London Ontario Real Estate Numbers For November 2017

London Ontario real estate numbers for November 2017 saw 637 homes being sold through our MLS system,  as reported by The London and St. Thomas Association of REALTORS® (LSTAR).  Year-to-date sales are up 9.1%, with a total of 10,790 homes sold, marking 2017 as the year with the highest number of residential sales since LSTAR began tracking data in 1978, with one more month to go.

In November, the average sales price across London and St. Thomas was $322,303, up 11.6% from the same time a year ago. The average year-to-date sales price is $330,039, up 18.0% from November 2016.

In London South, the average home sales price was $344,010, up 16.6% compared to a year ago, while in London East, it was $255,518, up 7.9% from November 2016. In London North, average home sales price was $383,147, up 9.9% compared to this time last year, while in St. Thomas it was $260,763, up 19.4% compared to a year ago.

In November, there were 716 listings, down 9.3% from the same time in 2016. St. Thomas saw a total of 55 homes sold, down 14.1% from the same time last year. Year-to-date home sales in St. Thomas are at 874 homes sold, up 10.1% from 2016.

For a breakdown of neighbourhoods in London, for houses and condos, you can go here.

The following chart is based on data taken from the CREA National MLS® Report for October 2017 (the latest CREA statistics available). It provides a snapshot of how average home prices in London and St. Thomas compare to other major Ontario and Canadian centres.

*These statistics are prepared for LSTAR by the Canadian Real Estate Association (CREA) and represent a data snapshot taken on December 1, 2017, based on reported sales activity between November 1 and 30, 2017.

 

 

 

How To Prevent Overpaying For a London Ontario House

Overpaying for real estate in London Ontario over the past few months is occurring more often than not and I have heard the following statements from buyers and Realtors.

happy buyers

 

  • “There is nothing I can do about it”.
  • “That’s just the way the real estate market is right now.”
  • “There is nothing else out there”

Really?

Learned helplessness is a condition in which a buyer adapts to the scarcity mindset, the fear of loss and instant gratification and overpays for a house in London Ontario and feel that there is nothing they can do about it and that the acceptance of their offer is totally out of their control.

Yes, the real estate market in London Ontario is vibrant and as a Realtor, that is quite positive yet the consequences of overzealous buyers and their representatives actions will have a negative effect , as history has proven over and over that the axiom “What goes up must come down”, holds true.

As a home buyer in London Ontario, you have choices and there are strategies you can take to ensure you do not over pay and get caught up in the frenzy.

 You cannot ever overpay with the research and the facts we provide to our clients!

Misinformation About Real Estate Byron London Ontario

 The average days on the market for a house or condo to sell in Byron in South West London Ontario was 13 days! The misinformation about real estate in Byron can hurt!
 We have the facts about real estate in London Ontario
 In this so called information age, is there too much information? Could be, but I am alarmed by the amount of false information that is out there, especially when it comes to real estate.
  I speak with London home buyers and home sellers every day and the questions I get asked, the perceptions they have and in some cases, a real estate market belief system so strongly embedded that in time will come back to haunt them!
  If people hear the same thing, read the same thing or misunderstand something enough times, they believe it without asking the best question of all: “Is it true?”
 If someone was thinking of selling their home in Byron or buying a house or condo in Byron, would it not make sense to know the following & make a decision than basing a decision on guesswork, false perceptions and emotional bravado?
  • Days on the market vs List Price Median for the last 10 years
  • Historic count of active listings
  • Historic sales for the last 10 years
  • Historic sales price trends
  • Historic sales and price range
  • Original price vs sold price
  • Sale price / list price ratios

Why is this information important? Whether you were buying or selling, these numbers will give you peace of mind of the neighbourhood trends, plus, a confidence level for price, expectation levels for negotiating and about 8 other advantages I can help you with.

Knowledge of the market, the ability to get hard facts and not assume anything or give an opinion that could be biased is the cornerstone of our business and the reason why our volume of business and referrals have growing exponentially.

Our work ethic makes a huge difference as well!

