More than 200 condo buyers may lose homes after development fails - Toronto - CBC News: "About 200 people who bought condo units in an Etobicoke high-rise project may lose their homes after the development was placed into court-ordered receivership due to massive financial problems.
The project, still only about 15 per cent complete six years after it was first marketed to potential buyers, will now be sold off by the receiver in a bidding process.
The buyers who paid for the pre-sold condos — 208 of the project's 242 units — will get their combined $6.3 million in deposits back. But the condos they bought and waited years to move into will likely be sold off at much higher current market values by whomever steps in to complete the project. "
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As we all know, this has happened many times in the US. As is so often the case with condominiums, fluctuations in property values end up hurting the little people who just want a place to live, and benefiting the speculators who can afford to get in and out of the market.
1 comment:
Evan McKenzie wrote..."fluctuations in property values end up hurting the little people who just want a place to live, and benefiting the speculators who can afford to get in and out of the market."
For some politicians and pundits, that's a feature, not a bug.
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