Can this ride continue?

Well as we near the end of May, it would appear there is no end in sight to the bidding wars, multiple offers and craziness in the real estate market.

I have been asked numerous times, do I see an end in sight?  Will this last?  What will happen IF ….

ALL of these are valid questions.  I too am asking myself, how long can this continue.  Homes are selling for record high prices.  Homes that last year in Pickering were 400 and 500 are now selling for up to 100K more.

Is it because the Toronto market with the double land transfer tax has forced people to come East to Pickering and Ajax and drive up the home prices? Possibly…. or is it that Pickering and Ajax home prices were the slowest to increase in the past years and now are playing catch up.  Maybe !

With interest rates at an all time low, I have wonder what would happen if the rates went up, even 2% over the next few years… could people afford to pay their mortgage if it doubled?   I don’t know, I guess it would depend on income, down payment and debt.   I just keep scratching my head on this one.

They say the rates are not going anywhere, anytime soon.  So can the prices keep continuing to escalate… at such a fast pace.   Some say they will.  Others are skeptical that this can last.  It definitely is a Sellers market here in GTA and Durham.

As long as the rates stay manageable and the market is strong with Buyers out in droves, things will continue to flourish.

If for some reason, the markets takes a small correction, all you have to do is ride it out.  It eventually rallies back… like it did in 1990… my fear is the people that cannot ride it out.  Then what?  Power of Sales will pop up more and more.  Let’s face it, if you bought with 5 or 10% down and prices take a dive, what equity do you have … unless you can “HOLD” for the time it takes to ride it out, many people will end up walking away… am I making sense?   Sometimes I think faster than I type.  LOL

Well just take this as a warning.  When buying or selling, hire a full time professional who knows the market and prices and will protect your interests. That is all that concerns me with my clients.   Yes, enjoy the new found money when selling at all time highs but remember you have to buy too and then the shoe is on the other foot.  So think it through and talk to your local Real Estate professional and figure out the best strategy for you.

Should you need direction or have questions about the market or neighbourhood sales, call me.  I am always thrilled to talk to real estate.

Have a super evening and enjoy the market everyone…may it long continue to thrive and prosper.

And for those sitting on the fence, remember this – never have I heard people lose money on real estate.  My parents paid 16K for their first home and it is worth about 800K… just be smart, maximize your equity and remember, you can’t live in a Mutual Fund !  LMAO

Cheers xo

Multiple Offers – Durham Market

Well I cannot believe the prices some of these homes are selling for?   Please, please, please make sure when you are purchasing a home to use a LOCAL agent … they know the neighbourhoods and the comparables.   When you use an agent who is from another area, they don’t.   People are paying ridiculously high prices for homes which in my humble opinion aren’t worth it.

I understand there is a shortage of listings but does that mean Buyers are to be pressured into paying some of 

these crazy prices… I say NO !!  I have told my clients on many occasions, walk away !

People are going in firm on homes that clearly have issues with no inspection conditions.  I have been in numerous houses and after inspections found mould in the attics, faulty wiring, etc.   Make sure you know what you are getting into and that your agent knows the age of the property etc.  

It is great to win in multiple offers and see your happy Buyer’s face but make sure you are doing it for the right reasons.   I always say, “If I meet you at the local grocery store or park, I don’t want to run and hide because I feel you overpaid.”   People hire Realtors to protect their interest and from some of the shananigans I have seen lately, I have to wonder.

If you are a Seller, this clearly won’t mean much other than you are going to get TOP dollar for your home right now.  But if you are Buyer, choose wisely.   Choose someone who knows the market and is diligently working on your behalf to protect your interests and your money.  

Ok my rant is over … just looking at some of the sales the past few weeks and shaking my head. I hope the market continues to stay strong but if it doesn’t, I hope you have a lot of equity in some of these homes because if the market drops … they won’t even be able to sell them and get their initial downpayment out of them.

All I am saying is GET REPRESENTATION that you TRUST.  Yes it is great to win but at what cost 

Good luck to all the buyers out there and to all the sellers… who are getting top dollar for their homes.  If you are thinking of selling – TRUST ME, now is the time to sell.  I have never seen a market so busy and desperate for listings.

To your success !!!  

If you have any real estate questions, please feel free to call me or email me … I love what I do and will be only too happy to answer them.  Cheers !!!

Real Estate is all about Intergrity, Professionalism and Fun !

“It’s all about Integrity, Professionalism and Fun”

A little bit about Michelle Makos …

Michelle Makos of RE/MAX First Realty Ltd has lived in Durham Region for over 25 years. I pride myself on treating people fairly and honestly. Real Estate is my PASSION. I love my job and it shows with every transaction I do. My goal is to walk away from every and have made a lifelong friend and a future referral. I firmly believe if you treat people right, it will come back to you over and over and in my experience, that is exactly what has happened.

Real estate isn’t finding people houses, it is finding people homes. It isn’t listing a home, it is selling a home. Huge difference. I don’t make promises I can’t keep and I don’t take the easy way, I take the right way. I would like to think that makes me good at what I do. If you need me, you will find me. I will always return your call, text or email.

I look forward to working with you in the future. Cheers !

June 2012 – Michelle Makos was elected to the Toronto Board of Directors for the The Toronto Real Estate Board. I am extrememly proud to represent the members of the Members of the Toronto Real Esta Board. In addition to Director, I will serve as Chairman of the By-Law Committee and on the Finance Committee. Real Estate is my profession and my passion.



Fall 2012 AGM – Toronto Real Estate Board


What you can expect from Michelle Makos …

Nothing less than my best !! If you need me, you will be able to find me. If you call me, I will call you back. If you have a question, I will answer it and if I don’t know the answer I will tell you I don’t know and find the answer from someone who knows. I will respect your opinions and understand your needs. I will go beyond just being your Realtor, I will end up being someone you call on in the future. Someone you trust !!

Contact Me Today!

The relationship between a home buyer or seller and their agent is based on trust, shared goals and understanding. I strive to continually improve and to do this I listen and take the needs and wants into consideration.

Wishing you all the best in 2013 and hoping I can asssist you with your real estate needs this coming year and in the future.

Cheers,
Michelle