  Byron  in South West London is bordered by Wickerson Rd to the west, Southdale Road to the south, Commissioners Road to the north and Colonel Talbot Road to the east.                                        

Byron Map

Get All the houses and Condos For Sale in Byron London Ontario

Byron has been consistently been a sought after London neighbourhood to live in and 2016 was no different with Springbank Park  (300 acres along a stretch of the Thames River and has 19 miles  of trails.) and the Thames River, Boler Mountain (a ski and mountain bike area known to the locals as “the bump), churches, schools, a library, a fire hall, a legion, a Masonic hall , bistros and dining, professional offices, medical, drugstores, LCBO, jewelers, drycleaners and more.

Nearby are public and private golf courses and walking & biking trails galore.

Walking in Springbank Park

Five Problems Home Buyers Have When Viewing A House For Sale

      Five Common Problems Home Buyers Have  When Viewing a Home For Sale.

A messy House does not sell

 ODOURS …Overwhelmingly, the #1 complaint among prospective buyers was unpleasant odours in the  home.  The chief offenders were smoke, pet odours, and strange cooking aromas.  Some buyers turn right around and walk out because they found the smells so oppressive.  Most of us are unaware of the ‘peculiar’ odours of our homes because we become immune to the smells – the buyers are not immune to these same odours.

CLEANLINESS...This # 2 complaint  was that the seller simply did not bother to clean.  We’re not talking about home staging (which will help) or even unrealistic expectations of the home being spotless – just simple old-fashioned cleaning.  Selling your home can be a bit inconvenient, but when you have advance notice that a buyer is coming to view your home – clean it up!!!  At the very least, remove the pile of dirty dishes from the sink.

keep your house spotless when selling it

SELLER AT HOME…Coming in at #3 is having the owners at home while the buyers are trying to view it.     Most buyers felt very uncomfortable with the seller there.  Many said they could not take the time to really look at the features of the home because they were in such a hurry to get away from the seller.  This is a real problem for FSBOs, as they are usually the ones showing their own home.

CLUTTER...The #4 complaint is related to the cleanliness point – the dreaded clutter.  We have all seen it on the home shows, many buyers have a hard time seeing your home because of all the stuff.

 UNFINISHED PROJECTS...Unfinished projects take the #5 spot.  If you are planning on selling your home, finish up any on-going home improvement projects before placing it on the market.  Homes with half-finished painting, flooring, trim, etc. gave buyers a bad overall impression.

 

Some buyers may over look some or all of these 5, but when they do, they offer a lower price because they think, “If the seller does not care about the clutter or the unfinished projects, what else is wrong with the house?”

 

If your home is priced correctly and you have addressed the other items on this list, it will stand out like a diamond among the many lumps of coal out there.

Exclusive Envelope Real Estate Home Audit

Our ‘Exclusive Home Audit’ that we do before listing a home for sale entails these 5 and 31 others and we go over everything with you so that you can sell your home in a reasonable time frame and not leave any money on the table!

New Rules For Buying a Property in London Ontario With Tenants

If you have a client who is interested in buying a property, but it has a tenant, make sure to extend the closing date because the required notice days in Ontario have now doubled in length. In the past, only 30 days written notice was required to terminate a tenancy. Now it’s 60.

Landlord in London Onatrio

Another glitch: the date the tenancy ends must coincide with the end of term or rent period. This could result in a full year passing before your client can move in.

For example, if the tenant’s lease ends Dec. 1, 2018, your buyer can’t move until Dec. 1, 2018 even if the closing date is Nov. 1, 2017. And if you’re thinking of “fudging the dates” by giving less notice than is required, don’t! If the termination date is so much as a day off, the notice is invalid, and you’ll have to start all over again.

Previously, landlords have not been required to compensate the tenant if the landlord gave proper notice and acted in good faith. That’s no longer so. Section 48.1 of the RTA requires that the landlord compensate the tenant equal to one month’s rent. This amount has to be paid prior to the termination date specified on the N12 notice. This means a tenant can take the money and still refuse to leave!

Some real estate salespeople have encouraged investor buyers to buy a place and evict a tenant under the pretense that the buyer, or her family member, is moving in. Under the new rules, if the buyer gets caught, she can be fined up to $25,000. This fine can also be levied if the buyer decides to move out before 12 months are up following the date of eviction, rent it to her cousin and charge rent or demolish the place.

