Wednesday, February 20, 2019

Sellers Were Asking: Why Won't Someone Just Put in an Offer?

Why Won't Someone Just Put in an Offer?

As the owner, you are entitled to ask any price you like.  The idea of starting high so you have room to come down works in some markets, not in others.  Let's consider these points:

  • A common problem arising from overpricing your home is that prospective buyers are "Scared off" by the price. Prospective buyers often know the maximum price they can pay to still qualify for financing.  They may eliminate an overpriced home from consideration without ever looking at it!
  • Look at the competition. Many buyers today shop for a home by comparison, as they would for a car or fridge. They look at numerous homes to eliminate from consideration the ones they feel are not competitively priced.
  • Sellers often think only in terms of the cash they will receive when someone buys their home. Most buyers borrow money to buy a home. The bank or other institutions who loan money to purchase homes always require that the home be appraised by the lending institution to insure that the home is being purchased at fair market value.
  • Sellers should also be aware that there are hidden costs involved when overpriced homes don't sell rapidly. These include the sellers continued liability to pay interest on the mortgage, property taxes and insurance. Overpriced homes become "stale" on the market.

When determining the sale price of your property, you should be aware that competitively priced property will attract more qualified prospective buyers in a shorter period of time. If I can help, give me a call!

Monday, February 4, 2019

Market Stats: January 2019

January 2019

Is the Spring Market upon us?  This beautiful weather definitely makes us feel like it is! In Real Estate terms, the ‘Spring Market’ means an increase in listing activity starting late January to early February.  Last year we saw a slower start, with numbers only beginning to tip the scales come March!  This January the stats might leave us wondering, ‘will this year be different?’!  


For the Burlington market, the number of new listings are up by 50 compared to last year, with average sale price hovering just shy of $700K.  Days on the market are at 37 which means our list to sale date timeframe is already beginning to tighten; whereas last year it was still at an average 40 days on the market.  

In Hamilton, the sellers are out in full swing, with the number of new listings up by 69 listings compared to January of last year.  We don’t appear to be seeing sale prices quite as high as last year, even though this December the numbers sat quite a bit higher.  Days on the market and the list to sale price ratio came in the same as last January at 40 days and 99%.  

The jury’s still out… we’ll see what the coming few weeks produce to glean a better idea on where we’re headed as we move through February. 

To see the numbers in chart form, check out Monthly Stats on our website!