CURRENT MARKET TRENDS
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BORING! One word to describe the 2024 real estate market in Guelph so far – though buyers and sellers might feel otherwise.
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Buyers: Waiting for interest rates to drop and more attractive inventory to hit the market (wondering, "Why aren't people selling??").
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Sellers: Dreading each day their home sits unsold (wondering, "Why won't buyers bring an offer??").
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Median Sale Prices: Homes in Guelph are currently at $745,000, almost the same as in January ($742,000), across all home styles.
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Market Stability: January is our baseline; 2024 has seen slight fluctuations above and below this without any significant changes, which doesn't motivate sellers to "get to market" or buyers to make offers.
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Balanced Market: With 2.9 months of inventory in June, we're in a "balanced market" – cue the boredom.
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Historical Context: Balanced markets are good but typically short-lived.
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Future Outlook: It will be interesting to see what happens in the Fall after the next rate announcements (July 24 & Sept 4)
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For BUYERS: now is a great time to maximize your value when sellers are frustrated and everyone else is on summer vacation
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For SELLERS: having the right pricing strategy for your goals is CRUCIAL in this market. Do you want to sell faster or fore the highest price? (hint - you can't have both right now)
We had a great kick-off to Summer!
A big thanks to everyone who was able to make it to the Chestnut Park Street Party, it was so nice to catch up and get ready to kick-off the Summer. STAY TUNED for a few fantastic fall events we are cooking up!
Noteworthy
Next interest rate announcement: July 24
We had one rate decrease, are we in for another? The sentiments are currently mixed, however, inflation increasing in May back to 2.9 is not helping matters much. Again, we'll have to wait and see.
You should know about: Home Inspections
A home inspection is a critical component of your home purchase process. We always recommend including a home inspection condition in your purchase agreement. However, there are times when it might not be included. It’s important to understand the facts, risks, and benefits of including one.
Our Role: We are real estate professionals, not inspectors. We provide advice on the market and buying/selling strategies, but we cannot offer structural or component advice on a home. This is legally beyond our expertise and liability.
Home Inspectors: Home inspectors are not regulated and do not require a license. Many also do not carry insurance, so it’s crucial to do your research and get referrals from trusted sources (we can recommend some experienced ones).
Types of Inspections:
Pre-Inspection: Conducted before making an offer, focusing on major elements like the roof, foundation, and mechanical systems. This is shorter and identifies potential costly issues.
Post-Offer Inspection: Included as a condition in your offer, this comprehensive inspection can take around 3 hours, depending on the home's size, and covers detailed aspects of the property.
Including an Inspection in Your Offer:
Process: Once your offer is accepted, you have a set number of days to complete the inspection, review the report, and decide on your next steps.
Outcomes:
If significant issues are found, you may choose to either:
- Not proceed with the purchase (less likely).
- Re-negotiate with the sellers based on the report and required repairs (more likely).
If no significant issues are found, you can proceed with confidence.
Competitive Markets: In a seller’s market, where multiple offers are common, a pre-inspection can give you peace of mind and allow you to submit a cleaner offer without inspection contingencies.
Not Including an Inspection in Your Offer:
Risks: You will have no information about the property's condition beyond what the seller discloses.
Post-Purchase Inspection: If you skip the inspection condition but want to understand your property better after purchase, you can conduct an inspection at any time to identify areas needing immediate attention.
Understanding these points can help you make an informed decision about including a home inspection in your purchase agreement. Always consult with a professional home inspector for expert advice on the condition of your potential new home.
Client Congratulations
Patience and positive thinking - PLUS a lot of hard work - helped these Sellers find the next stewards of this charming red brick century home.
Congrats R & D!! You did such an amazing job putting in the work to make this wonderful home shine. It's time to rest (quickly), before you get started on your next adventure.