Given these rules, it’s important that you get a copy of the tenant’s lease. This way, you can gauge when your buyer can move in and how much she’ll have to pay the tenant to move out.  It’s also important that you always use the updated forms found on the Landlord and Tenant Board’s website, because the previous forms are no longer valid.

To avoid extortion by the tenant – a practice whereby tenants demand money in order to move – make sure that your buyer, once she becomes the landlord, files an L2 application and obtains an order terminating the tenancy pursuant to the notice prior to the termination date. Ensure that the order references the payment so that it is documented that you will be providing the tenant with proper compensation. Getting an order in place speeds up the process if the tenant refuses to move following the notice date and prevents the tenant from extorting the landlord by demanding more and more money in order to move out.

While affordability is an issue and the housing reforms attempted to solve this matter, the reforms have disproportionately hurt landlords and those who are scrimping and saving to buy a home. As such, buyer agents, as well as seller agents, must be aware of these financial and practical changes. They can destroy a deal.

The above was written by   Natalka Falcomer  a lawyer in the GTA area

 Another interesting tip about investing in London Ontario

What Price To Sell a House In London Ontario if Downsizing?

                    What to be Careful of When Setting Your Selling Price

Meeting with a REALTOR

Meeting a Realtor

You have decided to sell your home and have a fairly good idea of what you think it is worth. Being a sensible home seller, you schedule appointments with three local real estate representatives, (or a friend of a friend who has a friend). They set up a time with you and maybe arrive with a “Competitive Market Analysis” (which no longer is an accurate tool, I’ll cover that in another report) and they each recommend a specific sales price.

Amazingly, two of the Realtors have suggested prices that are lower than what you expected. Even though they have backed up their recommendations with recent sales data of similar homes, you remain convinced your property is worth more.

When you interview the third Realtor’s figures, his or her numbers are much more in line with what you think your home is worth. Or they may have even suggested to you a higher price. Wow! Now you are happy and an exited home seller, perhaps already counting the money.

   A Sales Practice Called “Buying a Listing”

If you are like most people, you have chosen Realtor number three. This is a Realtor who seems willing to listen to your input and work with you. This is a Realtor that cares about putting the most money in your pocket. This is a Realtor that is willing to start out at your price and if you need to drop the price later, you can do that easily, right?

 After all, everyone else does it! Wrong!

The truth is that you may have just met a Realtor engaging in a questionable sales practice called “buying a listing.” He/she “bought” the listing by suggesting you might be able to get a higher sales price than the other realtors recommended. Most likely, he or she is quite doubtful that your home will actually sell at that price. The intention from the beginning is to eventually talk you into lowering the price.

  Why do some “buy” listings this way?

There are basically two reasons: A well-meaning and hardworking Realtor can feel pressure from a homeowner who has an inflated perception of their home’s value. On the other hand, there are some who engage in this practice routinely.

Overpricing a property in London Ontario

If you start out with a price that is too high, there is likelihood you interviewed other Realtors. They did not get the listing, of course. They got “beaten” out by someone telling you what you wanted to hear.

If your listing Realtor routinely engages in “buying “listings, he/she has probably has done this to other Realtors in the same way. Word gets around that their homes are overpriced and the home seller has an inflated value in mind. This can be very difficult to resolve.

In short, you may have ended up with a Realtor who was good at selling you, but not good at selling your home. And you are willing to pay them a fee for it?

wasting your time

It is human nature for you to want the highest price for your home. However, when you choose the Realtor who promises what you want to hear, it often leads to stress and frustration. Most of the time, it will take you longer to sell your home. Possibly, and this happens, you will end up selling at a lower price instead.

Or maybe as a result of reading this, you will choose one of the “good” Realtors in the first place. They are out there, you know!

What Happens Behind the Scenes?

If you start out with too high a price on your home, you may have added to your stress level—and selling a home is stressful enough! There will be a lot of “behind the scenes” action taking place that you don’t know about. Contrary to popular opinion, a professional listing Realtor does not usually attempt to sell your home directly to a homebuyer. That would be inefficient.

