Buyer cuts a deal on Innisfil home in need of work

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971 7th Line, Innisfil, Ont.

Asking price: $749,900 (January, 2024)

Selling price: $650,000 (February, 2024)

Previous selling price: $450,000 (July, 2017); $258,000 (December, 2013); $136,000 (May, 2002)

Taxes: $2,965 (2023)

Days on the market: 28

Buyers’ agents: Ken and Jaime Ramsay, Harvey Kalles Real Estate Ltd.

The action

Ken and Jaime Ramsay’s client, a first-time buyer, was looking for a detached home on a large lot for less than $700,000 and was willing to throw a wide net. They zeroed in on a dozen options in smaller towns between Toronto and Barrie. The best of the batch was this 76-year-old bungalow on a third of an acre half a kilometre from Lake Simcoe in Innisfil. It was priced $49,900 over their budget, but the seller accepted an offer that was significantly lower than the asking price.

“[The property] is on a large 60- by 250-foot lot with city-owned land around it,” said agent Ken Ramsay. “The house wasn’t in as good condition as some of the other houses we looked at, but the lot size was worth sacrificing for, and the condition of the home allowed us to negotiate $99,900 off of the asking price.”

Knowing the property’s listing history also strengthened the buyer’s bargaining position. “I factored in what I felt the value was, and market conditions, which was not fantastic at the time,” said Mr. Ramsay.

“They bought it in 2017 for $450,000 before COVID inflation happened in real estate, so I also knew they weren’t losing money.”

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What they got

This three-bedroom bungalow has a traditional setup with one bathroom, an eat-in kitchen, and a living room.

There’s an oversized garage and a long driveway for eight vehicles.

The agent’s take

“All the houses around this one are large, new builds, like $2-million,” said Jaime Ramsay.

“If you’re the smallest house on the street it’s great because, eventually, he might rebuild or do something with it.”