$1.4 million Toronto condo loses 23 per cent of its value in just two years

Throughout September, buyers in Toronto started to take advantage of more and more affordable conditions brought about by interest rate cuts and lower home prices. As a result, many properties — including this one-bedroom, one-bathroom apartment in Toronto— were sold well below their listing prices and original price tags. 

According to its listing, the corner apartment comes with original metal warehouse windows, city skyline views, soaring 13.5-foot ceilings, and over 1,100 square feet of living space. 

The apartment was first sold in February 2022 for just under $1.43 million, at a time when cheaper borrowing rates shot up demand across the GTA’s real estate market and drove prices up. 

The home was re-listed in September 2024, and eventually sold for $1.1 million earlier this month, representing a staggering loss of $328,000 when compared to its price just two years earlier. 

Plenty of other properties have also sold well below their listing prices over the past few months in Ontario, including a three-bedroom, four-bathroom home that sold at a $460,000 loss in Kitchener, a four-bedroom home in London that was sold at a loss of $650,000 following four attempts to sell, as well as a custom-built home in Oshawa that sold at a staggering $800,000 loss. 

According to the Toronto Regional Real Estate Board’s (TRREB) latest market report, home sales increased throughout the region year-over-year in September, as more affordable conditions brought more buyers into the real estate market. 

“As buyers take advantage of changes to mortgage lending guidelines and borrowing costs trend lower, home sales will steadily increase in relation to population growth,” said TRREB President Jennifer Pearce. 

“With every rate cut, a growing number of GTA households will afford a long-term investment in home ownership, including first-time buyers.” 

GTA realtors reported 4,996 home sales through TRREB’s MLS System in September 2024 – up by 8.5 per cent compared to 4,606 sales reported in September 2023.

The MLS Home Price Index Composite benchmark was down by 4.6 per cent year-over-year in September. The average selling price of $1,107,291 was down by a lesser one per cent compared to the September 2023 average of $1,118,215.

“The annual improvement in September home sales was more than matched by the increase in new listings over the same period. This resulted in a better-supplied market and increased negotiating power for buyers re-entering the market,” added TRREB Chief Market Analyst Jason Mercer.

“The ability to negotiate on price, led to moderate year-over-year price declines, particularly in the more affordable condo apartment and townhouse segments, which are popular with first-time buyers.”