And Just Like That !!

I just thought I would update everyone on what I see going on... especially in Durham Region.   It would appear that everyone who wanted to sell their home, waited until after Easter weekend and it seems that the we are now saturated with listings.

By looking at the listings and the sold listings it would appear the ratio is about 10:1... meaning for every 10 homes listed, ONE  home sells within a week.  Is this bad?  Not necessarily.  This just has not been the norm for so long that people are panicking.

Let's not panic.   The Buyers now have great opportunity to purchase homes without the bidding wars and without paying crazy over asking prices.  They may even be able to get a home inspection.  Those days were unheard of a few months ago.. hell, even a few weeks ago.

But it has definitely shifted and Realtors need to face the reality that the Sellers are no longer in the driving seat.....The BUYERS are... but many of the buyers were frustrated and didn't want to play anymore and have retreated.  It is time to revive those buyers because opportunity is knocking right now.  There are some sellers who are just hoping to cash in while the prices were at an all time high, and it is pretty safe to say, I think they may be a few weeks to late.  But there are also sellers out there who have bought in March and early April and MUST sell their home in order to close on the purchase.  This is where things get tricky.

Do they have options?   There are always options.   If you are in that position, you need to stay in close contact with your Realtor and get sound advice.  It isn't as easy as saying "keep my deposit".   If you think that, you are mistaken.   If you bought firm, you signed a legal contract.   If you are nearing your closing date, you need to discuss your options.... extend your closing to give you more time, if possible.   See if the Seller you bought from will take back a mortgage for you, if not, call on family to help you come up with funds to close the deal or speak to a mortgage broker about private funds.  But DO SOMETHING... don't wait until the 9th hour... nothing can be done a day before closing.  Deal with it sooner rather than later.

I was one of those people that bought in 1989 and my back up property didn't sell and what a nerve wrecking time it was.  I speak from experience.  Work with a Realtor that knows what they are doing.  I didn't and it took me years to recover from poor representation.   Have a plan of action.. what if... ask questions.

People that think they just lose their deposit are dreaming... that rarely is all they lose.   So be informed.   But if you are a buyer out there, the market is your playground right now.  With the market full of listings, you are able to shop til you drop.   What are you waiting for?   There are deals out there to be had.   You just need to find them.  I think this summer is going to be a great time to capitalize on some great deals.

Just know - the market is quiet.  You may have noticed all the "FOR SALE" signs out there and the SOLD riders are not going up like they used to.  This is becoming more balanced.  Agents can now really negotiate on your behalf.  If you have older children living at home, this may be the time for them to grab something.  There are homes out there selling for UNDER asking now.

Homes are being listed at the price they are expected to get and not silly under value prices and encouraging bidding wars.  Those days are slowly disappearing. This is good news for buyers.

On top of all the uncertainty, we are also seeing some Buyer Remorse out there.   Buyers who haven't closed yet on their deals and now seeing all the choice out there are feeling they overpaid. This is always going to happen if you are caught when the market is shifting.   Timing is everything and no one has a crystal ball.   All I can say to that is, I am sure in 10 years from now, you won't regret your purchase because real estate is one thing, if you buy it and hold it long enough, you will NEVER lose.   So hold on to your hats and get ready for a wild ride.

If you are looking to purchase a home or sell a home, work with someone you trust and is working in your best interest.   This too shall pass but for now, it is definitely been a fast turnaround.  Scary for some and opportunity for others.

Keeping it real in real estate !
Your friend
Michelle Makos
Broker/Manager - Royal Heritage Realty Ltd.,
Direct:  416-300-3004

January 2017 - Durham Region - Up 36% !!!!

Well everyone, the numbers are out !!!  The average selling price in Durham Region reached $608,417 last month.  In comparison, the average selling price was $446,117 during the same period last year. That is a 36% percent increase !!!  Wow !

Who knows how long this ride will continue but if you are thinking on selling I would love to meet with you and show you how these numbers will affect your bottom line.  You might be pleasantly surprised.  And if you are buying, stick with it....every month you wait, the prices are going up.  

December 2016 - Average Selling Prices

Great info about the Durham selling prices.  No end in sight .. Look out 2017.  

It's a definite Sellers Market !  

JUNE MARKET - Still a Sellers Market

Check out the average selling price for a home in Durham Region.  Month to month we see steady increases.   Multiple offers still the norm and now with the Feds saying they are going to increase downpayments from 5% to 10% hoping to slow it down - I don't think that will work.   Many foreign investors are buying with more than 10% down regardless.  Who all this is hurting, is the young first time buyer who can't afford these prices.   How on earth are our children going to buy homes especially with the prices escalating at such a fast pace !

The government wants to slow it down but have had no problem in Toronto collection the double land transfer taxes on all these crazy priced homes as well as they haven't changed the allowable amount for first time home buyers to pull from their RRSP's, nor have they increased the tax credit allowable to the first time buyer !   Hmmmmm.

Here is the latest Durham Region Stats for June

So it would appear that Whitby has surpassed Ajax in pricing... which is interesting... but overall Durham is the the best bang for your buck in housing.   Some say we have been undervalued for years and this is just catch up, others say that it is the 407ETR extension that made Durham a more viable option to move to.

