The Sheer Cacophony
Sales are down. Showings are down. The Bank of Canada cautiously held the lending rate – but indicated they may raise it again…or may not. Listings are increasing. Every week brings new information and with it, refreshed speculation.
In real estate offices, clients call looking for predictions. Buyers are waiting and Sellers are hoping to wait. There is an enormous level of trepidation from world news to real estate. With mortgages coming due for renewal, homeowners wonder how they will afford the increased monthly payments.
Many are choosing variable rates now, thinking that rates will come down by mid next year. Mostly, the big chat is that we won’t see rates much below 5% for a generation.
Predictions breed error and given the global suffering there is a new level of the unknown. The only certainty is flux and finding the patterns in the flux is the magic trick, but patterns do emerge.
We should at least be able to evaluate our personal flux and see our unique patterns, those that have served us and some…maybe less so. Our real estate goals should be values-based and less so…value-based.
For buyers prices are better than they’ve been in a long while. There is more choice. In most cases there is time to see a few properties and circle back. Interest rates will be better someday, but probably not a whole lot better for a long time. Pay less today with a higher rate, or more later with a slightly lower rate. Good properties are still selling, and Sellers can make pivotal life choices even in these times. If you want to move it’s worth a conversation with your realtor.
One thing is for certain, choosing house and moving house is best done on our own terms.
Call me at 416-925-9191, if you want to talk about it.