With the nationwide sellers’ market showing no signs of slowing down, it may have occurred to you to sell your condo in Toronto. Real estate experts expected the market to drop, at least slightly, with the onset of the global pandemic. Other industries took a hit, after all. It would have made sense for house prices to also drop, at least temporarily.
However, as I’m sure you know, that has not been the case. House and condo prices have soared all over, especially in the Toronto area. Now, in 2022, it looks like prices will continue their upward trend.
What does this mean for you?
1. You can sell at a record high price
According to the Toronto Regional Real Estate Board, prices are expected to climb even higher in 2022, to an average of $ 1,225,000, an increase of 12%. If you sell now and prepare your condo correctly, you’ll likely earn a record amount from your sale. In short, the news is all good for Toronto home sellers. You’ll likely walk away with much more than you paid and be in a solid position to place a down payment on a new home.
However, this doesn’t mean you can rest easy when getting your condo ready to sell. If you want to get the most from your sale, you still have to do a little homework.
2. Be prepared for Multiple Offers
When it comes to homes in Toronto, demand exceeds supply by a long shot.
As soon as you list your property, you can expect offers to pile in. You may be tempted to take the highest bid, but there are other factors to consider.
Has the buyer pre-qualified for a mortgage? A high offer means nothing if the transaction falls through because the buyer can’t secure enough financing.
What conditions is the buyer asking for? If an offer is conditional on pricey repairs on upgrades you don’t want to make, it might be best to move on.
What is the closing date? Before accepting an offer, make sure you are comfortable with the timeline.
Looking for more information about how to sell a condo in Toronto? Here are some other articles to help you.
- Five Signs it’s Time to Upsize From Your Toronto Condo
- Selling Your Condo? Here are the Costs You Can Expect
- My Top Five Tips for Staging Your Small Condo
3. Should you use a real estate agent?
With a strong seller’s market all over the country, some owners believe they can get by without the help of a real estate agent. On paper, I can see why. A real estate agent gets paid by commission. If you sell your house by yourself, you don’t have to pay.
However, a professional agent is your best resource during your sale, for several reasons.
Even the most straightforward transaction is full of moving parts. Selling a home is more complicated than you realize. There are safety inspections, legal contracts and financial documents to navigate. If anything is missing or filed incorrectly, the deal could fall through. Or worse, you could find yourself in legal trouble.
A real estate agent handles every step of the transaction for you, from home showings to negotiations. Think of all the time and stress you’ll save by not having to rush home every time a buyer wants to take a walk through.
An experienced real estate agent will almost always earn you more money, even after their commission. They know how to weed out unqualified buyers, tire kickers and flippers who want to lowball you.
Stats vary, but it’s not unusual for an agent to sell a house for 25 -30% more than you would on your own. Suppose you would accept an offer of $700,000 for your unit. An agent might get 25% more, without you having to do all the work. This works out to $875,000. Take away the 6% commission (which is on the high end), and you have still earned $122,500 more than you would by yourself.
4. Preparing your Condo for Sale
When you list your property, you can be almost assured of a guaranteed sale. Does this mean you don’t have to bother with staging or repairs? While your condo will likely sell fast anyway, not being prepared can cost you.
For example, you’ll be amazed at how much a simple coat of paint can add to the perceived value of your home.
Proper staging allows your buyer to envision the house as their own. When they can visualize living there, they won’t want to lose out to another buyer. There is no need to make significant upgrades, but these fine details will pay off big when the sale closes.
Is 2022 your year to sell? If so, you can look forward to a seamless transaction and a significant return on your investment.
Want to know more about my experience in the Toronto Real Estate Market and how I can help you get the best price for your unit? You can read my full bio here.
