Richmond Hill Home Sales in N03 for October 2006
The N03 Real Estate Markets bounced back in October with an increase in home sales and a slight decrease in active home listings. The average sale price kept fairly low due to a large number of apartment Condominiums being sold.
The market is still expected to slow down in volume and price increases to the point where price increases will approach inflation rates for Ontario. All evidence points to the real estate markets in Richmond Hill and the GTA remaining stable and avoiding any imitation of many of the real estate markets in the USA. There are some risks of price reductions if a large number of the new homes, that are currently being built, are being purchased by people who currently own homes. If a lot of those new homes close around the same time, that may flood the market with home sellers that have to sell, as opposed to want to sell. If these homes come on the market at a reasonable rate then we may not see any effect on the market.
This is one reason that buying a new home can be far riskier than buying a "previously enjoyed" home. It is important to remember two key issues when buying a home from a builder. First, for every new home that is built there must be a first time home buyer or an investor buying a home. It could be the builders home or the condo that starts the buying chain that ends up with the sale of the home owned by the person who is buying the builder's home. Secondly, timing is one of the most important factors in the sale of your home and also one of the least predictable. Builders can delay the closing of a newly constructed home with less notice than it usually takes to sell your current home. This may not be an issue if you have a buyer for your current home that is flexable on the closing date. However, if they are not or there is an excess number of other homes on the market, that need to sell in order to close on another purchase, then your sale price will be effected.
