The spring housing market is upon us! Whether you’re looking to sell, buy, or want to ensure your mortgage is in order, knowing what to expect can help.
Here is the low down on what we are anticipating for various factors affecting the housing market this season:
- Interest Rates: After months of steady interest rates maintained by the Bank of Canada, we saw it’s first rate cut of ¼ point on June 5th. The general feeling is that this is the beginning of a steady downward trend as the year continues. Experts are predicting that the Bank of Canada rate could drop to 3.75% by the end of 2024.
- Housing Prices: With interest rates expected to continue coming down mid-year, that means more affordability and more buyers in the market. As a result, it is expected that home prices will increase this year.
- Market Inventory: According to the Canadian Real Estate Association, the number of new properties listed has edged up 1.5% month-over-month in January, with this expected to rise as the interest rates drop.?
Looking to buy? For those of you who may be looking to purchase a home this Spring, here are some things that can help you be prepared:
- Get your finances ready by paying off as much of your debt as possible to improve your debt-to-income ratio and ensure you qualify for the best rate possible.
- Obtain a mortgage pre-approval before starting your search. This helps you understand your budget and makes your offer more appealing to sellers.
Clearly define your priorities and preferences for a home. This will help streamline your search and make decisions more efficiently, especially as the market becomes more competitive.
Looking to sell? If you want to sell your home this Spring, you will want to be ready to take advantage of the market! Some things you can do include:
- The first step is to find a reliable real estate agent who can help you with pricing and listing your home for sale. Not sure who to call? I can provide some references!
- Allow for open houses during evenings and weekends whenever possible to ensure you’re maximizing potential buyer foot traffic.
- I have even more tips on decluttering and getting your home ready to sell below!
Want to renew or refinance? If you’re not looking to sell or buy this Spring, you may still be looking for mortgage advice or assistance with your home and finances. Now is a great time to make sure your mortgage is working for YOU! With so many renewals coming up this year, keep in mind there are several benefits to taking time to review your renewal before you sign:
- Get a Better Rate: With interest rates expected to come down, taking time to reach out to me and shopping the market could help save you money!
- Consolidate Debt: Renewal is a great time to take a look at your existing debt and determine whether or not you want to consolidate it onto your mortgage. In most cases, the interest rate on your mortgage is less than you would be charged with credit card companies or other forms of financing you may have.
- Start on that Reno: Do you have projects around the house you’ve been dying to get started on? Renewal time is a great opportunity for you to look at utilizing some of your home equity to help with home
renovations so you can finally have that dream kitchen and updated bathroom, or even utilize it to purchase a vacation property!
- Change Your Mortgage Product: Are you not happy with your existing mortgage product? Perhaps you’re finding that your variable-rate or adjustable-rate mortgages are fluctuating too much and you want to lock in! Alternatively, you may want to switch to a variable as interest rates level out. You can also utilize your renewal time to take advantage of a different payment or amortization schedule to help pay off your mortgage faster!
No matter your plans for this month or the coming season, don’t hesitate to reach out to me for expert mortgage advice!
