Real estate speed dating: in hot market, it’s a thing
For some, co-ownership might be the only way to ever land a home in Toronto
There is nervous laughter among the gulps of wine, tentatively proffered handshakes and exchanged numbers. But the personalized name tags at this speed dating event in a Yorkville pub are a clue that this isn’t a romantic quest.
“I have a big down payment,” reads the badge of a woman in a stylish grey business suit. “I love dogs,” says one man’s name tag. They are among roughly two dozen people, mostly millennials, who have come in search of someone who might be willing to share a roof, but not necessarily a life.
This is speed dating for house hunters. Many people here already have romantic partners, and some have already owned homes.
Discouraged by the Toronto region’s high home prices and cutthroat bidding wars, they have turned up on a soggy Thursday evening in pursuit of a step up on the city’s increasingly unaffordable property ladder.
For some, co-ownership may be their best hope of purchasing a home. But finding the right partner is a complicated legal and financial decision that can also be emotionally fraught.
Software product manager Nadia Abuseif came early with the expectation only of potentially meeting interesting people.
Abuseif’s marriage ended amicably about six months ago. She expects to walk away with about $500,000 from the home she and her husband bought 10 years ago near Dufferin St. and St. Clair Ave. W.
Her half of the home’s value won’t be enough to buy an equivalent house in the city, and Abuseif isn’t keen on a condo.
Her agent has told her that divorce is generally a real estate disaster and many estranged couples continue to live together just to keep their home.
“We’re both going with half the (home’s) value. It limits us as to what we can do, so it’s time to get creative,” Abuseif says.
The event is the brainchild of realtor Lesli Gaynor, who is building a company called GoCo, which she hopes will be a hub for co-ownership housing arrangements.
A mother of three, Gaynor worries about the financial risks of housing for young adults. She also sees a looming crisis for seniors who want to remain independent but are often isolated in their homes.
As a city, Gaynor said, Toronto should be talking about “taking properties we are over-housed in and being able to turn them into (shared homes) — not changing anything about the inherent nature of a neighbourhood. We’re in fact enhancing (it).”
Although some at the GoCo event say they could probably afford to buy outside the city, most want a downtown home. Few are ready to start looking, though.
They are searching for more infor- mation and new connections.
“I won’t be in a financial position to purchase by myself for a couple more years and I’m afraid I won’t be able to keep up with the market,” Andrea Campbell says.
Her money is tied up in an income property she owns in Ottawa. “I have $400,000 in equity, but I still can’t afford to buy a place here,” she says.
Her dream is a Toronto triplex where she and her boyfriend could live in one unit and a co-owner could control or reside in another. Ideally, a basement suite would provide income for maintenance.
Campbell, who rents near Broadview station, says she has paid her dues by previously owning a home in the suburbs.
To buy again, she says, “I would have to sell or refinance my invest- ment and then what if I don’t win the bidding war?”
Campbell listens to a short panel discussion on co-ownership that Gaynor has organized with a lawyer, a mortgage broker and a financial expert. But she heads for the door as the speed-dating part of the evening commences.
The remaining participants sit at tables in spots numbered either 1 or 2. They have been given a list of conversation starter questions. The idea is to have an introductory chat before the bell signals that it’s time to move to the next chair and get to know another person.
The first bell goes and the declarations begin. One woman, who already owns an income property, is interested in finding a partner for another; someone else wants help buying a commercial space for music and art; many here are just beginning to explore the idea of co-ownership.
“My boyfriend and I want to get a place, but it’s so expensive,” one woman tells her “date.”
Three minutes later, Gaynor rings the bell for participants to move, but they ignore her. She tries again, saying there will be food and time to mingle after two more “date” rotations.
When it’s time for nachos and drinks, Matt Michels, 35, says the speed dating helped him clarify his requirements for space and privacy and “what the deal-breakers are.”
A marketing manager with a real estate startup, Michels is a renter with a roommate. He would like to buy a home in the Roncesvalles area and he’s happy to share the laundry and the yard, but wants his own kitchen.
“I think it would be fun to own a house with someone who would walk my dog once in a while and I’ll even babysit their kid once in a while,” he says.
Caledon realtor Dorothy Mazeau wants to start a home-matching site for seniors similar to the Golden Girls Network in the U.S.
She has been part of various homesharing arrangements for 30 years and says the growing interest in coownership reflects a financial reality but also a search for human connections.
“People need community. They’re looking for community. The financial aspect is a catalyst,” Mazeau says.