First, does buying make sense for anyone right now?
If you’re waiting for the “bottom” of the market, according to experts that may have already passed. The forecast from the economists* is for a relatively stable year with perhaps a 0.2% to 0.4% increase in average** price and a 0.6% to 1.4% increase in the number of homes sold in the Edmonton area. That might not sound very exciting to you, but to the 600 real estate agents who heard that forecast, it sounded much more positive than forecasts in the last few years. The simple fact that the forecast isn’t for a decrease was a relief! Another way to look at it is this… the forecast is relatively stable. A more stable market creates an environment where everyone feels they can at least make plans. If this is the new normal, then let’s get on with it, is what I’m hearing from a lot of people, buyers and sellers alike.
If you’re waiting for prices to be really affordable, they are now! And if you want a low interest rate on your mortgage, they are now! If you want a good selection of homes to chose from, that’s definitely now! And if you want to negotiate strongly to secure the best value possible, that’s now too! With more homes than usual on the market, and with some sellers waiting longer than they’d like for an offer, your opportunity to negotiate a favourable deal is strong. Keep in mind, no seller is going to give their home away, but the odds are you won’t find yourself in a bidding war and if you can offer some of the things that the seller wants (such as a quick possession), the negotiation process may well end in your favour,
Second, does buying make sense for you right now?
I’ve always said that real estate should serve your life, not the other way around. So, if you have a real need for more space, less space, or a location closer to work or your kids’ schools, then yes, it makes sense right now. Where you live has a huge impact on your health and happiness…yes, your health! Sitting in a car for hours a day commuting isn’t good for you or the environment, and it really eats away at your family time. So, moving now might make perfect sense if this is your current life!
Whether you’re planning on buying in two years, two months, or two weeks, it’s never too early to start the conversation! But there’s a reason why you’re considering purchasing now, not six months ago or six months from now. What’s going on that prompted you to think now is a good time? What’s got you thinking about real estate? There’s no perfect time to move, have kids, go back to school, start a business… fill in the blank! But there can be better times or more convenient times. For instance, maybe you plan to live in Edmonton for the next 10 years, but next year you’ll be in Ontario for 6 months for a work project. Should you buy or not buy? How do you feel about buying a property and then renting it out for 6 months while you travel? Are you okay with being a landlord for a bit? If the answer is yes, then there are other things to keep in mind. Like if you’re buying a condo, you’d need to make sure the bylaws allow renters. We can help you get answers to questions like that!
We have a saying at our office … every job is a custom job. Yes, we have proven systems and processes to help you make a smart home choice and navigate the process safely. But beyond that, everything is custom. You are unique. Your situation is unique. And the combination of your needs, your life situation, your property preferences and the current real estate market is very unique indeed.
So, should you buy in this market? That’s a big question we can definitely help you answer.
* Source: Realtor Association of Edmonton Annual Housing Forecast **Averages tell us the trend, but they can’t give us enough to make a specific decision on. So, your first step if you’re thinking of buying is to contact your favourite real estate agent (at Schmidt Realty Group of course haha!) to find out what’s happening in the segment of the market you’re interested in.