The leaves are changing colour, and the air is getting crisp, however, contrary to popular belief, the real estate market is far from cooling off. While many of our clients are under the impression that Spring is the best time to purchase a home, there are many advantages to being a home buyer right now.
So, if you are a first-time home buyer or are looking to move into a new home, now may be a great time for you to start looking. From an increase in inventory to an increase in negotiating power, here’s why it’s beneficial to be a home buyer this Fall.
1. Conditions to Protect You are Accepted
During the peak of the Ontario real estate market in the Winter/Spring of 2021, many home buyers were putting in offers without the common conditions. These include elements such as home inspections and financing, that protect the home buyer. While it is recommended to add in these elements, many buyers were refraining from adding in conditions as conditional offers were not winning.
However, the Fall real estate market tells a different story. Since there is more inventory now and the market has slowed down, conditional offers are winning. So, homeowners can feel confident in making a conditional offer knowing that not only will they be protected, but their offer also has a chance of being accepted.
2. More Inventory to Choose From
Homeowners can rejoice knowing that there is now more inventory to view and choose from compared to the Spring of 2021. To give some insights, there are currently 512 active listings in Oakville on the market whereas back in February of 2022 only 252 listings were available. That’s a 103% increase in inventory! In Burlington there are currently 442 active listings, and in February there were only 150 available listings, that is a 194% increase in inventory.
This allows the homebuyer to see more homes, deal with less competition, and avoid those hectic offer nights where 25 plus offers were being put on the table. Overall, it’s definitely a more calming and enjoyable time to buy, compared to the chaos that homebuyers were facing a year and a half ago.
3. Homebuyers Have More Negotiating Power
The real estate market has also changed compared to the Spring of 2021 in the fact that homes are now sitting on the market a little longer. If you remember, at the beginning of this year homes were being purchased within as little as 7 days on the market - and even quicker if you came across a property that was not holding offers. Currently, we’re not seeing the same trend. For example, the current average listing Days on Market in Oakville is 28 whereas, in February of 2022 it was only 7 Days on Market, and we’re seeing the same trend across neighboring cities.
What does that mean for today’s homebuyer? Well, you can enjoy more negotiating power. Home sellers want to avoid their homes from sitting on the market for too long, so they are now more likely to receive and accept a good counteroffer. This makes it a great time to be a buyer!
4. Average Listing Price has Dropped
Good news for buyers, the average price has gone down in Oakville and Burlington across all home types. We probably don’t need to remind you of the drastic increase in price that occurred a year and a half ago. However, to provide valuable insight, the average price of a detached home in Oakville was $2,372,754 back in February. It is now sitting at $2,163,399, which is an 8.8% decrease.
While there may be an idea that Fall is not the best time to be a home buyer, truth be told, in this current real estate market, it’s a wonderful time to purchase a home. Not only have prices dropped, but home buyers also have more negotiating power and can put forth offers with conditions that keep them protected.
This however doesn't mean that you should proceed without a great home buying strategy! If you are ready to purchase your first home, then feel free to download our free home buyers guide. And if you want a team that will help you find the perfect home at your ideal price, then feel free to contact us for a consultation today. You know what they say, there’s no time like the present, and right now, the present is a great time to be a buyer!
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