The most expensive home in recent sales history has gone for a cool $15.8-million in Forest Hill.
It may be the highest ever for an MLS-listed property, but it's a shocking $10-million less than the asking price when the owners originally listed the property three years ago. Perhaps more surprisingly, they're still happy with the number.
The reason: the strong Canadian dollar.
When the owners, who are from Hong Kong, listed the home in 2004, the $25-million price tag was aimed at international buyers who would most likely calculate the cost in U.S. dollars. At that time the dollar was worth 71 cents U.S. Recently, it has hovered around 94 cents.
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"It's a windfall for Canadian buyers now because of the exchange, but the owners are still netting whatever they had in mind," explained Ilenna Tai, the listing agent from Sutton Group.
"There's a 25-per-cent difference on the international currency since May, 2004."
In the luxury home market, the international buyer is of growing popularity.
Elise Kalles holds the title for selling the most expensive home in Toronto history - a $20-million sale on Post Road.
She says the impressive strength in the luxury home market is partly fuelled by overseas buyers who think Toronto is still a great deal.
"I still think compared to London or Paris or New York we're a bargain, we really are," she said. "People are saying, 'Oh my God, the Four Seasons is selling at $1,400 to $1,600 a square foot,' but in New York it's over $2,000 sq. ft."
A couple from London were recently very pleased to only pay around $8-million for a place at the Ritz, says Ms. Kalles, who said she doesn't think the market will be dropping any time soon.
"Anything that's priced realistically sells within its first two weeks," said Ms. Kalles, who has 31 years of industry experience.
The eight-bedroom, 16,000-square-foot Forest Hill home on Dunvegan Road took a couple of months to sell this time, but it still took in a lot more than the $5-million for which it was bought in 1998.
It's a testament to rising luxury house sales, according to the real estate agent who acted for the buyers.
"In the central core, a million dollars isn't considered a huge home any more," Elli Davis of Royal LePage said.
One place in Yorkville went for more than $400,000 above what the sellers originally wanted, she said.
Recently, she even sold a home for $7.3-million in less than a month.
"It's not a long time for a house that price," she said.
And things aren't slowing down any time soon, Ms. Kalles said.
"I honestly think we still have a ways to go - and, obviously, I hope I'm right."
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