Before listing a house for sale, I always advise my seller clients to have a pre-listing home inspection done. In my experience it’s best for everyone involved (the sellers, the buyers, and the realtors) to know the condition of the home before an offer is presented. Any reasonable buyer is going to make their offer conditional on having a home inspection anyway, so why not nip potential problems in the bud?

If we’re holding back offers on the property, then having a pre-listing home inspection is even more essential. I’ve seen plenty of buyers decide to “sit this one out” and not participate on offer night because there was no pre-listing home inspection available.

Sure, buyers have the option of getting their own pre-offer home inspection done. But not everyone is keen on spending $400-$500 and a few hours of their time on a property that they might not even end up getting (more on this in a future blog post).

Although there are plenty of home inspection companies in the city of Toronto, Carson Dunlop & Associates Ltd. does seem to be the go-to choice for many. They do a pretty good job of explaining the pre-listing home inspection themselves…

Following is an excerpt from the “Home Seller’s Inspection” page on Carson Dunlop & Associates’ website:

Why A Pre-Listing Home Inspection Makes So Much Sense:

With a traditional buyer’s (or pre-purchase) inspection, the buyer and seller negotiate the terms of the sale and agree on price. The sale is conditional on a home inspection. At the inspection the buyer finds out what condition the home is in. It sounds a little backwards already, doesn’t it? Why would you buy something before you know what shape it’s in?

The buyer gets the report, finds out the home is not perfect (none are) and feels they have overpaid. They want to re-negotiate, or worse, they want out of the transaction. The real estate sales professionals are in an awkward spot, because they have already sold the home, going through a tough negotiation. Now they have to tell the seller that the buyer wants a lower price. The sales process has to start over again, or the deal falls apart. Neither side is happy.

When the condition of the home is disclosed before the inspection, there are no surprises. It’s as simple as that.

Why is it not always done this way? Because of the way home inspection has grown. When there were no home inspections, this was not an issue. When home inspection was in its infancy, sellers hoped that buyers would not ask for an inspection. But now, virtually all buyers want an inspection. The game has changed. Sellers now understand that there will be an inspection, and it may well cause a problem. Rather than sit by and desperately hope for the best, sellers can control the situation.

Benefits of a Pre-Listing Inspection:

1. Everyone knows the condition of the home, and there are no 11th hour surprises.
2. No home is perfect and a good inspection report will provide that perspective.
3. If there are issues raised that need a second opinion or further evaluation, that can happen before the house is listed, rather than in the middle of a high stress negotiation.
4. Sellers can make improvements or reflect the condition in the listing price. (We prefer the latter.)
5. Buyers are more comfortable making an offer, because they know what they are getting.
6. In competitive situations, prospective buyers may not make an offer because they are not able to get an inspection, or the odds are high that the money spent on an inspection will be wasted. A seller’s inspection may allow more potential buyers to make an offer.

In today’s environment, with buyers getting home inspections, the seller is very wise to have the inspection done before the house goes on the market.

If you’re thinking of making a move and would like to know how I can help, feel free to contact me for more info.

Gotta love the photo I chose for this blog post. Two scantily clad ladies, an enormous electric guitar, cardboard flames and a glass box full of millions. Ah, Vegas in all its mundane glory…

How many $5 million dollar condos do you think sell in the city of Toronto in any given year? Ten? Twenty? I ran a search and found that a total of seven condos sold for $5 million or more last year on MLS.

Okay, how many $5 million dollar condos do you think pop up for sale on any given day?

Well, just last Thursday there were two. Both properties were posted on MLS within 1/2 hour of each other. Both listed at the exact same price (just over $5 million).

What’s interesting to note here is the different neighbourhoods that these two condos are located in.

One of them is in Yorkville. No surprise there, as six of the seven sales from 2011 were in Yorkville (number seven was in Rosedale-Summerhill). And ten of the eleven condos currently listed for $5 million+ are in Yorkville.

The other new listing is in the Entertainment District/Queen West area. $5 million dollar sales are not par for the course there. In fact, I couldn’t find anything that sold anywhere downtown for over $3.5 million.

Comparing the two listings though, it’s impressive to see how much more $5 million dollars will get you downtown vs Yorkville…

• The Yorkville condo is just under 2,900 square feet. The downtown condo clocks in at over 5,000 square feet!
• Price per sqaure foot? The Yorkville condo is listed at over $1800/sq ft. The downtown condo is listed at under $1050/sq ft.
• What about your car collection? The Yorkville condo comes with two parking spaces. The downtown condo comes with five!

It’s nice to see that even at a multi-million dollar price point, comparison shopping is a worthwhile activity

If you’ve got $5 million dollars to spend on a home and would like to know how I can help, feel free to contact me for more info.

