The Bluffs Voice recently had the opportunity to ask local real estate agents Frank Crisafi and Derek Cormack some questions about buying and selling property.
Q. Is it still a good time to buy? To sell?
A. Speaking generally of the city of Toronto, we have what’s considered a balanced market between sellers and buyers. Location is everything in real estate and as Toronto is a city of neighbourhoods, we find that each community represents a unique micro-market, which needs to be assessed on a hyper-local basis. Overall, prices have eased off from the highs of this past spring. However, if you’re looking to move from one property to another, a balanced market presents the ideal time to do this.
Q. Is this a good time to sell and cash-out?
A. Nope, not right now at least.
Q. How does the market in the Bluffs compare to the rest of the GTA?
A. While we sell real estate throughout the city, our personal homes and primary market focus are the communities that stretch along the Bluffs. And, within those communities, between individual pockets and neighbourhoods, we have seen various market dynamics that are dependant on location as well as price-point. On the whole, we’re no longer seeing properties sell after receiving multiple offers, though it still happens occasionally in The Beach, East York, and the downtown condo sector. Setting the appropriate listing price and selecting the right marketing strategy is more important than ever to succeed in today’s market in the Bluffs.
Q. What are the new rules coming into play in 2018? And how do you see them affecting the market here?
A. The new qualifying mortgage rules will require home buyers to qualify at interest rates which are higher than what they will actually be paying. This will ensure that a buyer is able to afford ongoing payments should those interest rates increase in the future. The actual interest rate on mortgage payments will not increase, but to qualify for a mortgage buyers will have to qualify for the higher threshold.
These are the same rules which have been in place for buyers who have less than 20% down. How these new rules will affect the market, remains to be seen. However, we do not expect there to be a significant change to the average selling price in the short term. Let’s watch to see how the market adjusts to these changes.
Q. Are real estate commissions negotiable?
A. Real Estate fees vary. Five percent is the most commonly used formula, of that two and a half percent is paid to the seller’s agent and the other two and a half percent goes to the buyer’s agent. It is however possible to find an agent who offers service packages with varying commission fees. Ask questions and do some research before you make a commitment.
Frank Crisafi and Derek Cormack are full time Sales Representatives with the Cormack & Crisafi Team at RE/MAX Hallmark. They work throughout the GTA with a special focus on The Bluffs. Their clients have benefited from varying levels of service and commissions as well as the Team’s connections with trusted mortgage partners. They’re also offering to help you learn how these new rules might affect your purchasing power for 2018. You can reach them at 416-699-9292 or visit www.builtontrust.ca.