Part 2 of a 5 post series
Close to 70% of Canadians own their own homes and we know that real estate has always proven to be a solid, long term investment. Unlike a mutual fund or gold bar, you can live in the investment.
The dream of home ownership is very much alive. Because of this, there are always people who want to buy a home or investment property and what happens in a downturn is that more people than not take a wait and see approach. This leads to pent-up demand that, when released into the market again, causes a slow and steady climb as the cycle begins again.
So what to do if you are a seller in a soft market?
This is not the time to test the market. If that is your idea, may I suggest you put it on the back burner for now and stay put. If on the other hand you are trading homes (this is a good time to do that) or if you need to sell for any number of reasons, then here’s my advice:
• Price Well: Be realistic about fair market values. Right now, less than one-third of homes listed for sale are selling and that may get worse over the months ahead. Over-pricing your home will lead to stagnation on the market and nothing but frustration for you. You might want to read this.
• Be Ready To Compete: You will be competing with hundreds of other resale properties AND with beautifully upgraded model homes on new home sites. This means you need to have your home in top-notch condition. Prepare your home for sale, have it staged, keep it clean and make it easy to show.
• Be creative: Builders are offering incentives such as free air-conditioning, a finished basement or free appliances. What can you offer to compete with that? Don’t bother giving an incentive to us REALTORS® but rather, offer something of interest to potential buyers.
• Make it easy: Make it easy to show your home. Leave lights on for evening showings so we don’t trip on the walkway or fall in a snow bank. Be flexible with potential closing dates and, check your ego in the basement when dealing with an offer.
• Use a REALTOR®: This is not s shameless plug. I genuinely believe and know the value that REALTORS® bring to the table. Your neighbour, your stock broker, your co-worker and your Dad are not experts on the market although they may want you to think they are. Work with a trusted real estate advisor who wants a successful sale as much as you do!
Next: The Things Buyers Need To Consider Right Now
When it’s time to buy or sell real estate in the Collingwood, Blue Mountain or Georgian Triangle area, contact Marg, an experienced and competent Broker who’s ready whenever you are!