How Is The Market?

We are often asked by clients, friends and family “How is the market?” We thought we would take a moment to update all of our readers on how the experts find the Real Estate market throughout Canada is current doing.

We found a great online article from www.canadianrealestatemagazine.ca entitled “August Sales Exceed Expectation, Stir Concerns” - which states “…home sales in August were sharply up from the same month last year, driven by fears of rising interest rates”. The article goes on to say “…The number of home sales…rose 2.8 per cent on a month-over-month basis in August 2013. On a year-over-year basis the climb was 11 per cent”.

Canadian Real Estate Association (CREA) Chief Economist Gregory Klump was quoted in the article saying “Sales activity dropped sharply around this time last year in the wake of tightened mortgage rules and has improved since then…” He continued saying “…the upward trend and levels for activity in recent months has been steeper than expected, but that may not last”. He also stated “Recent increases to fixed mortgage rates caused sales to be pulled forward as buyers with pre-approved financing at lower rates jumped into the market sooner than they might have otherwise". He concluded saying “The outsized year-over-year gains may persist, however, due to weak sales toward the end of last year”.

We hope this gives you some information about how the Real Estate market is currently doing in Canada. To read the entire article, please click here.

As always, if you or someone you care about is thinking of making a move or if you just want some general information about the Real Estate market in your area, please don't hesitate to give us a call, we would love to talk to you!

Until next time,

The Jamie Dann Team

Real Estate Sales for October

We’ve entered the last quarter of the year, it's hard to believe we are almost at the end of 2010 already! In the Real Estate world, home sales have been stable since the third quarter of this year. The average price for homes sold in Barrie and District over the past ten months is up seven percent from the first ten months of 2009. What’s next? Will the market continue to be stabilized? Well here’s an update on sales activity for October in Barrie and District.


Since August 2010, residential property sales have consistently increased, edging up one percent in October over steady increases in August and September, on a seasonally adjusted month-to-month basis. However, the data also shows residential sales remained below last year’s record levels for the month of October. These records are from the MLS® System of the Barrie & District Association of REALTORS® Inc.

According to the President of the Barrie and District Association of REALTORS®, Catherine Gabe, the Real Estate sales market is now calmer as compared to early this year and buyers seem to be taking their time in making their buying decisions. To read more about the figures of real estate sales, click here.

At the present time it seems like we’re looking at a continuous balance of supply and demand in the real estate market, although in comparison to last year at this time sales remain lower than those record levels.

Until next time,

Jamie

Real Estate Sales for September

We’re already in the last quarter of the year. How are real estate sales so far? Here’s an update.


Residential property sales have remained almost the same as last month, rising 9 percent on a seasonally adjusted month-over-month basis. However, sales are still down by 8 percent from last year’s sales records.

The MLS® System of the Barrie & District Association of REALTORS® Inc. has recorded that the average price of homes sold was up 8 percent from last year for the period of January to September. New listings were recorded to be up by 5 percent as per year to year listings. For more figures and trending data, click here

According to the President of the Barrie and District Association of REALTORS®, demand for high end properties remained strong while demand has slowly weaken in low and mid-priced properties.

Similar to the past months, there is still a market balance between supply and demand. So far trends have been the same yet we should still look forward to what lies ahead in real estate sales until end of this year.

Until next time,
Jamie

What is a Housing Bubble?

According to the dictionary, a bubble is a “thin, usually spherical or hemispherical film of liquid filled with air or gas”. In other words, a bubble is described as something that has little firmness or solidness.


Economists describe a bubble as “the rapid increase in price due to some speculation on a particular commodity which will suddenly drop if it reaches an unreasonable level”. The sudden drop is often referred to as the bubble “bursting”. As an example, a bubble can occur when there exists a very attractive and “in demand” investment opportunity. Many investors take advantage of this great “deal”, causing prices to inflate (supply and demand), however, one never knows when the “bubble” will “burst” resulting in a drastic fall in the price, making the investment worth less than it cost the investor originally.

So what about housing bubbles? What does it mean?

A housing bubble is currently being talked about, especially in the Canadian real estate market. But what exactly is this bubble…and how does it affect real estate? According to a recent article in the Toronto Star, a housing bubble may not be a good thing. The article states “most economists agree that sales of homes have gone beyond historical and demographic norms and prices are likely over-inflated in comparison to income”. The article goes on to say “most economists at least agree that prices will have to fall or level off over the next several years”. To read further about the housing bubble, its cause and effect, plus tips on how to avoid it, click here. It’s a very good read and may be quite helpful.

Until next time,
Jamie

Why You Still Need a REALTOR®

Buying and selling “stuff” can be easy, but it depends on the item. Sure, you can save some money if you sell something yourself, all profits go directly to you. However, buying or selling a house may be a different story.


It is not always advantageous to buy or sell a house by yourself without seeking the assistance of a REALTOR®. Buying or selling a house is most likely the largest financial decision you will make. REALTORS® are trained professionals who are very knowledgeable in all aspects of the real estate industry and whose job it is to assist you with any of your real estate questions and concerns. They are well versed in negotiating and may, in fact, SAVE you thousands of dollars.

REALTORS® have access to vast network of fellow REALTORS® and real estate listings which is very advantageous to most buyers. For sellers, REALTORS® are available to meet with various potential buyers at the buyer’s convenience, allowing the home owners to not worry about the inconvenience of “dropping everything” to show their home to a potential buyer who may or may not bother to show up for a scheduled viewing. For both buyers and sellers, REALTORS® guide their clients through all of the paper work (making sure everything gets where it needs to go), make valuable suggestions and keep track of important deadlines and appointments.

To read more about the benefits of using a REALTOR®, click here.

Until next time,
Jamie