Downtown Toronto Real Estate Booms

The economic crisis in the US seems to have had it’s impact on the Canadian economy. There are fewer transactions and average prices have also dropped compared to the same time last year. According to the Toronto Real Estate Board, in central Toronto the average price has gone from $400,000 in January 2008 to $345,000 early this year.

Properties are also sitting on the market longer than the same time last year. But this is great news for buyers, because now is the perfect timing for first time buyers or those wanting to own a home but just couldn’t afford it until now. The declined average prices and the low interest rates are a great mix for buyers. Sellers will have to ask for the right price and put in extra effort to make sure their property shows at its potential.

We all know that the real estate market is seasonal. As the summer market approaches, there is more activity in the city than in the previous month. Generally speaking, the Toronto real estate market tends to warm up in late spring and then begins to drop in July. Canada’s Mortgage and Housing Commission estimated around 75000 sales this year.

If you go around Toronto, you’ll see the “Condo for sale” signs almost all over town. Condo builders may even find it challenging to face the current demand of the market, considering that Toronto’s population has increased by 1 million over the past 10 years.

Actually, condos sales were over 50% of all the single family residential sales in Toronto’s market in February last year. Moreover, first-time buyers are the main segment of buyers in Toronto, as they are more motivated to own a home in Toronto. Some of them, however, tend to buy homes in the suburbs because they are somewhat smaller, but having only the factor of size in mind, can be quite tricky.

All these indicators reveal that the real estate market is extremely viable. Canadians are not just buying homes but they are also investing in commercial and investment properties as well. This is one of the reasons why many foreigners have chosen Toronto for their real estate investments.

The great potential and the fast growth of the industry are among the main reasons why many people choose to be part of this revolution. Another good reason is given by the political climate, as the government has been very supportive and helped the growth of the real estate industry.

More homeowners or first-time buyers are more and more interested in finding ways to avoid long daily drives in order to save more time and fuel. This explains the shift from suburban sales to Toronto downtown sales, as it simply reveals the factors affecting the sales trend in Toronto are not just economical anymore, but are more about the change in lifestyle and need for more practical ways of living. Real estate experts believe that there will be around 75,000 people to move into the city every year for the next 20 years.

5 Factors to Consider When Choosing a Real Estate Agent

In case you are looking for an opportunity to buy property, you will need the services of real estate agents. You need to find an agent with a good reputation. Although licensing is needed for agents to engage in the industry, it is somewhat unregulated. The factors to consider when choosing an agent include:

· Recommendation or personal reference

You can obtain information about a particular real estate agent through recommendation or personal reference from trusted friends, colleagues and relatives. Find out about real estate agents they have dealt with before and particularly those who offered an exemplary service. This way, you will avoid falling prey to fraud. In case you do not have good leads, you can consider asking the agent to give you at least 3 references for you to contact.

· License

Find at least 5 agents that you may be interested to work with. Find out whether they have a license to practice. You can consider getting in touch with the real estate board available locally to help you obtain the agent’s license status, any files complaints and legal record. The real estate board offers a good source of information that can be relied upon. In case the agent has a good legal record, you can consider them.

· Experience

In case you are considering acquiring apartments, you will discover there are many real estate agents available in the market. Therefore, one important factor to consider when choosing an agent is their level of experience in housing market. The right agent should have an understanding of the industry. They need to possess the necessary technological tools to help with a quality search. Furthermore, the real estate agent should be a skilled negotiator who is capable of competing well with the best agents.

· Knowledgeable

Regardless of the part-time or full-time status, a good agent should possess the necessary knowledge in acquiring property at competitive rates. The agent needs to have general and comparable listings, bad and good neighborhoods as well as local demographics. The agent should be aware of the crime rates in different localities, traffic patterns, freeways and several landmarks in an area such as grocery stores, churches, parks and schools.

· Size of the agent

When considering the agent, you want to work with you may need to determine whether you want to work with a small or large company. The larger companies usually have access to people connections and information. However, the size of the company is secondary to the experience and knowledge of the agent.