Following is TREB’s market report for January 2012:  Greater Toronto REALTORS® reported 4,567 sales through the TorontoMLS® system in January 2012. This number was 8.8 per cent higher than the 4,199 sales reported in January 2011. Sales growth was strongest for low-rise home types in the regions surrounding the City of Toronto.

“A favourable affordability picture bolstered by very low posted fixed mortgage rates has kept home buyers confident in their ability to achieve the Canadian goal of home ownership,” said Toronto Real Estate Board President Richard Silver.

“The buyer pool remains diverse in the GTA with strong interest in home types across the pricing spectrum,” continued Silver.

The average selling price for January 2012 transactions was $463,534 – up by almost nine per cent compared to January 2011.

“Low inventory levels have kept competition between buyers strong, resulting in robust annual rates of price growth over the last year. Strong price growth is expected to attract more listings. A better supplied market should result in a slower rate of price growth, especially in the second half of 2012,” said Jason Mercer, the Toronto Real Estate Board’s Senior Manager of Market Analysis.

If you’re thinking of making a move and would like to know how I can help, feel free to contact me for more info.

For complete copies of TREB’s Monthly Market Watch Reports, visit my archives here.

When most people picture themselves shopping for a home they imagine doing so on the weekend, during the day. After all, this is when the majority of open houses happen and it’s generally the easiest time for people to coordinate a couple of free hours.

In a busy city like Toronto however, realtors and buyers are out there pounding the pavement at all hours.  A lot of my buyer clients find it easiest to meet for viewings during the week, after work.  I’ve shown properties as late as 10:30pm on a weeknight.

Seeing properties during the evening isn’t much of an issue in the spring or summer when daylight stretches past 8:00pm. In the winter though, when night falls as early as 5:00pm, evening viewings can pose some problems.

Natural light is a deal breaker for most buyers.  A property that gets plenty of it is always going to outshine (pardon the pun) a property that doesn’t. Knowing how much natural light a property gets (or doesn’t get) is such an important factor in assessing value that it’s foolish not to view the property during the day.

Before moving forward with an offer on a property that we’ve seen at night, I always advise my clients that we come back for a second look during the day.

Just because a home has windows doesn’t mean the sun’s going to pour in. I’ve seen plenty of houses, condos, and lofts that are dark and dreary on the inside, despite what the exterior might suggest.

And what about the view? Staring out the window of a 3rd floor condo into the dark doesn’t give you peace-of-mind for what lays beyond. What if the garbage bins are sitting directly under the balcony? Worse still, what if there’s a hole in the ground where a new condo will soon stand? Of course, if your realtor is worth their salt they’ll know about that new condo…

I know you’re busy and evenings may be the only time you can squeeze in some viewings. Do yourself a favour though – take an extra long lunch the next day and go back for a second look.  It’s only the largest purchase of your life.

If you’re thinking of making a move and would like to know how I can help, feel free to contact me for more info.

Over the last few years Queen Street West has seen its share of new residential development, the majority of which has sprung up around the Gladstone Hotel; Westside Lofts, The Bohemian Embassy, 2 Gladstone. Prior to these new buildings, Queen West was known more for the residential loft conversions that sit just west of Trinity Bellwoods Park; the Candy Factory Lofts and the Chocolate Company Lofts.

The Chocolate Company Lofts development is unique in that it’s actually a blending of conversion and new construction. The architects worked with two industrial buildings that were originally owned by the Patterson Chocolate Company, and used new materials (designed to match the old) to knit them together.

Completed in 2005, the building occupies an entire block of Queen Street West, sitting at the corners of Queen & Crawford and Queen & Massey. The building has 6 storeys and the municipal address is 955 Queen Street West. Take a look at the Google Street View map here.

The Chocolate Company Lofts was developed by Plazacorp (also responsible for the Imperial Lofts, Massey Square, and Wellington on the Park, among others) and designed by Quadrangle Architects.

There are almost 150 suites in total and the building is characterised by everything you’d expect in a top-notch loft conversion; high ceilings, exposed post and beam, exposed brick, exposed duct work, huge windows, hardwood floors, etc…

The location is exceptional as well. You’ve literally got TTC at your door (the Queen St streetcar) and you’re steps away from Trinity Bellwoods Park, a number of notable galleries (Angell Gallery, Stephen Bulger Gallery) and restaurants (Oyster Boy, Fresh, Swan).

The building amenities include concierge, exercise room, and party/meeting room. I’ve included photos of some of the common elements below.

If you own a suite in the Chocolate Company building and are thinking of selling, feel free to contact me for an evaluation of your property or for more info on my listing services.

