It’s no secret that some housing markets have gone wild in Canada – namely Greater Toronto and Vancouver, where demand for homes continues to rise with prices in lockstep, while supply is dwindling.
Recent measures aimed at cooling these hot housing markets seem to be having their desired effect – including new mortgage rules, Premiere Wynne’s 16-point Fair Housing Plan in Ontario, and Vancouver’s foreign buyer’s tax.
Despite signs of markets cooling, homebuyers are hot to trot when it comes to snagging their dream home.
A recent home-buying survey by TD reveals that 60 per cent of respondents are willing to go over budget if it means getting their foot in the door. In fact, 56 per cent would up their spend by as much as $50,000. That’s no chump change.
“A recent home-buying survey by TD reveals that 60 per cent of respondents are willing to go over budget if it means getting their foot in the door. In fact, 56 per cent would up their spend by as much as $50,000. That’s no chump change.”
“Emotions are playing too big of a role in the home buying process and are tempting buyers to spend more than they can afford,” says Roy D’Souza, associate vice-president, Real Estate Secured Lending at TD Canada Trust. “$50,000 might lose its sticker-shock compared to the overall price of a house, but it’s still a substantial amount of money that could be used to meet other financial needs… Keeping your feelings in check is critical to making objective decisions that match your short- and long-term financial plans.”
When you’re ready, we’re here to help. It’s important to be honest and up front about your budget with your real estate agent. This will arm them with the knowledge they need to ensure they can negotiate on your behalf, without going to high, and also present you options that will fall in your range, no matter what the market conditions are like.
Hi, my name is Dana McAroe. I'm a Real Estate Agent in Fort McMurray. I help people get the best possible outcome from their real estate transaction - whether they are selling or buying or a house.