Getting The Best Price For A House In London
Almost everyone willing to buy a new home has one goal in common; none of them wants to feel ripped off in the process. The current house market in London Ontario is extremely frothy and the existing sales of homes have set yet another record for last year. Homes for sale in London Ontario have skyrocketed.
“The London and St Thomas Association of REALTORS® (LSTAR) announced another record month for residential sales in April, with a total of 1,220 homes sold, an increase of 14.2% over the same period last year. This represents the best results ever for April, since LSTAR began tracking sales data in 1978.” - a quote from LSTAR® website May 8, 2017.
Buying your first home for sale in London can be indeed a little tricky, so you better have an experienced real estate agent at your side. This is all the more true, if you’re doing this for the first time. So here are a couple of guidelines that will help you to purchase your dream home at the best possible price.
Conduct thorough research on the comparable properties
To begin with, you and your real estate agent will have to conduct proper research on the comparable properties that have been sold recently. Comparable properties are the ones that have similar sizes, conditions, localities and facilities. Once you do this, you will gain proper and valuable information about these real estate properties and their potential price. You will get to know if it’s less expensive than the better or larger properties or more expensive than them. MLS® listings in London Ontario are a great place to start the research for your property. Once you find the listing you are interested in, let your real estate agent know and they can look up the details for you.
While checking out the comparable listings that have been sold recently, also try to check out the properties that are still on the market. In this regard, you can also visit the various other homes and get a complete understanding on how the size, amenities and the condition of that property is compared to the one you are planning to buy. You can then compare the prices again and get an idea about what exactly seems fair. Reasonable Sellers always make it a point to price the properties with regard to the similar market comparables in an attempt to be competitive.
Check the market conditions of the specific area
After doing your research on comparable listings, you will now have to consider the various market conditions and the rates of appreciation in the concerned area. Check if the prices are recently up or down. Homes for sale in London and the surrounding area are all going up but we still live in a relatively affordable area – in comparison to the GTA. Usually, in a Seller’s market, the properties are slightly overpriced and in a Buyer’s market, they are relatively underpriced. Everything depends on the current market position and the boom-bust curve of the real estate. While doing this, also try considering the impact and relevance of the interest rates of mortgages and the current job market in the overall economy. Talk to your Realtor to discuss the current real estate market in London today.
Get your appraised value of the home
Once you have chosen a property and have signed the contract, the lender will often then get a proper appraisal of your property. This is done in order to protect the financial interests of the relevant property. While doing this, remember that if you get the appraisal at a relatively less rate than the offering price, it’s important to be aware of the ramifications. This is where your Realtor and Lender come in. A home inspection, on the other hand, is also going to affect the offering price. If the home needs expensive repairs, you can potentially ask the seller to get the repairs done or let you purchase the home at a discounted price.