Pro’s market and promote your home to hundreds of other local Realtors and even Realtors from the GTA areas who do work with homebuyers, dramatically increasing your personal sales force. During the first couple of weeks your home should be a flurry of activity with buyer’s agents coming to preview your home so they can sell it to their clients. (See my report “When is the most important time for a new listing)

   If The Price Is Right

If you and your Realtor have overpriced, fewer Realtors will preview your home. After all, they are Realtors, and it should be their job to know local market conditions and home values. If your property is dramatically above market, why waste time? Their time is better spent previewing homes that are priced realistically.

  Dropping Your Price Too Lat

  If you start out with a high sales price, then drop it later—your property is “old news”. You will never be able to recapture that flurry of initial activity you would have had with a realistic price. Your property could take longer to sell.

Price reduced

 

Even if you do successfully sell at above market price to an uninformed buyer, your buyer will need a mortgage. The mortgage lender requires an appraisal. If comparable sales for the last six months and current market conditions do not support your sales price, the property won’t appraise. Your deal falls apart. Of course, you can always attempt to negotiate the price, but only if the buyer is willing to listen.

Your property then goes “back on the market”. Other Realtors will know this, as will their buyers, what do you think their response will be to your home?

Once your home sits on the market awhile, it is harder to get a good offer. Potential buyers will think that you might be getting desperate, so they will make low offers. By overpricing your home in the beginning, you could actually end up settling for a lower price than you would have normally received.

 In summary, when you decide to sell your property, why not work with someone who knows the market and is financially and emotionally strong enough to guide you? Who will not tell you what you want to hear. The truth hurts but you might as well hear it now than 3 months later! To get results, let’s discuss your options and let you start packing!

Finding a Home To Buy In London Ontario Should Not Be a Puzzle

  Finding a Home in London Ontario Should Not Be A Puzzle!

If I brought you in a room and in a pile on a table in that room was a 1200 piece jigsaw puzzle with no picture of the completed puzzle on the box and then asked you to put it together, where would you start?

Thinking about buying a house in Uplands

I am sure eventually you would be able to put it together over lots of time and lots of trial and error and some frustration! But why go through the hassle if all you needed was the picture?

Well, buying a house or condo in London Ontario is no different!

If you had a picture in your mind of exactly what you wanted and needed in a house, do you not think that the buying process would be easier and in the long run, save you money?

Here is a scenario that is frequently a request that we receive:

   “We are looking for a house in __________________________ 3-4 bedrooms, 2 bathrooms, garage and between $____, 000 and $___, 000.”

  “We would like a master ensuite, fenced back yard etc.”

      A puzzle to Buy a Home                          

                                  

Yes, you may have decided on a one floor home versus a two story, maybe even a neighbourhood or close to a particular school or your work.

Over the years what our clients have really appreciated is what we call a market education.

We sit down with our clients and take the time to narrow down your must have’s, your lifestyle preferences, your budget, your comfort zone and after that we are getting close to having a picture of your needs.

We then go look at 4-5 homes with the intent of not buying any of them! We are solely getting a clearer picture of what you would really like and can afford in a home. After this 2-3 hour tour and analysis, we have found that  90% of the time, our buyers have a clear picture and now can act on the home that matches their picture!

Our clients know comparative prices; know the right neighbourhood, the right style of home and the necessary amenities that match their lifestyle.

I will agree that this process may not be for everyone but over the years it sure works for our clients and their level of satisfaction is very pleasing to us and a barometer of our values and work ethic!

In 90% of cases, a real estate sales person’s role is not to be a home finder. That was what real estate people did in the 80’s & 90’s, consumers  did not have access to  the vast amount of information that is available today.

Home Buyers in London

A good real estate person’s advantage and skill is to be an interpreter of data, a consultant, an advisor, a professional negotiator who ensures that not only is the price right, but the terms and conditions of a complex transaction are well managed from start to finish.

These Steps Will Help Your London Ontario House Sell Quicker

Even though houses in London Ontario are selling quite well,  41% of homes listed in the London area take over 60 days to sell or not sell at all!

Why is this?

Below are a few steps that you may want to consider BEFORE putting your London Ontario house up for sale and after it is for sale.

Home not selling

Keep the reason you are selling to yourself and your Realtor.

Do not reveal your motivation for selling to anyone else because they may use it against you at the negotiating table. When asked, just say that your housing needs have changed.

Different goals will dictate different strategies.

What is more important to you: the money you walk away with or the length of time your property is on the market or both?

