Let me know if you see or hear about any good deals!

Let me know if you see or hear of any good deals…

This is often a remark I hear from people when we are parting ways or if we speak on the phone. Have you ever said this to a Realtor?

If yes, this is the time of the ‘good deal’ for investors and first time buyers; Prices are down, interest rates are lower than in months past, and inventory is slightly up.  Houses are taking much longer to sell.

However the market is not in a crash mode or spiraling out of control, it is in fact very much in balance. So where are the deals?

In order to answer that question the reasons for selling must be considered. Most sales are ‘move up or move down’.  These take up most of my inventory at any given time. Undoubtedly though, there are houses where the three D’s come into play: Debt, Divorce, and Death.

When the market is hot the three D’s do not come into play, nor do Power of Sales; there is no reason to discount as they will sell despite the circumstances for selling. Of course in a flat market that all changes.

So why is there not a surge to pick up lower priced properties?

One major reason is the new government policy requiring a 20% down payment on investment properties. There are creative ways around this - (contact me for details) , however the simplicity of drawing out 10% from your savings to jump on a good deal is lost. Another reason is that prices have not really dropped yet, and the general awareness of lowered prices may not be evident until October or November.

If you are ready or curious about an addition of an investment property to your portfolio, then let’s talk. After all you probably asked “Let me know if you see or hear of any good deals”….  yes I have!

David Smeriglio

Sales Representative/Owning Partner

Sutton Group Icon Realty Inc. Brokerage

905.848.1313