Home sold at a $520K loss in Brampton, Ontario

As real estate sales start to see a boost, another home has sold for a loss in Brampton.

The Toronto Regional Real Estate Board said 5,875 homes were sold in November throughout the Greater Toronto Area, up 40.1 per cent compared with 4,194 in the same month last year.

The board says lower borrowing costs made properties more affordable for buyers.

But for those who purchased homes at record-high prices in early 2022, the lowered costs may have come too late.

Homes have been selling at a loss and for under the asking price recently. A Brampton home sold for a $487,000 loss in September, and a home sold for $700,000 under the asking price in Mississauga in October.

In a more recent example, the home at 5 Bassett Cres. in Brampton sold for a $520,000 loss in November.

“This one is going to hurt.  Bought for $1.8M just days after it hit the market in 2022. The lender took over and just sold it for a mind-blowing $520K LOSS,” said real estate commentator Shazi on X.

Sadly, the home was listed as a power of sale in November. Power of sale a mortgage clause that permits the lender to foreclose on and sell a property when the borrower defaults on the loan.

Online real estate records show the home sold on Feb. 7, 2022 for $1,800,000 — it was listed for $1,799,913. It was listed for $1,399,000 in July 2024 and listed again on Nov. 19 for $1,283,999. It sold for $1,280,000 on Nov. 27.

The November the real estate listing noted the home was vacant and “easy to show.”

The two-storey brick home is in the Credit Valley neighbourhood of Brampton. It has four bedrooms, a “gourmet” kitchen and a breakfast room with a walk-out to the deck.

The family room has a fireplace and overlooks the rear yard.

There is also a separate entrance to the finished basement, which features a kitchen, recreation room, living room and one bedroom.

“Brampton Blowout”
Interest rate reductions are NOT helping the avalanche of losses

📍 Brampton, ON 🇨🇦

💥 Power of Sale 💥

$520K LOSS on a Power of Sale.💸

This one is going to hurt. 😬

Bought for $1.8M just 3️⃣ days after it hit the market in 2022.📈

The lender took over… pic.twitter.com/8hp2VGCthf

— Shazi (@ShaziGoalie) December 2, 2024

Photos: Coldwell Banker Dream City Realty