jdu0ng wrote:
Sep 12th, 2017 7:09 pm
Anyone know why this detached was sold for only $0.8M?
http://www.mongohouse.com/soldrecords/5 ... b74de93dbf

I find RH Crosby area sells much lower than other parts of RH. - Reason?


Just down the block in observatory , a townhouse was sold for $0.795M and another was sold for $0.75M:
http://www.mongohouse.com/soldrecords/5 ... 5a6a66f117
That house is in the backyard of a subsidized rental building called Genesis Place at 39/41 Crosby, also known as Crack Towers to locals. It's also near the new 360 Kids youth hostel that was built on Yonge St. just north of Crosby.
[OP]
Deal Addict
Dec 5, 2009
4471 posts
2307 upvotes
_dc_ wrote:
Sep 13th, 2017 10:00 am
That house is in the backyard of a subsidized rental building called Genesis Place at 39/41 Crosby, also known as Crack Towers to locals. It's also near the new 360 Kids youth hostel that was built on Yonge St. just north of Crosby.
The 360 Kids youth hostel used to be located in a big house at east side of Yonge and Canyon Hill, and didn't effect home prices in that area. I think proximity to a busy CN line and industrial park is also a huge factor.
Sr. Member
Feb 9, 2013
889 posts
140 upvotes
Mississauga
fdl wrote:
Sep 13th, 2017 10:09 am
The 360 Kids youth hostel used to be located in a big house at east side of Yonge and Canyon Hill, and didn't effect home prices in that area. I think proximity to a busy CN line and industrial park is also a huge factor.
Ya, I agree being near CN line can bring the housing prices nearby down. But the townhouse is just as close to the CN line.

My suspicion is that the detached may be a rental property, or may be in bad condition, hence no photos of the interior. Also, from google aerial view, the house is on a weird angle with 154 stephenson cres. They look more like linked houses than detached.
Deal Expert
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Apr 21, 2004
39647 posts
9013 upvotes
Is there any way to know if a property is priced to elicit a bidding war? I understand there is a record of sorts for bids that I am not privy to and that can be rigged, just like auctions on ebay.

I thought this strategy was already passe?
[OP]
Deal Addict
Dec 5, 2009
4471 posts
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jdu0ng wrote:
Sep 13th, 2017 10:34 am
Ya, I agree being near CN line can bring the housing prices nearby down. But the townhouse is just as close to the CN line.

My suspicion is that the detached may be a rental property, or may be in bad condition, hence no photos of the interior. Also, from google aerial view, the house is on a weird angle with 154 stephenson cres. They look more like linked houses than detached.
Not having photos of the interior is usually a big red flag. Who knows, maybe it was a grow op.
[OP]
Deal Addict
Dec 5, 2009
4471 posts
2307 upvotes
alanbrenton wrote:
Sep 13th, 2017 10:53 am
Is there any way to know if a property is priced to elicit a bidding war? I understand there is a record of sorts for bids that I am not privy to and that can be rigged, just like auctions on ebay.

I thought this strategy was already passe?
If it's priced much lower than comparibles it's likely been done to get multiple offers. And yes this tactic is passé right now, in most neighbourhoods.
Deal Addict
Jul 3, 2011
4288 posts
1550 upvotes
Thornhill
alanbrenton wrote:
Sep 13th, 2017 10:53 am
Is there any way to know if a property is priced to elicit a bidding war? I understand there is a record of sorts for bids that I am not privy to and that can be rigged, just like auctions on ebay.

I thought this strategy was already passe?
If you're asking about a listing on TREB, in addition to FDL's comment, yes there is. An offer date is established and noted in the listing however you'd need a Realtor to find out as set offer dates are a board notice only.
Member
Jun 19, 2017
218 posts
143 upvotes
alanbrenton wrote:
Sep 13th, 2017 10:53 am
Is there any way to know if a property is priced to elicit a bidding war? I understand there is a record of sorts for bids that I am not privy to and that can be rigged, just like auctions on ebay.

I thought this strategy was already passe?
Big time Passe. It'll be retired for the next year or two as interest rates grow
Deal Addict
User avatar
Sep 8, 2007
4668 posts
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Way Out of GTA
NotRobot wrote:
Sep 13th, 2017 11:18 am
Originally listed for 4.1M in may. Just sold for 3.74M in willowdale west with only a 43 ft frontage.

I'm guessing the builder still made some good coin.

http://www.mongohouse.com/soldrecords/5 ... bd6a1c6db0
http://tours.realtytours.ca/166-norton- ... th-york-n/

What is going on with that garage? Looks like its a crawl space. The house beside has a slight ramp down and hence a full size door. Strange.

But that price tells you that while prices might be down, in no way has it crashed.
Member
May 9, 2017
230 posts
221 upvotes
cartfan123 wrote:
Sep 13th, 2017 11:49 am
http://tours.realtytours.ca/166-norton- ... th-york-n/

What is going on with that garage? Looks like its a crawl space. The house beside has a slight ramp down and hence a full size door. Strange.

But that price tells you that while prices might be down, in no way has it crashed.
Ha ha. That's funny, didn't even notice how small the garage looked until you mentioned that.

Notice that there is a room above the garage on the main floor. A lot of homes in this area have that design to maximize square footage.

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