The market continues to heat up and when will it stop?
It will stop when people refuse to pay insane prices. It's already showing in the low inventory numbers. Home depot and the like are booming. They are booming because people are deciding to stay put and are trying to turn their existing home into their dream home (as close as they can get anyway) With the increase in home values equity has also increased. So many are grabbing equity loans and renovating rather then selling. Spend 100k and stay put, or spend 700k and have renovate anyway and have more debt.
True, I think the banks have to stop lending the money or increasing the minimum down payment Money is easy to borrow these days
They tried that with down payment , and again this past March. It had the opposite effect. Best for the government to stay out of it, and let the free market work on its own. Will be interesting to see how this all pans out in 2017
By world standards, Toronto is still a bargain. Take a look at most any major cities with the emenities, quality of life and population of Toronto and do the comparable. About 15 years ago My first wife and I put an offer in on a waterfront home, (with 60' of shoreline) in Oakville which was on a point with a full on panoramic view of the Toronto City skyline. It was owned by a retired couple who happened to be UofT profs in their careers. The house was a trip down the Art Deco lane circa 1930s. In fact, it was so old, it was probably on its third iteration of becoming "cool" again. Anyways, the price at the time was just over the $700K mark and, being 30 with starting a family on my mind, that was as much as we could do at the time. We naively put in the offer for the asking price and were quickly displaced by a bidding scenario. Fast forward 15 years later, that same property would easily be 4 times that money. If not more. You can't even get a decent house today with any kind of yard for under 8-900K within 100 miles of Oakville, let alone lakefront. "Mark my words.." And all that, buy everything you can afford. It's going to start to get really expensive in the GTA.
Have looked at over 20 properties to help my daughter buy. Put offers on 3....out bidded on all three by other parties. Last one I offered $85,000 over asking...sold for $125,000 over asking. I was advised I was the 4th highest offer. People are selling based on future value. The 'experts' say 60% increase over the next 3 years before it levels to 'regular' 6% yearly increases. Oh well, more views today.
At least your daughter can move in with you , and drive a Testarossa Imagine the others that don't have that safety net and are literally homeless. Our kids and grand kids are in for a treat if they want to live in the gta / van city
You are correct Big Red. The oldest one getting married next month, we helped to close their purchase last month. Offer from previous bidder prior to close of $66k over what we paid though we said no. The one looking for now is the next girl getting married July 2017. 2 down and 4 to go. By the way I am teaching my soon to be son in law how to drive a standard....last week took him out in a 1990 Nissan 240sx....he asked what is the smell....I told him it is you slipping the plates and burning my clutch! He needs a few more lessons....I am stressed thinking of him driving one of the classics.
My son goes for his full license test this Friday. When he was doing young drivers, I paid $150 extra to have four separate 1 hr driving lessons on a standard car. Took him out two weeks ago and he is now very capable. The money was worth it as my blood pressure remaind constant. You must be a great man letting your SIL help burn a clutch. I would recommend he get lessons from young drivers if he needs a couple of lessons yet. They are far more patient than I could ever be, amd I'm sure the Nissan would thank you ....and the positive, you don't have to smell the burn on the next few drives with him Good luck V
Lake Erie shoreline is just outside that range. St Catharines/NOTL/Grimsby are within that distanc. Although the same stupid overbidding is now happening here. a $280k house on the market for $360k sold for $380k with 8 bids competing. No central AC, no yard, etc. etc. Interior needs a lot of work. There are lake lots here and river lots well within the 8-900k. But, you have a long drive to TO and that gets old very quickly. Great area to retire though, lots to see and do and drink.
A 380K house within a hundred miles of TO is a craphole. Simple I said a decent house. Lake Erie is on the very outskirts of the 100 mile radius. A very good friend of mine who is a 50 ml net guy has a nice place on Lake Erie ( port colbourne etc) on a fire route for 10 yrs. He has a condo in Oakville. He is ready to sell his lakefront. It's a million four and a stella deal. That's about 2 hours from T.O. With no traffic and a strong wind behind you. My home 60 miles southwest of Toronto is worth over 2 million and if east of trafalgar would be easily north of 4 million. GTA is going and growing crazy. It will be profitable if you are positioned.
Wow, are you friends with Reza? Sorry you think that spending that much money is necessary for a good place to live outside to because it isn't outside the rarefied circle of 1‰'ers. Of course if it makes you feel important to boast about it then all is well.
But he did say it needed everything, no A/c, no yard etc ... ....he just didn't call it a craphole. Barrie , and just south of Barrie is also growing being 100 miles out, plenty there in the 400 range as well. The issue will always be location / proximity to where people work. The Milleium generation like the subway, are not as car friendly As the last generation. Nor do they plan on getting married and having a family as quickly as the last generation either. They prefer downtown, walking , subway, Starbucks and convenience. All indicators of a growing and expanding Toronto core.
and perhaps a future sub-division crash. I'm 42 and have not and would never live in a subdivision, many are of the same thought. I can walk to anything I need, to dinner and back too many restaurants to even go to them all. Grocery, liquor, my personal bank, my business bank, kids activities, everything is just out my front door. Very convenient. I probably save 1,000 a year - that's 1/2 a job! LOL. I can't see prices going down anytime soon with all the kids that don't want to drive. How will they get into the sprawl? No bus routes in there...
At $280 it would be an opportunity, at $380 it is stupid money from TO. Our house is not $800k but in 4 years it will be, without us doing anything extra. Just like our $357k house in NY went for almost 1M in 2007 and is now >2.5m, again without doing more than $200k in renos between 2 owners. This is fueled IMHO by scarcity and too much money being made, mostly from services industries that produce nothing. Those are jobs headed for automation/AI over the next 10 years so good luck paying those mortgages off.
I meant I save 1,000 HOURS a year which is 1/2 a job. Quit work at 5? Home at 5:15 and don't need to drive again. Sent from my iPhone using Tapatalk
Don't forget , all our homes were at some point new and a sub division. Even 50 yrs ago But I get what yiu are saying about the newer division homes. I find it hilarious that at 50 foot lot is now considered an estate lot. When just 10 yrs ago a 50 footer was considered meh. See, that's you problem right there .... You need to quit work all together
Well, it appears homes in my area have now hit the 600k mark. A home 2 streets away from us hit the market 2 weeks ago, and sold with in a week. It was listed at 525k. It sold 100k over asking at 625k. Another home on our street just hit the market this weekend. Its listed also at 525k, offers being entertained today. I walked through the home, its nice, but the yard is much smaller then what we have. Agent said she would be shocked if it went for anything less the 580k. I will be contacting her on Friday for an update. If it goes for 600+ I may consider listing. That number will give me plenty of money for a big down payment on a home, and keep my mortgage debt same or if not very close to it.
Better check with Jon Von Bon first, you don't want to end up with a crap hole. Seriously, would you not have to move outside your present area to benefit from the sale price? I always recommend not having a mortgage, gives you a lot of freedom in your life choices. Decide what you really need in order to be happy/content/satisfied in a house instead of what you want.....
We have out grown our home. 2 kids, the wife and I and a dog. Love the property but the house is only 1500sqft not including the fully finished basement. One small main floor bathroom and a 2 piece in the basement will not cut it with 2 growing girls in the home. I can just imagine the battles. This house is best suited for a new family with one child (which is what we were when we bought). 3 bedrooms but the room sizes are Lso feeling tighter then just last year.
