As a potential home buyer, you might be wondering if now is the right time to buy. Mortgage rates are extremely low right now which means the cost of borrowing money is very affordable but home prices are at an all-time high. No matter what situation you are in, no one wants to lose out on a fantastic deal. Niagara is continuously growing and is a very desirable place to live. There are many luxury listings to choose from as the real estate market is hot!
Despite Covid-19 being around, real estate agents have been able to make do with the situation. With the use of technology such as 3-D virtual tours, e-signature‘s and remote closings, there has been no stop to real estate transactions.
In response to the coronavirus outbreak, banks have made several interest rate changes in the last few months. Real estate is one of Canada‘s largest economic sectors so with a decrease of the interest rate charges, there have been more opportunities for Canadians to buy homes.
First-time homebuyers can borrow funds they need for their mortgage and overall pay less interest. For example, The Bank of Canada’s interest rate went from 1.75% to 1.25% in March. So the bench rate is at 0.25%, which is the lowest it’s been. This encouragement has made the market for homebuying much more competitive.
Although the market may be competitive, experts have predicted that the Bank of Canada is going to maintain its affordable interest rates throughout this year, allowing people to shop in the market. You may not get the first house you fall in love with but there is an opportunity to keep shopping during these times.
The government has also offered a First Time Homebuyer incentive in the First Time Home Buyers’ Plan which will ultimately help these citizens get a home with their desired features including square footage and location.
As previously mentioned, Covid-19 has not put real estate to a stop. During this pandemic, real estate agents and buyers still have the opportunity to connect virtually. Those who are willing to use technology continue to succeed.
Usually, in uncertain times people like to air on the side of caution especially when it comes to making a large investment and a lifetime commitment. Homebuyers who are willing to work with the situation given, are at an advantage. Sellers who want to get out of the market quickly might be open for negotiations. When this happens there will be a move from a seller’s market to a buyers market.
If you’ve already saved for a down payment for a home, have job security or financial stability during these times may not feel the heavy stress from the pandemic. This does not mean that the time is not right for those individuals.
People should take advantage of the low-interest rates and incentives that the government is offering. Before the pandemic, cities such as Toronto and Vancouver had a very hot market. We have seen a change in those markets during this pandemic. The market in Niagara continues to grow, especially in beautiful Niagara on the Lake. Here you are able to enjoy the beautiful scenery, without being secluded from the hustle and bustle. According to Maclean’s magazine, it is one of the best places to live within Canada. More specifically, it is ranked 31st on a list of 100 richest communities.
Although these times can be scary those who are willing to use this time for their benefit may find some great savings. As the vaccines and safety measures continue to roll out, we hope to see the market come back to some normality.
We would love to help you find your next home, so please contact us today! We specialize in Niagara on the Lake and can offer you our real estate and local knowledge. No matter your family’s needs, budget and wants, we can assist in this exciting process. Whether it be a lavish and luxurious home or a small country bungalow, assistance is always available.
Niagara has a lot to offer any lifestyle whether you are a student, full-time worker, stay-at-home parent, or retiree. Stores are all an easy drive away, allowing you to have the best of both worlds, city and country life.