Renovated 4+1 detached on rare 50 x 278 ft lot in Highland Creek, minutes to UTSC
A renovated 4+1 bedroom detached home on a rare 50 x 278 ft deep lot in Highland Creek, positioned for a long-hold land play near the University of Toronto Scarborough campus. Cash flow is negative under all leveraged scenarios; the thesis rests on lot depth, garden-suite potential, and student-driven rental demand.
Anatoli Chtcherbatov
Analyst · Sutton Group Admiral Realty
List price
$1,199,999
Cap rate
+1.41%
Est. monthly rent
$3,350
Source: comparables_widened
Est. net spread
+$272K
6mo hold
Annualized ROI
+45%
preliminary
The Deal
A renovated 4+1 bedroom detached home on a rare 50 x 278 ft deep lot in Highland Creek, positioned for a long-hold land play near the University of Toronto Scarborough campus.
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 | $420,000 |
| Mortgage principal | $779,999 |
| Land transfer tax | $18,000 |
| Closing costs | $18,000 |
| Total acquisition | $456,000 |
Monthly cash flow
| Estimated rent | +$3,350 |
| Operating expenses | -$1,936 |
| Mortgage payment | -$4,555 |
| Net cash flow | -$3,141/mo |
Expense breakdown
| Property tax | $0/mo |
| Vacancy allowance | $168/mo |
| Maintenance reserve | $1,000/mo |
| Insurance | $500/mo |
| Property management | $268/mo |
Math by deterministic Python calculator. Rate 4.99% over 25 years. Rent source: comparables_widened (24 comps).
Breakeven
This property turns cash-flow positive at 79.8% 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 ($18,000), and closing costs ($18,000).
Section · Investment Thesis
Why this property.
Listed at $1,199,999, this Highland Creek detached sits on a rare 50 x 278 ft deep lot with over $100,000 in completed renovations and a permitted 360 sq. ft. addition. Estimated gross annual rent is $40,200 against an estimated annual NOI of $16,974.02, producing an estimated cap rate of 1.41% and gross yield of 3.35%. The investment case here is not current yield; it is land, location near the University of Toronto Scarborough campus, and the optionality to add a garden suite or pursue a custom build over a long hold.
Leverage sensitivity is high and the property does not reach positive carry under any financed scenario at the 4.99% rate and 25-year amortization used. At 20% down ($240,000), estimated monthly cash flow is -$4,191.97 with a cash-on-cash return of -18.23%. At 35% down ($420,000), monthly cash flow is estimated at -$3,140.75 (-8.27% cash-on-cash). At 50% down ($600,000) it improves to an estimated -$2,089.54 monthly (-3.94%). At 75% down ($899,999), the property approaches breakeven at an estimated -$337.52 monthly (-0.43% cash-on-cash). Only at 100% cash ($1,199,999) does carry turn positive, at an estimated $1,414.50 per month and 1.37% cash-on-cash.
The minimum recommended down payment for near-neutral carry is 75%, and true positive monthly cash flow requires an all-cash purchase. That structure points to a specific investor profile: a cash buyer or land-banker willing to absorb modest negative carry in exchange for a deep urban lot with development optionality, proximity to UTSC student demand, and Highland Creek's mature single-family fundamentals. Investors relying on conventional 20% to 50% financing will be writing meaningful monthly cheques while waiting for the land thesis to play out.
Hold period implications are long. With current rents not supporting the debt service at typical leverage, returns must come from a combination of lot redevelopment (garden suite, custom build, or future severance exploration subject to zoning), appreciation tied to the UTSC catchment, and eventual rent growth. A 60+ month hold, ideally tied to an active development or garden-suite plan, is the realistic horizon.
Key features
- Rare 50 x 278 ft deep lot with garden suite and redevelopment optionality
- Over $100,000 in completed renovations
- Permitted 360 sq. ft. addition
- 4+1 bedrooms, 3 bathrooms
- Upgraded 200 AMP electrical panel and Lorex security system
- Double garage plus 4-car driveway, no sidewalk
- Minutes to University of Toronto Scarborough campus
- 2023 survey available
Original MLS description
Welcome to a beautifully renovated 4+1 room, 3-bathroom home in the prestigious Highland Creek community. Set on a rare 50 x 278 ft deep lot, this property offers significant long-term value and flexibility for investors, custom home builders, or end-users. Over $100,000 has been invested in renovations, featuring a modern layout with a kitchen that includes an island, gas stove, and black stainless steel appliances. A 360 sq. ft. addition was completed with a permit, providing additional functional living space to the floor plan, complemented by pot lights throughout the interior and exterior. Technical specifications include an upgraded200 AMP electrical panel and a Lorex security system. A 2023 survey is available for review. The exterior features a double garage and a 4-car driveway with no sidewalk, maximizing the frontage and parking capacity. Given the lot depth, there is potential to explore further renovations, a custom build, or a garden suite. This home is located minutes from the University of Toronto Scarborough campus and is in close proximity to parks, trails, schools, and everyday amenities. (42901817)
Section · Neighborhood
Where it sits.
Highland Creek
Highland Creek is an established east-Scarborough community anchored by the University of Toronto Scarborough (UTSC) campus, which drives consistent student and faculty rental demand. The area offers mature single-family housing stock, parks and trail access along the Highland Creek ravine system, and connectivity via Highway 401 and TTC bus routes feeding into the Line 3 corridor and the future Scarborough Subway Extension.
Demand fundamentals are supported by UTSC enrolment growth, Centennial College's Morningside campus, and the Rouge National Urban Park to the east. Deep lots in this pocket are increasingly scarce, which underpins the long-term land thesis on properties of this configuration.
Section · Risk
What could go wrong.
Honest framing of unknowns, assumptions, and downside scenarios.
Negative monthly cash flow under all financed scenarios; only 100% cash achieves positive carry
High leverage sensitivity: estimated monthly cash flow ranges from -$4,191.97 at 20% down to +$1,414.50 at 100% cash
Estimated cap rate of 1.41% is well below debt cost of 4.99%, creating significant negative leverage at typical down payments
Thesis depends on lot redevelopment optionality (garden suite, custom build) which is subject to municipal zoning, permits, and construction risk
Reported sqft figure of 139 in the data feed appears inconsistent with a 4+1 bedroom detached home and should be independently verified
Rent estimate derived from widened comparable set (24 comps); actual achievable rent may vary
No recent sold comparables available to benchmark pricing