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In the preconstruction real estate sector, a concerning trend has emerged, with homebuyers facing difficulties in completing their transactions and subsequently forfeiting substantial deposits, reaching values as high as $320,000. This issue is notably prevalent in low-rise homes situated in the Greater Toronto Area (GTA) suburbs, where prices experienced a rapid surge during the pandemic but have now significantly declined. Industry experts highlight this as a novel challenge, emphasizing the impact on buyers who struggle to meet closing requirements due to inadequate appraisals or challenges in securing a mortgage.
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