As Toronto home prices continue to soar, a property with two homes on one lot might look like a bargain until you have a closer look.

The average price for a detached Toronto home reached about $1.75 million a couple of months ago. So perhaps the chance to buy two homes at $3 million might seem like a good deal.

There are two homes on the property for sale at 140 The Queensway seen in this November 2020 photo. Photo via Google Maps

But while the property at 140 The Queensway in Toronto is listed for under $3 million, it is no steal.

There are two "run-down houses" on the lot being sold in "as-is condition," according to the listing on Realtor.ca.

In one image of the home on Realtor.ca it appears to have a different roof.  Photo via Realtor.ca

This comes as no huge surprise. Toronto has seen it's fair share of run-down homes at million-dollar prices. A run-down home in the Junction was on sale for $900,000. A partially burnt home was listed for $1 million last year.

What all these places have in common is the land value.

The home on The Queensway is in Etobicoke near Humber Bay but perhaps a bit too far from downtown for some people.

The second home is behind the main home on the street. Photo via Realtor.ca

But the lot size, a 64.50 by 128 feet and location in front of the Ontario Food Terminal may tempt some people.

According to Zoocasa, the property has six bedrooms and four bathrooms but there are no interior shots available.

The property is across from a plaza and the Ontario Food Terminal. Photo via Realtor.ca

The listing suggests the property has potential for redevelopment as it currently has mixed zoning. So with a re-zoning, it could be a commercial or retail business.

Or with some work, perhaps it could become two nice homes. A dilapidated home in Toronto was completely transformed recently — so it is possible.