Does Your Home Have What Buyers Are Looking For? July 17, 2020

Does Your Home Have What Buyers Are Looking For?

There’s great opportunity for today’s homeowners to sell their houses and make a move, yet due to the impact of the ongoing health crisis, homesellers are taking their time coming back to the market. According to Costa Poulopoulos, the Chair of the Canadian Real Estate Association,

“Realtors across Canada are increasingly seeing business pick back up. With sellers and buyers returning to the market, we continue to make sure clients stay safe by complying with government and health officials’ directives and advice, increasingly using technology to list and show properties virtually while providing secure methods to complete required forms and contracts.”

For homeowners who need a little nudge of motivation to get back in the game, it’s good to know that buyers are ready to purchase this season. After spending several months at home putting their plans to move on hold and re-evaluating what they truly want and need in their space, buyers are ready and they’re in the market now. This is leading to more urgency and pent up demand to buy.

So even despite economic uncertainties, nearly 6 in 10 Ontarians active in the real estate market still believe that buying a home today is a good idea. A recent survey conducted by Nanos Research for the Ontario Real Estate Association (OREA) shows that - even during the pandemic - those active in the Ontario market think that buying a home is a very good (19%) or good (37%) investment. Only 1 in 10 Ontarians think it is a poor (8%) or very poor (3%) investment.

Sean Morrison, President of the OREA highlights that -

“This new data underscores the important role real estate can play in Ontario’s economic recovery as we move towards a post-COVID-19 world.”

The criteria that buyers have for a home is being impacted by physical distancing and isolation practices. 1 in 4 buyers have shifted their preferences when looking for their next home with a new focus on a bigger property with more space and amenities (28%) and more outdoor space (25%).

Another interesting finding during these uncertain times, 42% of Ontarians who are open or somewhat open to buying a home if they had only viewed it virtually, more than 8 in 10 said it would be important or somewhat important to use a realtor to help with the purchase.

Data from the States sheds even more light on the trend for features that buyers are looking for now. A Market Recovery Survey was conducted by the National Association of Realtors about the features and amenities that buyers are looking for, especially since the health crisis has shifted buyer priorities. The most common home features cited as increasingly important are home offices and space to accommodate family members new to the residence (see graph below).


The survey results also shows that among buyers who indicate they would now like to live in a different area due to COVID-19, 47% have an interest in relocating to the suburbs, 30% cite rural areas and 25% highlighted their desire to be in a small town.

And there is good news, the market is rebounding as home sales are picking up speed and buyers are purchasing them at a faster rate than they’re coming to the market. (See graph below)
 

                                       Canadian Real Estate Association - June 2020 Monthly Stats Update


Overall, buyers are eager to find a new home, but there’s a big challenge in the market: a lack of homes available to purchase. Buyers are currently outnumbering sellers.

Bottom Line

If you’re considering selling and your current house has some of the features today’s buyers are looking for, let’s connect. You’ll likely be able to see at the best price, in the least amount of time, and will be able to take advantage of the low interest rates available right now when buying your new home. Pick up the phone and give me a call at 416-522-1112 or feel free to email me at ian.walterhouse@century21.ca.

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