Shopping for a Real Estate Bargain
Tuesday Apr 17th, 2018
No matter what they are buying, people love to look for bargains and pay below market price. There’s nothing wrong with that. We all want to try to get a “deal”.
But when it comes to shopping for a home, bargain hunting is not always the best way to go.
The real estate markets in the Greater Hamilton Area and Greater Toronto Areas are very competitive. Most homes sell very quickly and many have multiple offers. Your chances of finding a property that is listed and sells significantly below market value is very slim. And if you become fixated on finding a bargain, you will miss the great properties on the market that are within your price range and meet your criteria.
You may decide to search in locations outside of where you really want to live to find a cheaper home. This could also be a mistake. You have to factor in commuting costs, and more importantly, if house prices are going up on a percentage basis, a more expensive home will increase more in value in real dollars than a cheaper home. Also, if prices are lower in one area than another, it may be that the area is less desirable and prices will continue to increase more in the desirable area than the less desirable area. So moving away from your target geographic area to save money could end up costing you money instead of saving you money.
So, when shopping for a home, focus on finding the right property, in the right location and not just on finding a bargain.