I've noticed a trend where buyers are consistently offering $50k or more above asking price, often without any conditions such as inspections. I'm curious about the potential implications of this trend on the future market dynamics.
I've seen it firsthand as well, it really depends on the property type and price point. Not all products and prices are experiencing that - more of the "affordable" options. Directly, I think many buyers are going to be facing issues with the home itself, especially with no inspection. I have seen many many things over the years during home inspections and a lot of those things are hidden. Thermo-imaging is very useful in a lot of situations, I've seen foundation cracks exposed and a lot of internal water leaks. As for other aspects, this trend will theoretically cause a bubble, when people are purchasing without protections many homes will be overvalued and in turn get corrected. Now, from what I see right now, I dont really see a correction occurring in Calgary for quite some time but there is a real risk that you are going to buy a dud house, have issues, fix them and then if the correction happens you may sell at a loss depending on your personal situation. In my personal view though, I dont see a correction for at least 2 years, and that correction may not be as big as some people expect it to be BUT I could be very wrong. So, make sure to do your own research on top of what I provide.
Median price is the price exactly in the middle of the highest & lowest sale. Its a good indicator to see if the highs are getting even higher when compared to the lowest of sales. Lets see what chatgpt has to say lol. "The median price in real estate refers to the middle value of home prices in a specific area. This means that half of the homes are priced above this value and half are priced below it."
Many neighbourhoods are experiencing that rapid sale, but not all are the same. I have a couple listings in "newer" communties and its still hard to compete with the new construction which makes the resale a bit slower. The markets have increased but sellers still need to list their homes correctly and not be to greedy.
I've noticed a trend where buyers are consistently offering $50k or more above asking price, often without any conditions such as inspections. I'm curious about the potential implications of this trend on the future market dynamics.
I've seen it firsthand as well, it really depends on the property type and price point. Not all products and prices are experiencing that - more of the "affordable" options. Directly, I think many buyers are going to be facing issues with the home itself, especially with no inspection. I have seen many many things over the years during home inspections and a lot of those things are hidden. Thermo-imaging is very useful in a lot of situations, I've seen foundation cracks exposed and a lot of internal water leaks.
As for other aspects, this trend will theoretically cause a bubble, when people are purchasing without protections many homes will be overvalued and in turn get corrected. Now, from what I see right now, I dont really see a correction occurring in Calgary for quite some time but there is a real risk that you are going to buy a dud house, have issues, fix them and then if the correction happens you may sell at a loss depending on your personal situation.
In my personal view though, I dont see a correction for at least 2 years, and that correction may not be as big as some people expect it to be BUT I could be very wrong. So, make sure to do your own research on top of what I provide.
What is median price?
Median price is the price exactly in the middle of the highest & lowest sale. Its a good indicator to see if the highs are getting even higher when compared to the lowest of sales. Lets see what chatgpt has to say lol.
"The median price in real estate refers to the middle value of home prices in a specific area. This means that half of the homes are priced above this value and half are priced below it."
Houses are selling fast for crazy prices in my neighbourhood.
Many neighbourhoods are experiencing that rapid sale, but not all are the same. I have a couple listings in "newer" communties and its still hard to compete with the new construction which makes the resale a bit slower. The markets have increased but sellers still need to list their homes correctly and not be to greedy.
@@Adamcfyfe Ahh yes! Older homes trying to sell for new build/good neighbourhood prices.
should I sell my condo???
well.. no, unless you have to of course. Real Estate is best kept generationally and then leveraged for other assets.