3 Do your homework before setting a price.

The average buyer will look at 15-20 homes at the same time they are looking at yours. That buyer will now have a basis of comparison, and if your home does not compare favorably with others in the price range, your home may sit on the market for a longer time.

More Homework.

 (A good Realtor should do this for you) Find out what homes in your neighbourhood have sold for in the last 6-12 months, and research what current homes are listed for. That is how a prospective buyers and their Realtor will assess the worth of your home.

Maximize your home’s sales potential.

You may not be able to change your home’s location or floor plan, but you can do a lot to improve its appearance. The look and feel of your home generates a greater emotional response than any other factor.

101 Ways To Sell Your House in London Ontario

Deciding upon a Realtor

You and your Realtor are partners in marketing your home. Choose carefully and wisely.

Make it easy for buyers to get information on your home.

Buyers calling for information on your home value their time as much as you do. They also do not want to be hassled or frustrated because they cannot get a hold of the listing Realtor or some of the information is incorrect.

Deadlines create a serious disadvantage.

Don’t try to sell by a certain date. This adds unnecessary pressure and is a serious disadvantage in negotiations.

Keep emotions in check.

Do not be offended by a low offer or certain demands from the buyer. A good listing Realtor can turn these negatives into a positive situation.

10 Be a smart seller- disclose everything.

Be proactive, by disclosing any problems or defects you are giving the buyer confidence that you are not hiding anything..

All the above steps , though simple and easy to do, are not often done, perhaps because they are so simple and easy to do.

From experience, my clients have commented that thoroughness in getting their house sold and the systems we use were outstanding! (Their words, not mine!)

 Would you like to discuss how to maximize the price of your home?

Retiring, Downsizing in London Ontario Or Going Crazy?

How the wealthy are redefining their retirement and the concept of a “traditional” retirement is a relatively recent phenomenon.

When retirement schemes were first introduced at the end of the 19th century, retirees were lucky to live just a few more years after stopping work. But increased life expectancy means that today’s retirees are often enjoying 20 to 30 years of leisure at the end of their working lives.

london ontario retirees

In Barclays Wealth Insights and their wonderful insightful presentation The Age Illusion How the Wealthy are Redefining Their Retirement” you will find it quite useful not only for yourself personally but potential as a service provider to these people who are sometimes called “Nevertirees

Assessing the impact of the Nevertiree and understanding the role that I ,as a Realtor and a Nevertiree, is exciting and something I can relate to. (The Nevertiree part, not the wealthy part!)

active retirees

I have many clients who have started second or third careers, or are still growing their business and really enjoying life.

Their real estate needs are quite different than our traditional retiree and the last two years, especially the last 6 months in London Ontario, real estate has  been in demand, especially a one floor home, be it a house or a condo, have been sought after in the $500,000 plus range.

I would say that the majority of my clients are in that high end range which I truly appreciate, not the dollar amount but their vibrancy, maturity, no nonsense approach and who appreciate a professional to help them!

London Ontario Real Estate Numbers For October 2017

The London and St. Thomas Association of REALTORS® (LSTAR) announced 757 homes exchanged hands last month, slightly down 10.2% from the same time a year ago. Year-to-date sales are up 10.6%, with a total of 10,111 homes sold, marking the second consecutive year residential sales have surpassed 10,000 across the region.

Real Estate Numbers London Ontario

The CREA Residential Market Activity Report provides more data, featuring an in-depth look at home sales trends happening across London and St. Thomas. Here it is.

In October, the average sales price across London and St. Thomas was $325,331 up 14.2% from the same time a year ago. The average year-to-date sales price was $330,497 up 18.3% from October 2016.

In London East, home sales are up 21.2% compared to a year ago, while in London South, sales are up 13.9% and in London North, sales are up 6.5% compared to this time last year.

In October 2017, there were 847 listings, down 17% from the same time last year. St. Thomas saw a total of 67 homes sold, down 21.2% from 2016 and the average home price in St. Thomas was $284,344 up 25.7% from October 2016.

The following chart is based on data taken from the CREA National MLS® Report for September 2017 (the latest CREA statistics available). It provides a snapshot of how average home prices in London and St. Thomas compare to other major Ontario and Canadian centres.

Average home prices in Canada at the end of September 2017