If you’re in the market to buy a home, you’re probably wondering if you should buy now or wait to see what else will happen in a market that has seen some changes recently.
First, you’ve probably heard that prices have come down over the past few months. While that’s generally true, it doesn’t necessarily mean that prices will continue to go down. In fact, according to Toronto Real Estate Board statistics, the average price of all home types in Markham actually went up 4% between June and July 2017!
No one can say what will happen to house prices in the future. There are plenty of news stories about the Ontario government’s recent foreign buyers’ tax leading to a drop in home prices. However, a similar tax in British Columbia was followed by only a temporary downward trend in prices, and the Vancouver real estate market is once again considered to be ‘hot’.
The Bank of Canada’s recent increase in its key lending rate, which caused some mortgage rates to go up, was also seen as something that could make home prices go down. Currently, mortgage rates are still very low compared to historic averages. And that’s just one reason why right now is as good a time as any to buy a home.
Here’s Why Right Now is a Good Time to Buy a Home
Regardless of when you choose to buy a home, it’s important to look for the advantages in the market. Despite what some news stories might make you think, there are lots of advantages to buying a home right now.
1. Fewer Bidding Wars
Bidding wars were one of the most stressful parts of buying a home during the recent run-up in the real estate market. Frustrated by not being able to get their offers accepted, desperate buyers tried to outdo each other with ever-increasing offers. Bidding wars were one of the reasons prices increased at a relatively high rate.
With the recent increase in the supply of homes on the market, there are more options available for buyers and far fewer bidding wars are breaking out versus just a few months ago.
2. Better Deals
The fact that more homes are on the market makes home owners more motivated to sell their houses. In addition to being increasingly flexible on prices, sellers are more likely to make upgrades, do renovations and entertain more buyers’ demands than they were just a few months ago.
As a buyer, that means you’re getting more value for the price you pay for a house.
3. Still Low Interest Rates
Yes, the Bank of Canada recently increased interest rates by a quarter of a percentage point. While that caused interest rates on some types of mortgages to go up a similar amount, mortgage rates are still lower now than they were in 2014. Today’s interest rates are well below the average rates of the past 60 years.
Here’s a Great Tip for Finding the Best Real Estate Deals in the Market:
The Stephen Tar Team has been helping buyers find great deals on homes in Markham, Unionville and all across York Region for over 35 years. We have access to exclusive listings of homes before they actually go on the market. That means you can find deals that no one else knows about.
This really is as good a time as any to move into a new home. Get in touch with The Stephen Tar Team and we’ll be happy to show you how.