The Condo Crash. ⇒
26 August 2025, mid-afternoon
A great article about the rise and fall of Toronto’s condo market. Some of the quotes and stats in the article are bananas.
On the advice of a realtor he’d met through a friend, Tajdin made a 10 per cent deposit on an $855,000 pre-construction condo. It was a 468-square-foot, one-bedroom unit in Toronto’s Forest Hill neighbourhood, a wealthy enclave not far from downtown. … But Tajdin didn’t intend to move into the condo, or even to close on the deal. … If he couldn’t sell in time, he’d have to close on the property himself, and he knew he’d never be approved for such a steep mortgage. … By the first quarter of 2024, average condo values in the city had dropped by nearly $100,000 to $696,000. As his closing date neared, Tajdin panicked; his only hope was that the market would unexpectedly rebound. But in February of 2024, the worst-case scenario became a reality. Tajdin’s closing date arrived, and he couldn’t seal the deal. He didn’t even bother trying to secure a mortgage; after multiple discussions with banks, it had become obvious that it was futile. The developer, CentreCourt, kept his deposit. Then it went a step further, suing Tajdin for $860,000 in damages, interest and legal fees for breach of contract. It sold the unit to another buyer for $420,000, less than half of Tajdin’s agreed-upon purchase price only two years earlier. Tajdin, in turn, filed his own lawsuit against Hirji, seeking indemnity from liability with CentreCourt and damages equal to his deposit.
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