February 6, 2012 — The Toronto Real Estate Board (TREB), Canadian Real Estate Association (CREA) and four other major real estate boards across Canada have developed a new system to measure and provide clarity on home prices and home price growth: the MLS® Home Price Index (MLS® HPI).





5 market indicators you must know before you sell

housemonopoly 300x199  5 market indicators you must know before you sell

The market is the arena in which your home will compete and therefore the more you know about it the better prepared you will be. Once your home hits the market you are the “new kid on the block” and you have everyone’s attention. Its important to remember that this time is extremely “precious” and crucial in the selling process because statistics shows us that a home’s first 3 weeks on the market generate the most activity and interest.

Ever notice how after a couple of weeks on the market “for sale” signs in your neighbourhood seem second nature and less noticeable? That’s because the impact lessens with time, and after the 3 week mark not only does activity seem to decline but so does interest. Once the “stale bread syndrome” starts to kick in, prospective buyers start to wonder what’s wrong with your home and expect price reductions.

It is extremely important that you are well aware of the marketplace at various stages of your sale: before entering the market, upon entering the market and during the selling process.  This is where the “right” Realtor plays a key role as your partner. Timing is everything in real estate and although market trends are important predictors of what is to come, having a local expert that closely monitors your neighbourhood is crucial.  Supply and demand is what drives the market, prices and sales volume, and as local inventory changes so will the competition.

Here are the key factors you MUST know before putting your home on the market:

housingmarketstandout  5 market indicators you must know before you sell
1.Comparables “for sale”
2.Sold comparables
3.Days on the Market (in your neighbourhood)
4.List-to-sell ratios
5.Overall sales volume
You and your Realtor must closely monitor these throughout the sale of your home and make adjustments accordingly, since they will impact your home’s price and how soon it will sell. These market indicators will also help you decide how to handle any offers that come along-especially the first one! Many sellers make the mistake of not taking the first offer seriously because they think it may be too early in the selling process.
Also keep in mind that although the market is a key indicator of what a home will usually sell for, in a “hot” market anything is possible and properties can sell for well above asking price in record time.
Remember, you never get a chance to make a “first” impression and making sure you make a big splash in the market starts with hiring the right professional to prepare your home “right” from the start. It could not only make the difference between “SOLD” and “EXPIRED” but also help you sell fast and for top dollar.