Between rising interest rates and increasing inventory, the Toronto real estate market is definitely shifting.
The market still has a ways to go before being “cold”, but with this shift, savvy sellers should adjust their expectations and strategy to reflect a more balanced market compared to early 2022.
Here are 4 tips for selling your Toronto home in the current market:
Realize That People Are Still Buying
Even though the initial scare of interest rate hikes has made many buyers think twice about buying, it will take a few months of consistent increased inventory to sufficiently cool down the demand. The Toronto Regional Real Estate Board has predicted low unemployment, rising incomes, and record levels of immigration to come, supporting the demand for housing.
Realize That This Is Still A Good Time To Sell
Although record level demand from earlier this year has come down, it remains a good time to sell. The market remained tight enough in May to support an average selling price in the GTA of over $1.2mil, which is up 9.4% over last year.
Despite the increase in new listings hitting the market, inventory remains very low, with only 1 month of inventory available.
Making Sure Your Home Stands Out Is More Important Than Ever
With the market approaching more balanced conditions, preparing and marketing your home becomes more important than it was in the peak of the seller’s market. Staging, professional photo and video, and online presence and strategy are crucial to getting your home the most exposure.
With buyers gaining more purchasing power and the selection of homes slowly increasing, the homes that are marketed the best to the masses will gain the higher sale prices. Choosing a real estate professional who can provide this service should be a top priority.
Base Your Pricing Strategy On The Area
Despite the market balancing out, certain areas of the GTA still command high prices. This is because pricing is not only dependant on the market as a whole, but the demand of the specific area that your home is located.
High school scores, proximity to public transit and arterial roadways, safety, privacy, and neighbourhood prestige are always in the crosshairs of potential buyers no matter the market. This is why your pricing strategy should be based on the location of your home, not just the market. Receiving multiple offers is still a very real possibility in a balanced market if you’ve priced your home correctly.
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