Spring is the ideal time to start the home-buying process, and Toronto is poised to provide an exceptional opportunity for many of today’s buyers. The housing market in much of the area has had a fairly frigid winter season, filled with flat year-over-year price increases in most neighborhoods. But a new promise is on the horizon.
There’s much to look forward to, including a substantially larger inventory of homes for sale with competitively low interest rates. With prices holding steady, home buyers have the opportunity to squeak in a good deal before those values increase in the coming months. If the Bank of Canada moves benchmark interest rates lower, as some anticipate, that’s an even better reason to make your move into this market now.
Let a Real Estate Agent Guide You
The Toronto real estate market is still likely to remain highly competitive. As a result, it’s wise to work closely with a local real estate agent who can help you find your ideal home and navigate the investment opportunities out there.
Some areas of the market have seen a rush of buying in the last two years thanks to investors buying up property for rentals or flips. Now, those investors are poised to sell, which means opportunities for home buyers. Still, if you’re buying into this market, you certainly don’t want to overspend (or miss out on a fantastic opportunity because you didn’t make a large enough offer).
With the help of a real estate agent, home buyers can make confident, market-specific decisions even in a more challenging environment.
Strategies for Buying in a Competitive Market
So, how does one thrive in Toronto's competitive market? Here are some invaluable tips from our team:
Create a financial plan first
Your first step is to create a solid financial plan for buying your next property. You must be ready with pre-approval for a mortgage lined up as early as possible. For many home buyers, that will give you a competitive edge when bidding on a prized home. Home sellers are more likely to prioritize buyers with ready-to-go lending as well. Use our mortgage calculator to help you get started.
Have a discussion with your agent
Collaborate closely with your real estate agent to outline your requirements and preferences for your next home. Their insights into current market rates, coupled with access to hidden gems not listed on the Multiple Listing Service, can prove invaluable in your search.
Be ready to decide
Consider your timelines and the implications of purchasing now. Are you prepared to seal the deal and relocate within 30 to 60 days, or do your circumstances necessitate a different timeframe? Clarity on this front will streamline your decision-making process.
Talk to your agent about the use of a bully offer
In a fiercely competitive market, consider the possibility of making a preemptive offer, known as a bully offer, before the property's official offer date. This tactic could potentially eliminate competing bids and enhance your chances of securing the property.
Be ready and willing to negotiate
The real estate market is competitive for buyers, but it’s very much an individual process. That is, every potential sale needs a skilled negotiator available to help guide the process. Don’t offend with super low offers, but also work with your agent to ensure you offer a price that’s still competitive for the market.
Always be ready to negotiate when it comes to conditions and inspections. Though many of the homes in this area are well-maintained, there are some overpriced properties. Having an inspection and home assessment clause in your contract can alleviate a lot of the frustration here.
Put the Team at Yin-Lynn Realtor Group to Work for You
Take the time to explore what the Toronto real estate market can offer you by contacting our team at Yin-Lynn Realtor Group. We help people looking for exceptional properties find opportunities at the right price and at the right time. Contact us now for a consultation.
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