How to Handle Multiple Offers On Your Toronto Home

Buying a home? Click here to search all homes on the MLS
Selling a home?  Click here for a free home value estimate. 
Call us at (416) 438-2536 for a FREE home buying or selling consultation

We've been hearing a lot of questions about multiple offer situations because the market has been heating up lately, so today we're going to walk you through what you can do to come out on top.

We're currently still in a strong seller's market in Toronto with an absorption rate of 58.5%, and this tells how many homes are up for sale compared to how many homes have sold. A neutral market would have a 25% absorption rate, which means 1 out of every 4 homes will sell in a month. 

If you're a buyer, you will need a skilled Realtor to help you write a strong offer. Sellers will be focusing on price, deposit, closing date, extras, conditions, and terms. For most sellers, price is the most important factor, but the other five factors can be equally important depending on the needs of the sellers.

Sometimes you can make a stronger offer by removing conditions from the offer, or sometimes writing a personal letter to the seller can help. This can help the seller relate to who you are as a person, and it may help to put a face to your name. Let them know why you want the home and how great a homeowner you would be for the property. 

Now, as a seller it's important to make sure that your home is clean, staged, marketed well, and you should also have a pre-listing property inspection performed. Staging your home can actually increase the value by 5%, and a pre-listing inspection will give buyers the peace of mind they desire when buying a home. 

If you get multiple offers in the first few days, don't jump on it too quickly. If the offer is above the market value, I would suggest hopping on it. Overall, the offer that is most convenient for you is the one that you should choose. 

If you have any questions about these things or if you would like assistance with real estate in Toronto, please don't hesitate to contact me.

Pay Off Your Mortgage Sooner!

Buying a home? Click here to search all homes on the MLS
Selling a home?  Click here for a free home value estimate. 
Call us at (416) 438-2536 for a FREE home buying or selling consultation

Today we want to talk to you about mortgages. More specifically, we are going to talk about mortgage payments, and how you can pay more of your mortgage off in less time. 

Over the years, we have found that there is a way to pay your mortgage off much sooner, without putting extra financial burdens upon yourself. The way to do this is by making bi-weekly payments. While you are paying your mortgage twice as often, you are paying half as much. If you make these 26 payments a year, you will be making an extra payment without even noticing it, in your head or in your wallet.

If you make bi-weekly mortgage payments on a 25-year mortgage, you can actually have the sum payed off 7 1/2 years sooner, without doing much extra work to get there.

This is a great strategy that we encourage our clients to adopt. It makes financial sense, and doesn't put any more of a burden on you. In fact, it takes a lot of the burden off of your plate, about 7 1/2 years to be exact. 

If you're waiting for the market to stabilize, you have been waiting too long. We don't know how long interest rates will stay where they are, but we do know they are historically low right now. Locking in a low rate around 4% today will not only give you more purchasing power in the present, but will save you thousands of dollars in interest over the years. 

We are always looking to give you a helping hand in the Toronto real estate market. If you have any questions for us at all, don't hesitate to reach out and give us a call. We would be delighted to help. 

How Should Toronto Sellers Deal with Multiple Offers?

Buying a home? Click here to search all homes on the MLS
Selling a home?  Click here for a free home value estimate. 
Call us at (416) 438-2536 for a FREE home buying or selling consultation

Welcome back everyone, today we are answering some of the most common questions we get from sellers regarding multiple offers. With a shortage of inventory and very low interest rates, multiple offers are becoming a lot more common in Toronto. We want you to be prepared, and you will be after you hear the answers to the following questions:

"As a seller, what should I do before I list my property in order to get multiple offers?"

Preparation is very important when offering your home to the market. It's our most valuable asset and we want to show everything in your home in its best possible light.

There are a few critical things that must be done to maximize your list-to-sale price. Staging the home is important because it can increase your home's value by 5% or more. Online marketing is critical for getting your home in front of the highest amount of buyers possible. Finally, pre-listing home inspections are a good way to get out in front of any problems with your home, and demonstrate your authenticity with your buyer.

"If you receive multiple offers in the first few days after your home is listed, should you accept the first one, or wait for more?"

This is an excellent question. If we received one or more offers before our presentation date, this is what's commonly called a "bully offer." When a bully offer comes in, you have to know the market value of your home. When sellers are holding out for multiple offers, they usually list a home for 10% less than its market value. Just because a home is sold over asking price doesn't mean it's sold for market value. 

Thanks for taking the time to watch today. If you have any questions, feel free to give us a call or send us an email. We look forward to hearing from you soon!