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COVID and the housing market
- Thread starter mimico_polak
- Start date
Saw this on my FB feed…but I’m not part of the group…
So this is what ballin’ looks like
You're looking for a house right? I think her current offer is crazy. Someone can probably offer her much less as that will lock in her downside. If she is unable to close right now (possible but she doesn't state that), her downside potential is huge.
F that. I’m looking for a tiny bungalow with a garage and a back yard for a golden retriever.
One bungalow being renovated right now on our street, and another side split being worked on the same way.
If you want to live in Mississauga…
Almost ditto. I’m looking for a tiny bungalow with a three car garage and a back yard with a Goldwing.
The numbers aren't clear. Did the $3.2M include the upgrades?
If not, she committed to $3,350,000 with $550,000 down = $2.8 M mortgage and or equity. She wants the buyer to take on the $2.8M commitment and give her $300,000 putting the purchase price at $3.1 M. If the market price only dropped 10% it would be close to a deal. I think it's a lot worse. That is ignoring treacherous closing costs and the fact that someone else chose the colours in your $3M mansion. IMO she'd be lucky to walk away with the shirt on her back. Time is not on her side.
Two weeks to closing for negotiations and the buyer getting money together. She has to temper her counter offer against what the failure to close is going to cost her. If a circling shark offered $2M she would have to bridge the $800 K gap. If the builder or bank takes over it could be a fire sale auction with commissions and business losses tagged on.
Speculating sharks are not generous. The first thing on their mind is "If I had to dump it fast, what would I get?" They drop from there.
If it was a speculative purchase one pays the piper. If it was a planned long term move, my condolences.
I was thinking similarly. Given the time frame, she should be accepting offers not dictating the terms. I think she will be lucky to get out without having to write a cheque. Getting out with a known downside is probably a win at this point. Failure to close is almost unlimited downside. Anybody know where this house is anyway? Subdivision hell for $3M+ is a hard no for me.
I know of a family that sold when they thought the market had peaked several years ago. They were going to rent while investing the proceeds. Prices went way up after they sold and I have no idea of how they invested the money from their old place. I don't know what got siphoned off to pay rent. If they invested in the market they would be in good shape.
If they ticked all the right boxes they might be in a good spot to pick up a place like this. Or prices could get lower as mortgages renew. Do they wait if they haven't already made the move.
I met a guy that owned a factory but had cash flow issues and sold it, leasing it back while holding the mortgage. The market crashed and the person that bought his place couldn't keep up payments so the original owner bought the place back for a lot less than he sold it for. The market timed him.
Here you go @Evoex
Check out this listing
Nice area. Decent house. Nice yard. Plenty of garage space. And best of all near me!
Check out this listing
Nice area. Decent house. Nice yard. Plenty of garage space. And best of all near me!
I don't know about "raised bungalow" there. At least 10 steps outside to get to the front door and more importantly, five steps between the front door and living areas. Imo, A bungalow should have no stairs after you cross the threshold. Bleeping realtors.
Doesn't matter what realtor says. Pics and seeing the house in person is what matters, I don't trust what they say no matter what.
8/10 of them are useless twats.
DownUnder
Well-known member
That number of steps at the front with just some reeds for railing doesn't seem upto code to me.
48Connor
Well-known member
I've been missing off the forum for the last 3 months - a lot going on personally but everything is back to a new normal now.
I sold my condo town house this month. I was thinking it was worth somewhere around $500-530k, which was based on a sale next door mid last year for $585k and the brand new townhouses from the same builder with the same floor plan going for $560k freehold. My agent convinced me to list at $559k - I was really hesitant but whatever I trusted her. The place went up for sale at 8am, at 1:30 there was a showing, and it was sold at 6pm for $560k (with the only condition that the buyers can review all the docs from the condo board). So I'm pretty happy.
My cousin real estate agent is on to me about porting my mortgage. I've got until April 2025 on my 2.99% fixed mortgage - but I have also moved back in with my parents while I save up to buy something in Courtice/Bowmanville, not sure when I will have the money to buy a place I want to live in long term though - I'm hoping by end of this year but might be into next year. Any of you know anything about this? I should just reach out to my broker...
I sold my condo town house this month. I was thinking it was worth somewhere around $500-530k, which was based on a sale next door mid last year for $585k and the brand new townhouses from the same builder with the same floor plan going for $560k freehold. My agent convinced me to list at $559k - I was really hesitant but whatever I trusted her. The place went up for sale at 8am, at 1:30 there was a showing, and it was sold at 6pm for $560k (with the only condition that the buyers can review all the docs from the condo board). So I'm pretty happy.
My cousin real estate agent is on to me about porting my mortgage. I've got until April 2025 on my 2.99% fixed mortgage - but I have also moved back in with my parents while I save up to buy something in Courtice/Bowmanville, not sure when I will have the money to buy a place I want to live in long term though - I'm hoping by end of this year but might be into next year. Any of you know anything about this? I should just reach out to my broker...
Definitely reach out to your broker.
Porting may involve some fees or the lender may waive them to keep your business. Keeping that rate til 2025 would be good, but what property would it be associated with?
Porting may involve some fees or the lender may waive them to keep your business. Keeping that rate til 2025 would be good, but what property would it be associated with?
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I've ported a mortgage in the past and then iirc you only had about 30days between closing and new home to be able to port the mortgage.
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