Hi all! We have been following a rather unusual January and February here, but what awaits us in March?
After what seemed to be an unstoppable rise in prices in 2020-22, auctions, growth again, “blind” purchases without inspections and other outright madness, in 2022 the Central Bank began a sharp increase in the key rate.
Price growth has stopped; many buyers have not entered the market. Some decided to wait, hoping for lower prices. Others simply cannot qualify for a 6% mortgage. This is how pent-up demand was formed, because people are not going anywhere.
What's happening in the Montreal real estate market in March 2024?
Without exception, all banks, seeing the outflow of buyers, began to soften the terms of mortgage loans. Moreover, they do this without waiting for the actual rate reduction by the Central Bank and, of course, not out of the kindness of their hearts.
Banks have always had a gap between the key rate and the percentage at which they finance your home. And they need to compensate for the decline in activity without alienating those who are ready to buy now.
As a result, today you can find mortgages at 4.9%, in some cases even lower.
If you want to check how much you can expect, contact me and trusted specialists will give you an answer that is valid today.
In fact, interest rates are falling and the number of buyers is growing. Yes, these are not yet Covid times, but there are already twice as many people on the market wanting to buy real estate than last year.
Finding options at competitive prices is becoming increasingly difficult, but still possible. Example: several transactions completed recently, when clients and I purchased excellent homes up to $500,000. The search took several months, but it was worth it.
The math is, as usual, simple. In the case of rent, a working family will give the landlord 15-30 thousand a year without purchasing anything for themselves. By postponing the purchase for two years, for example, they will already pay an average of 40 thousand for rent, which could be invested in their own, and not in someone else’s, well-being.
If you are tired of throwing away money on renting an apartment, you have a permanent job and a down payment, contact me. Together we will find a solution, even if today the task seems impossible to you - we will solve it together.
