REAL ESTATE TALK
SUPPLY & DEMAND
by Keeley Ward
EXP Realty Brokerage
It’s no surprise to anyone that the real estate market has been affected by the Bank of Canada’s rate increases, causing many buyers to pause the search for a home and stopping many sellers from entering the market because they don’t want to lose the rate they currently have!
But even with this, our markets remain strong…why is this you ask? SUPPLY AND DEMAND.
There is an overwhelming demand for housing in Kawartha Lakes and the surrounding areas, but the supply simply cannot fulfil this demand.
Therefore, we are still seeing many properties selling with multiple offers or bidding wars if you will, where the sale price exceeds the asking price. The market values for homes in Kawartha Lakes are still on the rise with the influx of “out of area” buyers that are taking advantage of our beautiful scenery, lakefront opportunities and bang for their buck!
The City of Kawartha Lakes has invested $280 million into new buildings, renovations and enhancements to property over the last 12 months, and in fact, as of June there were 549 new construction units under construction and a further 7,140 units either approved or under current review!
Many perspective buyers are considering pre-construction purchases as opposed to the “move-in ready” resale offerings for many reasons. Pricing of pre-construction is competitive with resale, and they are getting a brand new home with the finishes they desire, added is the hope that interest rates will cool by the time they are required to close with mortgage financing, and in some cases the deposit structure is staggered allowing them to keep some of their money in their account longer.
So you want to buy a home, what should you do? Your first steps will be to align yourself with a professional realtor, who will take the time to learn about you, your needs and wants and is familiar with the area that you hope to purchase in and next, a mortgage pre-approval with a recommended mortgage broker to determine your budget.
Sit down with your realtor to discuss the process, determine your need-to-haves vs your nice-to-haves and learn what types of homes will provide you with what you need, within your budget. A professional realtor will be able to make recommendations about certain upgrades that won’t be extremely costly, but may make a “not so perfect” house, look more like the perfect home! You will learn about the value of a home inspection, what conditions your offer should have, and the market value of the homes that you are looking at to ensure that you make an informed, educated and qualified purchase that you will be happy with not only on closing day, but for years to come!
There is a saying in real estate that says: “Don’t wait to buy real estate….buy real estate and wait!” Even in a somewhat slower market, this still holds true. If you want to buy a home now, and you are able to, let’s have a conversation!
Keeley Ward is a Broker with EXP Realty Brokerage serving Durham Region, Kawartha Lakes, Peterborough and the GTA. Keely believes in service, results, family and giving back. Her passions are her dogs and riding her motorcycle.