10/12/2026
Toronto Condo Closings Reveal Deeper Debt
There’s a growing challenge in Toronto’s condo market: appraisal gaps are putting preconstruction buyers in a tough spot, with many finding themselves unexpectedly short on closing day when lender values don’t match their original purchase prices. It’s a moment where experience matters—because while keeping up with mortgage payments gives a sense of security, it can sometimes hide the bigger picture, like rising credit card balances, lines of credit, or even rental income losses. The real question is: what’s actually backing your unsecured borrowing? Paying down cards can offer relief, but if there are deeper household deficits or rental shortfalls, those balances can easily creep back up. I’ve seen cases where buyers took on a $350K interest-only second mortgage at nearly 10%, facing upfront charges of approximately $44,500—meaning first-year costs ate up about 26% of their net cash. My approach has always been to help clients see the full picture and create a plan that truly fits their life, because closing on a condo is just one step—making the right move for your household is the real goal. My aim: to make your real estate experience as smooth and informed as possible.
