Beware of a private house sale to a developer: You may not be getting the best possible price; you may be short by $500,000 (Mar. 31, 2018 post)

Update: A May 6, 2020 post is entitled:

Important Information to Long Branch Residents about Recent Letters from Builders

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As noted at a previous post, if you’re selling your house: Do your homework.

Long Branch Jane’s Walk, May 6, 2012. We began the walk at Marie Curtis Park at the mouth of Etobicoke Creek. Peter Foley photo

If you are planning to sell your house, in Toronto or anywhere else, I would suggest you work with a knowledgeable real estate agent, rather than agreeing at once to sell to a developer, who walks up to your door and offers to buy your house for $1-million.

First case

I mention this because I’m reminded of a story that a local real estate agent has recently shared with me.

According to this reliable source, a house on Atherton Crescent, in Long Branch in south Etobicoke, not long ago was sold for $1.5-million to a family that was pleased to acquire an existing house, on an intact lot, ready to move into.

A developer had earlier offered, to the owners of the Atherton Crescent property, a little over $1-million, with the intention of splitting the lot.

Fortunately, the owner had a real estate agent who was aware of what the house was actually worth, based on extensive research regarding what similar houses in south Etobicoke had gone for, in recent real estate transactions.

Second case

I am also aware, from a reliable source, of a case where a comparable house in Long Branch, worth $1.5-million according to the means of price-estimation outlined above, was in fact sold for $1-million to a developer.

Consider the demographics of Long Branch. Many homeowners are getting on in years. If you have an elderly neighbour who is about to sell, please do speak to her or him, to ensure that such a long-time residents knows about house-price research.

Please ensure that your neighbour knows the value of working with a reliable real estate agent.

The bottom line: Beware of a making a private sale, unless you first do thorough and wide-ranging research, and conduct extensive due diligence.

That is: Do your homework.