Whatever the reason,  Durham Region is on the move !  Thinking of moving, make sure you use a Professional who knows the marketplace.  

Happy House Hunting !

It's a Sellers Market Out There !

Well folks, here we are approaching Easter weekend and the market is insane.  Buyers are fighting to win their Dream Home in multiples almost every night of the week.  Many people think that this is only happening in Toronto and I can tell you that is simply not true.  Durham Region real estate is a hot commodity right now.

Recently had on home in Ajax, 21 offers and sold almost 120K over asking.  Is

Welcome to Multiple Offers !

that unusual?   Not right now.  It seems to be becoming the norm.  But how far will it go?   We need inventory to balance this market out.   Yes, interest rates are low.  The demand is high but the supply just doesn't seem to be there.  A minute a home is listed, it seems to sell within a week or less.

Agents are waiving inspections and financing conditions just to WIN.   If you are the listing agent or the Seller, this is great times but if you are on the other side, it can be rather frustrating.   People ask me all the time, "will this continue?" and the trust to the question is, I simply don't know.   I don't see it slowing down any time soon.

We are getting buyers from Overseas, buyers from Toronto who can now sell their house there for $1M and move to Durham and buy for less money but not necessarily buy down in size.  It is driving our house prices through the roof.

I think the important thing to focus on here is know your market.  Buyers should have an agent from the market they are buying in.  It doesn't matter where you buy but make sure you agent knows the area, schools, market values, past sales, etc.

This is important.  Your agent when you are a Buyer is there to PROTECT your

interests.   Please keep this in mind as I see Buyers going to Open Houses now and thinking if they use the Listing Agent, they will get a deal... NEWS FLASH - there are no deals right now !!!   This is a strong market... Highest and Best Offer wins... but at least if you have your own Agent you know they are working in your best interests.

If they tell you, that's high enough - listen !   Don't buy with your emotions.  Listen to reason.   We have been doing this a long time.  

Back in 1989/1990 a similar market happened, interest rates were higher (12 to 14%) and home prices were much more reasonable but it corrected itself in a matter of weeks.   It took years for those homes to rally back to the prices Buyers paid for them.

I am not trying to scare anyone out of buying real estate.  It is your biggest and best investment.  I am just trying to educate both Buyers and Sellers.  If you are thinking of selling and are sitting on the fence, don't wait too long... you never know what can happen and if you are buying now, use an experience agent who knows your market you are buying.  Just because they are your family or a friend, that doesn't necessarily mean they know what works in that particular neighbourhood.

I can honestly say, from what I have seen lately, the offer price needs to be at least 5 to 10K for each offer over asking FIRM to win.   So it depends on how many offers and which neighbourhood and price point you are buying in.

The good news is ... we have a healthy real estate market right now which is good for the economy.   Good luck in your home search and play your poker hand right.  Keep your cards close to your chest.  Share your numbers with your agent so you can strategize together the best way to attack the situation and come out on the winning side.  

Have a wonderful holiday weekend everyone and happy house hunting !!! 

Check out the latest market statistics from TREB for January 2016.

Strong Start.  8.2% Increase in transactions from January 2015

Market is still strong.  

Treb Market Watch - January 2016 from Michelle Makos

April has been crazy !!! May is looking to be the same.

The real estate market in April was INSANE to say the least.  Multiple offers were the norm.  Homes selling at record prices and Buyers seeing their dream homes stolen out of reach because of increased selling prices and bidding wars.

If you are considering buying or selling right now, I cannot stress the importance of finding a Realtor that is experienced and local.  You will have a better chance of maximizing your leverage with a full time experienced local agent.

Sellers should get pre-inspection reports so they can get multiple offers but FIRM without conditions.  It saves any apprehension later after the fact.  For a few hundred dollars, you can give a copy to Buyers agent so they adjust their price and conditions in a multiple offer situation.

I have had two listings this past month sell for 108% of asking price, one sold conditional on sale of Buyers property, two first buyers winning in multiples going over asking and firm, and two selling at 100% of asking price.

If you home is priced correctly, it will sell - get a proper photographer that is professional with a wide angle lens that can show the true potential of your property.  I see some many rotten photos out there.  C'mon guys, you are professional, show your value !!!   My clients are treated no different that I, myself would expect to be treated when selling the biggest investment of my life,

It comes back to you by way of referrals.   Trust me.   So with that said, if you thinking of selling or buying, do your homework... find an agent whom you can trust and work with .. who understands your needs, your wants and who will work to maximize your investing dollars !

Have a super weekend everyone !   Real Estate is booming.  Best investment you will EVER make.   Cheers !

1875 Malden Crescent, Pickering - SOLD OVER ASKING !!!!

Thrilled to have been able to get my Sellers the highest price on their street !!! The market is smokin' hot !!  Thinking of selling your home, NOW is the time. Should you need a complimentary Home Evaluation, contact a local full-time Realtor in your area and get your home on the market !  

This home showed pride of ownership and the SOLD PRICE reflected that. Bidding wars are a thing now.  Make sure you are pre-approved when going out to find that perfect home.   Multiple Offer Presentations usually end up going to the agent that has pre-approved clients and them with them at the home. Congrats to all involved in this sale and thank you for your business.  ALWAYS APPRECIATE REFERRALS.