Check out these numbers! What a story they tell! See below.
Has the pandemic had an effect?
Yes….Some sellers have been reluctant to put up their homes for sale. With the stay at home orders and Covid unknowns, who wants a bunch of strangers in their house?
And no…buyers are a still out there. They have embraced masks, hand sanitizer and new protocols. List to sale price ratios are still over 100% in many areas indicating multiple offers and healthy buyer demand.
Where is the market going?
Up. The numbers show that we are trending up in the number of sales and average sale prices.
But wait! CMHC sent out a bulletin last month indicating concerns with debt loads. Fair enough. Covid-19 has affected many jobs. Lenders have allowed homeowners to defer mortgage payments to ease the burden and rightly so. While it’s helpful now, we are having discussions about what this will mean in September/October when the deferral program ends. Will more homes be up for sale?
If you’re a buyer, should you wait?
It depends on your situation.
CMHC is bringing in new rules, making harder to buyers to purchase. The minimum credit level and debt service ratios to qualify are changing July 1st. If you’re worried, talk to your lender. It may be worth it to jump in now. Will these new rules take some buyers out of the pool? Absolutely.
My take? Keep looking, get pre-approved and hire a great agent (ahem…moi) who understands pricing and how can a buyer can position themselves to win.
If you’re a seller, should you wait?
Sellers have to be comfortable with people walking through their homes. We have implemented new measures to keep everyone safe such as virtual walkthru’s and sanitizatio protocols. Once you’re comfortable with the measures put into place, get that sign on the lawn!
I’m here for you. If you have any questions about buying, selling, the market in your area or if you just want to chat about real estate, give me a call. We can have driveway coffee. Or drinks. 🙂