In the current market in the GTA, home prices have being experiencing a slight correction but still remain high. It can be difficult for a buyer to know if they are paying fair value for the home they are buying or if the seller is inflating prices on the hopes of getting more for their home than it is worth. Real estate agents use different pricing methods to encourage “sold over asking” and it can be frustrating to know what you can really afford. Here’s how to buy a home in Markham without overpaying.
1. Work with a real estate professional
Your first solution is to work with a Markham real estate agent who knows the current market, the area, can research current and past listings and can give you a good indicator of fair market value for the home(s) you are interested in. Without using a realtor, you are basically guessing on what a home should sell for.
2. Know what you can afford
Only look at homes in your price range to ensure you don’t spend more than your budget. By doing this, you will also avoid overpaying for a home that is more than you need.
3. Look past the staging
Staged homes sell for more money, this is true, but as a buyer, you need to look past the wow factor and see what the home really offers. All of that beautiful furniture and those decorative accessories don’t come with the home. Mainly, you want to consider:
· Location
· Size of the home
· Size of the lot
· State of repair
· Recent updates
4. Don’t rush
You know you want to be in your new home before Christmas or before the kids are back to school, but rushing a purchase as large and as important as this one is a serious indicator that you will overpay. Take your time finding what you want and paying what it’s worth.
5. Don’t cave
If your real estate professional has given you a value on the home you are interested in, but the seller is not accepting your offer of fair market value, don’t cave and give them more. You may want the home badly, but no home is truly worth overpaying for it. You never know, the seller may come back later once they realize you aren’t accepting their higher counteroffer and accept the asking price you offered.
6. Get an inspection
An inspection is an important part of the buying process. It will tell you if there are costly repairs behind the walls that you didn’t see at the showing. By doing the inspection you will save yourself money down the road and can revise the offer to include the cost of the repairs needed.
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