When I posted this 4+1 bedroom, 5 bathroom house with a 2 car garage with 2 more parking spots on a 42.08 x 140 foot lot at 4 Douglas Drive in Rosedale in Toronto…

I was wondering how are houses priced for lease? Is it a percentage of the value of the house? Is it arbitrary?

Because my first reaction to the price of this house was that it was REALLY high.

In 2017, it was listed at $3,850,000. It sold for $3,800,000. Since then, only from what I can see, it had had some cosmetic changes like some flooring and paint. So, if you priced it now at a 6% annual compounded increase, it would be worth around $5,000,000.

But the price for this house per month was…

$30,000!!!

Don’t get me wrong. It’s a very good house but $360,000 a year!?! That seemed like a lot.

But it did come with the furniture so…

When I posted it, it had already been on the market for almost 3 weeks. I thought it would be on the market for a few more weeks.

Turns out it was leased 3 days after I posted it…

For $28,000.