Durham Region Real Estate Blog

The numbers are in for the first half of July, 2009 , and they look good!  I might even go so far as to say they look great!  The Durham Region Association of REALTORS® reported 441 sales in the first half of July ’09, an increase of 11% from the 396 reported at the same time last year. 

Last month there was an increase in sales and average selling prices and July’s mid-month housing report doesn’t disappoint.  With sales up and average selling prices up 6% ($287,381) from the $271,890 recorded in July, 2008 the region’s housing market is still going strong.

Interest rates remain at nice, low levels, making home ownership a viable option for many first time buyers.  As they enter the market and purchase the most affordable homes, they free up the “move-up” buyer to purchase a larger home and also take advantage of attractive lending rates.   The Durham Region  is definitely proving that this is a great place to live, where value in housing is definitely holding its own!

Everyday I hear a story about buying a home that has wrong information woven into the details. I don’t think the story teller means to mislead the listener, they just don’t know any better.  It’s hard to keep track of all the rules and regulations when you are so emotionally involved with the process, so I’d like to try and shed a little light.

Buying a house is complicated, exciting and physically and emotionally draining!  In my opinion you should make certain that your finances are in place prior to starting your home search.  There is nothing more disappointing than finding the home of your dreams and then discovering that you can’t afford to buy it!  

A good first step is to check out a mortgage qualification page on line, but don’t leave things here.  Call a mortgage broker and ask him/her to have a look at your financial situation and let you know how much you can afford to spend on your dream home!  I do not recommend going in to your local bank and discussing your mortgage with a loan officer there, call someone who only does mortgages.  They are knowledgeable about mortgages and concentrate only on them. Besides, they make their living on the successful completion of mortgages so they will tell you straight up what you can and cannot afford.  And if part of your financial background leaves a little to be desired, they will tell you what steps to take in order to clear everything up so lenders will be lining up to give you money!

Once you know what you can afford you should track down a great Real Estate Agent.  Find one who  gels well with your personality and ask them to represent you.  This is a huge purchase for you so you want to find someone who you trust to look after your best interests when you are head over heels in love with a property you have just seen.  Your sales representative  should be someone who will see the real potential in a home and can advise you of the good and bad points.  Every home has some issues with it and you need someone who can point them out and tell you why you should or shouldn’t buy a particular property. 

The other reason you need a great agent is because of all the paperwork that comes with buying a home. There are offers and conditions and inclusion and exclusions and what may once have been a 2 page offer is now often 5 or more pages! Who said the computer was simplifying things for us?   Your agent will offer advise you on how to make the best possible offer so you can come to an agreement with the seller with terms that best suit you.

You’ll likely look on line for homes that interest you, but your agent will be looking too.  Our system allows us to be automatically updated when new homes are listed and we see many hours or days before they hit the public site.  Working closely with one agent will give you the best chance of seeing these new listings before thousands of people see it.  It might just be the advantage you need in order to get there and make an offer before the crowds arrive!

Do you want some more information about buying a house?  Just let me know and I’ll get you as much information as I can.

I listed two houses this week and have been surprised by both of them! The first house took me three times longer to get the listing agreement completed than it did to receive an offer.  Now the house is only sold conditionally, but as long as there are no surprises with the purchaser’s credit, the deal should firm up in four or five days.  The second house has been really interesting.  I’ve been working with these sellers for more than two months and finally got their house on the market.  It’s only been one day and we already have four showings booked for today, and one agent thinks she will be bringing us an offer later on tonight! Looks like the real estate market in the Durham Region is going to stay strong throughout the summer! Perhaps the good news that is finally hitting the news is helping people to realize that the Canadian economy is quite good and real estate is still a great investment in our future!

There are plenty of potential buyers who have secured pre-approvals for really great interest rates.  They won’t be able to hold those rates forever, so we expect they’ll be looking to close on a home purchase within the next 90 days.  This certainly bodes well for all the sellers out there!

It is estimated by Altus Group Economic Consulting that a total of $46,400 in ancillary expenditures is generated by the average housing transaction in Canada over a period of three years from the date of purchase.  The number is based on figures from Stats Canada. 

The analysis done reflects the importance of interior and exterior renovation work done by home buyers.  Canada-wide, owners of recently purchased homes spent $15,000 on renovations during the first three years after purchase.  In addition, there are significant expenditures for furniture and appliances and general household purchases like bedding, towels, lighting fixtures, tools and window coverings.  Moving costs also enter into the picture, especially in Ontario and B.C.

When you factor in that an average of 480,120 homes changed hands annually through MLS® in Canada, we are talking about $22.3 billion changing hands as a result of local real estate.  It’s a booming business!