Advertisement

Non-buyer's remorse: Toronto sellers frustrated as home buyers tack on demands

From CTV - August 11, 2017

Some home sellers in Toronto are finding the buyers of their homes are trying to renegotiate the deals just days before closing.

In this rapidly cooling real estate market, some buyers seem to be regretting how much they agreed to pay back in the hot spring sales season. In other cases, buyers arent able to secure financing because the home they are buying is not worth the price agreed when they signed the deal.

Greater Toronto Area benchmark detached home prices peaked in April and have fallen 8 per cent since then. Home resales in the GTA have tumbled too, dropping 40 per cent in July compared with the same month last year.

And some economists predict there are more months of falling prices in the future.

Seller Rudy Ionides was busy packing boxes for his move this weekend when he received a letter from a lawyer saying the buyers of his home want to adjust their offer. They want to reduce the sale price by $50,000, extend the closing date to Sept. 7 and have Ionides loan them $500,000 in a vendor takeback mortgage.

The buyer is telling the family that they need more time and a loan because the buyer of their home is demanding similar terms.

Hes asking me to enter into a contract with him that he will return this money, but hes breaching his contract once already, Ionides told CTV Toronto. What trust do I have hes not going to breach it a second time?

Ionides, a father of young children, says hes decided to reject the buyers new terms, even though he recognizes it may mean having to go through the hassle of relisting his house.

Advertisement

Continue reading at CTV »