There’s no denying that 2021 has been a year for the sellers in real estate. With almost every major city in Canada currently in a seller’s market, Ottawa included, buying can seem intimidating and nearly impossible.
A seller’s market simply means that there are more buyers than sellers in that given area. In this market, you’ll see bidding wars, fast-paced selling, and most homes will sell for over their asking price.
If you’re planning on buying in the Ottawa market in 2021, you will likely face limited housing supply, lots of competition, and quick turnaround times.
Here are some tips and strategies to employ when looking to buy in a seller’s market:
1. Be Informed
If you want to achieve a successful transaction, knowledge will be your power. Having a handle on market conditions is always advantageous when looking to buy, especially in a seller’s market. Remember, trends can change from neighbourhood to neighbourhood, so enlisting the help of a real estate professional is highly recommended.
2. Set a Budget
Knowing how much you can afford to spend on a home is critical right now. Although we recommend getting pre-approved for a mortgage in this market, your mortgage pre-approval can be up to 4-5 times your annual income, and that may not be what you can realistically afford to spend. Take into account your lifestyle and what you’re willing to sacrifice in your daily life to purchase a home.
3. Act Fast
Long gone are the days where you can schedule a viewing of a newly listed property on the following weekend. Properties are moving fast in this market, and you will need to make quick decisions. This is where your knowledge and budget come in; when you have those aspects prepared, you’re more able to make smart decisions.
4. Strong Offers Work
In this market, you get one shot. While you shouldn’t bid above your maximum budget, you can strengthen your offer with other aspects such as short or long closing times and very few conditions.
While many buyers have opted out of the conditional financing and home inspection condition in their offers, we strongly recommend keeping these aspects as a part of your offer as they protect you.
5. Work with a Real Estate Professional
While you do have the option to purchase without an agent, we do not recommend doing so in this market. As we’ve outlined, things move fast in a seller’s market, and having a professional on your side can make the entire process much more manageable.
Some advantages of working with a real estate agent include:
- Better access to homes in and out of your local market
- Knowledge of neighbourhood trends and market conditions
- Someone to handle all of the paperwork
- Guidance and support throughout the entire process
A seller’s market can seem scary, but with the right team on your side, you can still find your dream home within your budget and on your timeline.
If you are thinking about making your real estate move this season, you need a strong team on your side. Whether you are looking to buy or sell property in the Greater Ottawa Area, it is critical that you have a real estate agent on your side who understands your needs. Adam Mills and his team have been in business for over ten years and have a proven track record for success. Our team is composed of knowledgeable and experienced professionals who are happy to help you navigate the ever-changing Ottawa real estate market. Please contact us at 613-825-7653 or email us at email@example.com for more information or help with your relocation.