Original-owner West Hill detached on 44' x 184' lot with separate side entrance to basement
A 3-bed, 2-bath detached home on a deep 44' x 184' lot in West Hill, listed at $849,000 with a separate side entrance offering basement suite potential. The property carries negative monthly cash flow under all leveraged scenarios at current rents, turning positive only at 75% down or greater.
Anatoli Chtcherbatov
Analyst · Sutton Group Admiral Realty
List price
$849,000
Cap rate
+1.94%
Est. monthly rent
$2,800
Source: comparables_widened
Est. net spread
+$190K
6mo hold
Annualized ROI
+44%
preliminary
The Deal
A 3-bed, 2-bath detached home on a deep 44' x 184' lot in West Hill, listed at $849,000 with a separate side entrance offering basement suite potential.
Fix-and-flip projection
The spread, before the buy-and-hold math.
Preliminary · adjust scope & uplift
Renovation scope
Projection
Preliminary estimate. Renovation costs use 6Yield default per-sqft figures. Post-renovation value is modeled as a multiple of list price — replace with comparable post-renovation sales for higher precision. Carrying costs include property tax, condo fees if any, and insurance; financing costs not yet modeled.
Section · Buy-and-hold backup
If you held instead. The carrying math, side by side.
Each column shows the actual monthly cash flow and cash-on-cash return at that leverage. Click a column for the full breakdown.
Acquisition
| Down payment | $297,150 |
| Mortgage principal | $551,850 |
| Land transfer tax | $12,735 |
| Closing costs | $12,735 |
| Total acquisition | $322,620 |
Monthly cash flow
| Estimated rent | +$2,800 |
| Operating expenses | -$1,425 |
| Mortgage payment | -$3,223 |
| Net cash flow | -$1,848/mo |
Expense breakdown
| Property tax | $0/mo |
| Vacancy allowance | $140/mo |
| Maintenance reserve | $708/mo |
| Insurance | $354/mo |
| Property management | $224/mo |
Math by deterministic Python calculator. Rate 4.99% over 25 years. Rent source: comparables_widened (63 comps).
Breakeven
This property turns cash-flow positive at 72.3% down.
Run your own scenario
Move the assumptions. See the math live.
Live result
All figures are estimates only and do not constitute financial advice. The sliders use the same math as the locked five-scenario calculator; only assumptions change. Total acquisition includes the down payment, land transfer tax ($12,735), and closing costs ($12,735).
Section · Investment Thesis
Why this property.
This West Hill detached is positioned as a long-hold lot-value and end-user play rather than a near-term cash flow asset. Listed at $849,000 with an estimated gross annual rent of $33,600 and annual NOI of $16,497, the estimated cap rate is 1.94% and the estimated gross yield is 3.96%. The premium 44' x 184' lot, separate side entrance to the basement, and recent mechanical updates (furnace and CAC in 2019, kitchen updated in 2010) underpin the value-add angle for investors prepared to add a secondary suite over time.
Leverage sensitivity here is high. At 20% down ($169,800), the estimated monthly mortgage is $3,966.58 and estimated monthly cash flow is -$2,591.83, a cash-on-cash return of -15.93%. At 35% down ($297,150), estimated monthly cash flow improves to -$1,848.10 (-6.87% cash-on-cash). At 50% down ($424,500), the estimated monthly carry is still -$1,104.36 (-2.95% cash-on-cash). The property approaches breakeven only at 75% down ($636,750), where estimated monthly cash flow is +$135.19 (0.24% cash-on-cash), and reaches +$1,374.75 monthly at a 100% cash purchase (1.89% cash-on-cash). The minimum recommended down payment for neutral or positive carry is 75%.
Given the negative carry at typical leverage, this property suits investors with substantial equity, a long hold horizon, and a thesis built around lot redevelopment, basement suite conversion using the existing separate side entrance, or eventual end-user resale value. The original-owner condition implies room for cosmetic and systems updates that could lift rentable square footage if the basement is legally suited. Investors relying on standard 20% to 35% financing should expect meaningful monthly out-of-pocket subsidy.
Hold-period implications are 60+ months. The investment case rests on West Hill's proximity to Lake Ontario, the GO Station, and Highway 401, plus the optionality of adding a basement unit. Investors should underwrite further rate sensitivity and capex for any suite conversion before committing.
Key features
- Premium 44' x 184' lot
- 1,560 sqft main floor (per listing)
- Renovated eat-in kitchen with granite counters
- Sunken family room addition with floor-to-ceiling brick fireplace
- Separate side entrance to basement, potential additional living space
- New furnace and central A/C (2019)
- Updated kitchen (2010)
- Steps to William G. Miller P.S. and St. Malachy Catholic School
- Close to Highway 401, GO Station, and Lake Ontario
Original MLS description
Discover the Charm of this Original Owners Home nestled on a premium lot 44' x 184' Ft Lot. This well maintained Home offering a spacious and practical 1,560Sqft Main Floor featuring Living Room, ideal for hosting guests. A Dining Rm area provides ample space for those Special Occasions. The Bright Renovated Eat-in Kitchen with Granite Counter Tops, a Sunken Family Rm Addition designed for both comfort and convenience offering a Floor to Ceiling Brick Fireplace and SGW/O. The Primary Bedroom is equipped with a Double closet and 2pc Ensuite. Separate Side Entrance to the Basement with Potential Additional Living Space. Note New Furnace/CAC 2019. Updated Kitchen 2010. Family Rm Addition 1976. Located Steps away from William G. Miller P.S. & St. Malachy Catholic School, Library, Parks and Trails, Lake Ontario and in close proximity to Highway 401, GO Station, Recreation Centre, Shopping & Groceries. (42821726)
Section · Neighborhood
Where it sits.
West Hill
West Hill is an east Scarborough neighborhood bounded by Lake Ontario to the south, with established demand from families drawn to the area's schools, parks, and waterfront trails. The listing notes proximity to William G. Miller P.S. and St. Malachy Catholic School, plus library, parks, trails, and Lake Ontario access.
Commuter access is supported by Highway 401 and a nearby GO Station, with a Recreation Centre, shopping, and groceries also referenced as close by. Deep lots in this pocket of Scarborough remain a structural scarcity factor for buy-and-hold investors considering future redevelopment or secondary suite additions.
Section · Risk
What could go wrong.
Honest framing of unknowns, assumptions, and downside scenarios.
Negative estimated monthly cash flow at 20%, 35%, and 50% down payment scenarios; only reaches positive carry at 75% down or higher
Estimated cap rate of 1.94% is well below typical investor thresholds
High leverage sensitivity: monthly cash flow swings approximately $3,966 between 20% down and 100% cash scenarios
Original-owner home; budget for ongoing capex despite 2019 furnace/CAC and 2010 kitchen updates
Basement suite potential is referenced but not legally established; conversion would require permits and capital
Rent estimate based on widened comparables (63 comps); actual achievable rent may vary
Reported sqft field in raw data (139) appears inconsistent with listing description of 1,560 sqft main floor; verify before underwriting