I can speak to the last 30 or so years.
We bought in Riverdale in 1985. I joked that, compared with what we had in Montreal, we paid twice as much for half as much -- although it was larger than most Riverdale homes.
At that time, I'd say that about 10-15% of our street was renovated/gentrified/yuppified. The Danforth was 75-85% Greek, with those old-fashioned open kitchen restaurants, a few souvlaki joints, Greek gift shops, kids' clothing stores, fruit markets, etc. (All percentages are estimates.)
By 1987, while walking the dog, I counted (something like) 13 dumpsters in front of houses on our street and the next. There was a rush to Riverdale -- I don't know about other parts of town -- because it was still cheap, well-located, great TTC, walkable, etc. Suddenly, the term "house flippers' came into the vocabulary. The understanding at the time was that investors, including real estate agents, were buying cheap, doing quickie, cosmetic renos, and selling for much more.
Meanwhile, interest rates were crushing. For some reason, 14 % sticks in my mind but I could be wrong and I am too lazy to google.
People were actually saying that real estate agents should cut their rates.
I think by 1989 - 1990, the frenzy peaked. If we had sold our house then, we would have sold it for 230% more than we paid.
Then a recession kicked in, triggered by "Black Monday" in 1987. This was a MUCH bigger recession than in 2008, much deeper, and longer.
It really hit around 1992. People went underwater. One couple I know split up and had to sell for much less than they bought. This was in the Beaches.
Some Riverdale friends also hit hard times. One of them was let go from their job. They sold for $73K less than they had paid.
There were Powers of Sale everywhere.
Then in the mid-90s, the market started to rise. You know the rest.
P.S. That house we bought in 1985? We sold it in 2012 for ten times what we paid in 1985. Crazy. Now I am seeing bidding wars in our condo building.
