How Long Has This Been Going On?

May 29, 2016 in Real Estate Blog

A couple of weeks ago I met with one of my long-time clients from my first endeavor in real estate, Anna. She has asked me to help her sell a property that’s part of an estate she is acting astrustee for.

Anna said, “Des, do you know it was 30 years ago that you sold me my home? And I’m still there!”

Amazing, I thought. But what was more amazing is that when Anna bought that home back in 1986 for somewhere around $85,000, she had to compete with another offer.

Not much has changed in 30 years except for the property values.  April has been a wild month in Toronto with houses in the most desirable neighbourhoods selling for anywhere from $100,000 to $500,000 over asking.

In most of these cases, my colleagues and I predicted the houses would sell over asking, but who can predict a sale price of a half million dollars over?

Interest rates are low, the economy in Toronto is strong, and the most obvious thing we see is a shortage of good houses on the market in good neighbourhoods.

With the low Canadian dollar, we’re also seeing a considerable amount of foreign investment in Toronto real estate.

Whatever the reasons, it’s a Seller’s market and a great time to cash in or move up in the market.

For my buyers, I just tell them to be patient and not to get carried away with the hype. We’ll find you something in your price range, eventually.

Let’s see what happens over the remainder of the spring market. As a realtor, I’m hoping for a more balanced market with an abundance of inventory where buyers and sellers can actually negotiate.


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