Sellling in a Down Market
it’s official. The Real Estate Market is going down. 2 – 5% in the GTA. Sales
are down. Properties are sitting on the market longer. Unless the home is in
perfect condition, many properties are seeing price reductions. And Buyers are
There are some gorgeous homes out there that had the right upgrades, great staging and perfect pricing but in general, the Days on Market is longer than we’ve seen in the past few years. Even hot Oakville areas like Oak Park, Woodland Trails, Westmount and Bronte Creek which saw an August average of 22 Days on Market are now trending into 30+ Days on Market.
Keep in mind that 30 – 60 Days on Market in years past was normal, but now we’re seeing things through the recent lens of a hot market and short days on market. I believe that what we’re seeing is not a declining market, but rather a more even, balanced market.
Superb properties will continue to move fast, but if it is not perfect, it will take longer to sell. Marketing becomes more important than ever. You need a strong Real Estate Agent to drive traffic through your property. You will need more viewings from a wider range of Buyers in order to secure a sale. We’re currently seeing more listing cancellations and listing expiries than ever before.
You must adjust your mindset. You cannot compare property values to the 2012 Spring market or even prices from 2 months ago. Fair Market Value s determined by the most recent sales in your area and you MUST realistically assess upgrades required in your home. Your décor CANNOT be personal – it must appeal to the average consumer.
Here are some points to remember:
- Lack of upgrades and poor décor CAN EASILY LOSE YOU A SALE in this market.
- If you don’t have to sell, THIS IS NOT THE TIME.
- DO NOT BUY FIRST. List your home first, and ask for a long closing.
- YOU DO NOT HAVE AN OFFER UNTIL A CONDITIONAL OFFER IS IN YOUR HANDS.
- BANKS ARE TIGHTENING THEIR LENDING. They are appraising property values much more closely. The Appraiser will want to go into the home to make sure it’s at Fair Market Value.
- That being said, I know that with the right upgrades, staging and marketing my team can sell your property for Fair Market Value in the shortest amount of time.
Technorati verification code: XMMTF7HGSQNK