If you’re thinking of purchasing a suite in the Chocolate Company building specifically, or in the Queen Street West Area in general, feel free to contact me for more info.

The average selling price in December was $451,436 – up four per cent compared to December 2010. For all of 2011, the average selling price was $465,412, an increase of eight per cent in comparison to the average of $431,276 in 2010.

“Months of inventory remained below the pre-recession norm in 2011. Very tight market conditions meant substantial competition between Buyers and strong upward pressure on selling prices,” said Jason Mercer, TREB’s Senior Manager of Market Analysis.

“TREB’s baseline forecast for 2012 is for an average price of $485,000, representing a more moderate four per cent annual rate of price growth. This baseline view is subject to a heightened degree of risk given the uncertain global economic outlook,” continued Mercer.

It’s roundup time!  Let’s take a look back at some of the more interesting articles and photos that popped up over the past few weeks…

#5.  What Apocalypse? Housing Market Predictions For 2012 [Infographic]

     On December 28th, the folks over at BuzzBuzzHome  posted an informative infographic illustrating the CMHC’s major predictions for the 2012 Canadian real estate market. The total number of units is expecting to increase by 1.9% over 2011. And the average price is expected to increase by 1.2% over 2011. Read the full article here.

#4.  Vintage Photographs Of Toronto In Winter

     On January 4th, Dereck Flack of blogTO dipped into the city’s digitized archival holdings to present us with a collection of snowy photos from Toronto’s past. There are a bunch of wonderful images here, starting with a 12 horse team pulling a snow sweeper in the 1890′s, to a snow storm seen from the corner of John & King in 1961. Read the full article here.

#3.  2011 Villain: CityPlace

     On December 19th, Stephen Michalowicz of Torontoist.com nominated CityPlace condos in their year-end quest to name the very best and very worst people, places, things, and ideas that had an influence on the city in 2011. If you’re not familiar with CityPlace, they’re the buildings that sit at the foot of Spadina St, just south of Front St. The article points to poor build quality, poor insulation, water leaks, and poor planning issues as the reason for the nomination. Read the full article here.

#2.  What You Got In Toronto For $500,000 In 2011

     On December 15th, the Globe & Mail took a look back at the year’s home sales and highlighted 10 properties that sold in the $490,000 – $550,000 range. There’s everything from a 160 year old coach house in Port Hope, to a detached home in the beaches, to 2 bedroom condo near Church & Carlton. Read the full article here.

#1.  Flatiron Building Sold For $15.3M

     On December 15th, Tristin Hopper of the National Post looked at the sale of one of the city’s most beloved structures – the Flatiron building.  The purchasers are a Toronto based company – the Commercial Realty Group. In case you’re wondering, the $15.3M sale price works out to about $797.00/sq ft. Read the full article here.

If you’re thinking of making a move and would like to know how I can help, feel free to contact me for more info.

Last month, the Toronto Real Estate Board posted the above video to their YouTube channel. In the video, Senior Manager of Market Analysis, Jason Mercer, takes a look back at the 2011 real estate market and a look forward to what we can expect in 2012. Warning: the video is over 25 minutes long! Not to worry – I sat through the entire thing myself and have summarized the main points below (you’re welcome).

1.  Where We Are At

• We’ve seen of approximately 8-10% of price growth over the course of the year.
• Inventory has been tight, resulting in a Seller’s Market.
• Record-low interest rates have fuelled a very active market.

2.  Interest Rates

• Rates are likely to remain somewhat flat in 2012.
• This is a reaction to what’s happening, economically, south of the border and in Europe.

3.  Jobs And Income Growth

• The unemployment rate has been moving lower, but this trend is flattening.
• A 2% growth in income is expected in 2012, roughly in line with inflation expectations.
• The average Toronto household income will increase from approx $102,000 in 2011 to approx $104,000 in 2011.

4.  Resale Market Outlook

• An increase in the number of sales, from 90,000 in 2011 to 92,000 in 2012.
• This increase in the number of sales is in line with the long-term trend for population growth.
• The number of new listings should rise from 145-150,000 in 2011 to 160-165,000 in 2012.
• More sellers will decide to list their homes in reaction to the strong price growth seen in 2011.
• More listings = more choice for buyers = slower price growth than what we saw in 2011.
• An increase in the average price from $460,00 in 2011 to $485,000 in 2012.
• This amounts to approx 4.5% price growth, year-over-year.
• Moderate price growth will keep affordability in check.

If you’re thinking of making a move and would like to know how I can help, feel free to contact me for more info.

I’d like to wish all of my loyal blog readers, clients, family and friends a safe and happy holiday season.

Happy Holidays everyone!

If you’re thinking of splurging on a new home this holiday season and would like to know how I can help, feel free to contact me for more info.