David Ranisav, Sales Representative

Pricing Your Home Correctly.

Pricing your home appropriately is crucial for a successful and timely sale. Overpricing can have several negative consequences, impacting both the speed of the sale and the final selling price. Here are some important reasons not to overprice your home:

Extended Time on the Market:

Overpriced homes tend to stay on the market for a more extended period. The longer a property sits without selling, the more likely potential buyers are to question its desirability or condition.
Reduced Buyer Interest:

Many buyers have a specific budget in mind when searching for a home. If your property is priced above market value, it may not appear in search results for buyers within their budget range, reducing exposure and interest.
Appraisal Challenges:

When a buyer makes an offer on your home, the property will likely need to undergo an appraisal to determine its fair market value. If the appraisal comes in lower than the listed price, it can complicate the sale, as lenders may be hesitant to approve a loan for an overvalued property.
Limited Offers:

Overpricing can deter potential buyers from making offers, assuming that negotiations might not bring the price down to a reasonable level. This can result in fewer offers or even no offers at all.
Missed Opportunities:

Buyers and real estate agents are knowledgeable about the local market. If your home is perceived as overpriced, you might miss out on potential buyers who dismiss your property in favor of more competitively priced homes with similar features.
Stale Perception:

Over time, an overpriced home can develop a perception of being "stale" or less desirable. This perception can make it even more challenging to attract serious buyers, leading to a potential price reduction down the line.
Negotiation Difficulties:

If you receive an offer on an overpriced home, negotiations can be more challenging. Buyers may feel less inclined to compromise, and the process may be more contentious.
Lower Final Selling Price:

In the end, an overpriced home may eventually sell, but it's likely to sell for less than its initial market value. By pricing the home appropriately from the start, you increase the chances of attracting serious buyers and obtaining a fair market value for your property.
Embarking on the journey of selling your home? The initial and pivotal step involves discovering the precise market value of your property. With a wealth of experience spanning two decades in market evaluation, I bring a robust understanding of the housing market and home values to the table. Your inquiry incurs no obligation, allowing us to navigate this process seamlessly and informatively. Let's collaborate to unveil the true worth of your home in today's dynamic real estate landscape. If you have any questions, please do not hesitate in contacting me.

David Ranisav, Realtor

Lunch date with my honey!!! Can’t get enough of her and the soup!!

Just Listed 3 Bedroom East End Home.

Is the Housing Market Softening?

The Ontario government imposed a number of new measures to assist in the cooling of the red hot and overheated housing market in the Toronto, Hamilton and Golden House Shoe areas. Not enough time has passed to see if these measures will have a big and lasting impact. Unfortunately, the only really measure that can make an immediate cooling impact is supply, an increase of homes for sale. Although, it does appear that buyers are more cautious but sellers are still rushing to cash in on this seller’s market.

There is an increase in google searches for key words that pertain to the Canadian Housing Market Bubble Burst. The Canadian Housing Market is much different than our American counterpart. Our Housing Market is based on real demand and a solid banking system with strong lending practices. The last US housing market crash was based on a lot of speculative demand and a weak financial system with reckless lending practices.

The Canadian Housing and Mortgage Corporation has stressed tested our housing market and financial system with vigorous scenarios. The findings of this test pointed to the conclusion that we are far from having a housing crash. An interest rate increase will probably not happen until late 2018 and inflation & unemployment are under control.

Hamilton Homes are Currently Selling at 105% to Asking Price!

Hamilton is in an extremely strong Seller’s Market. So, what is a Seller’s Market? This is a housing market where:

• Sellers have the advantage over buyers.
• There are more buyers than homes available for sale.
• Homes sell quickly and in some cases days.
• Prices tend to increase.
• Multiple offer transactions.
• Negotiations favour the seller.

Canada housing market has cooled a bit but Vancouver, Toronto and Hamilton are still growing strong. Hamilton is one of the hottest housing markets in Canada where home prices will continue to rise, supply tighten and demand remain at it's current level. For more information email, me at [email protected] or text/call me at 905-745-5544.

The Hot Hamilton Housing Market?

CHMC has forecasted that Hamilton will experience another 2 years of record sales. Canada is currently in a modest Seller’s Market with a Sales-to-New Listing Ratio of 69%. Last year Hamilton finished at a ratio of 83% which is considered to be a hot Seller’s Market. Year-to- date, Hamilton is sitting at an incredible and extremely hot Seller’s Market of 92% which is a strong indication that this forecast will and is happening.

2016 Hamilton’s housing demand outpaced supply that resulted in very strong increases for the average price of a home.

City of Hamilton………$56,000
West Hamilton………..$45,000
Hamilton Mountain…...$66,000
Hamilton Centre………$50,000
Hamilton East…………$64,000.

For 2017, Hamilton is only 3 months into the year and the average price of a home has gone up $24,500. The large increase of sales and decline in supply, multiple offer sales, strong local demand and the spill over effect of GTA buyers will keep fueling Hamilton’s price increases.

Stayed tune or contact me at [email protected] for more information.

David Ranisav
Sales Representative
Royal LePage Macro Realty
905-574-3038

Feb 2017 Average Prices of Homes in Hamilton and Surrounding Areas

January 2017: First Chart has the Average Selling prices of homes for Hamilton and Surrounding Areas. The second chart has the average prices of homes in various neighborhoods for Hamilton. For example, the Average Selling Price of a home in Hamilton East is $333,446. Hamilton East is broken down into 5 neighborhoods with various average selling prices. Need more information please contact me.

Average Prices of Homes in Hamilton and Surrounding Areas December 2016

Could the Canadian Housing Market Withstand Economic and Natural Disasters?

In 2016, the Canadian Mortgage Housing Corporation tested its mortgage loan insurance and businesses against several extreme scenarios. This rigorous stress testing is an essential part of our risk management program that allows CMHC to evaluate its capital levels against these scenarios.

CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need and offers objective housing research and information to Canadian governments, consumers and the housing industry

Stress Test Scenarios included:
• Severe and prolonged global economic deflation.
• Sustained oil price shock of $20US per barrel over 5 years.
• Earthquakes that disrupts infrastructure and services.
• Sudden increase in interest rates causing severe drop in
Canadian house prices & failure of our financial institution.
• 5% increase in unemployment with a 30% decline in house
prices.

The results of this year’s stress test confirm that CMHC’s capital holdings are sufficient for even the most extreme scenarios and that it could weather the storm.

If you have any questions regarding this or any other related real estate questions, please email me at [email protected] or visit my website at davidranisav.com