I try to avoid the news because all the news does is try to sell the news. They do this by instilling fear in people. Every program is the same, they come on with their analysts and they pretend to give you the facts, when in reality nobody knows anything when it comes to Real Estate or how the markets will be in the next few months or years. If they did then they would be billionaires and not be on anchoring a news program. I’m here to tell you don’t believe the news or what they say might happen.
They are correct that the market has slowed down in the last month or so. This happens every year at some point during the year. Why? Well there are only so many people that are going to buy or sell a house…and those people did that this year already. The market was so busy at the beginning of the year that naturally there will be less sales toward the end of the year.
While there were more sales due to low interest rates, mild winter, and a market frenzy, that is all over. Like every year it will slow down now and then it will pick up again next year in the spring when it typically gets busy. Furthermore it will be a slower year now and until next year that is because the powers that be changed the rules and now less people qualify for mortgages, and have less access to money.
Alert, prices will drop a bit now and it is time for investors to buy at a cheaper price. If you are selling your house be sure to price it correctly and don’t use the over inflated comparables of January to July. Things have changed a bit, and we are seeing this with the number of days on the market. Sorry you missed the boat. The good news is that Real Estate in the Greater Toronto Area is always going up on a 5-10 year investment. Even when the market slows, it does go up overall.
Also keep in mind that houses will still sell if you price it correctly. Its a time tested rule of the market.