Investment in Thunder Bay’s Real Estate: When you consider Canada’s booming real estate industry, some consider Thunder Bay to be an in-demand housing hot spot. However, it may be time to revisit these preconceived notions of Ontario’s Northwest markets.
Major urban centers such as Toronto and Vancouver have suffered greatly which has changed their appeal. But smaller communities also saw a slowdown in their economies.
Know about the most recent housing market trends before doing Investment in Thunder Bay’s Real estate, there could be good news on the horizon for smaller cities as they rebound from the lows they experienced earlier this year.
For those who are considering escaping the big city in favor of settling in a new city, Thunder Bay can be a top destination for its accommodation potential as well as the flashy basics. Rural cities like Thunder Bay are now attracting more urban residents than ever before, looking for more space, less congestion, and a budget-friendly price tag on a family home.
Below we dive into the trends unfolding in the Thunder Bay real estate market as we work our way over the past quarter.
What’s Happening in the Thunder Bay Real Estate Market?
Thunder Bay isn’t experiencing record-breaking sales activity and prices compared to other Ontario municipalities, but the city’s real estate market is certainly rebounding amid the COVID-19 pandemic.
According to the Thunder Bay Real Estate Board, sales of single-detached homes climbed 25.5% for a total of 118 units in September compared to the same period a year ago. The year-over-year average selling price in September rose 8.4% to $265,000, while the year-over-year average price rose 3.8% to $249,950.
In addition, sole-segregated properties spent fewer days in the open market. The Real Estate Association reported that the average number of days in the market for single-detached homes was 18 in September 2020, down from 20 days last year. This is one of the shortest times on record, indicating that demand continues to rise across the city.
With interest expected to climb even higher, will there be enough supply to meet rising demand? Inadequate. Housing openings in Thunder Bay fell 21% in September compared to the same period a year ago, according to a new report from the Canada Mortgage and Housing Corporation (CMHC).
As a result, Thunder Bay can develop into a seller’s market. When you take into account historically low-interest rates and the tendency for homebuyers from major urban centers to favor smaller markets in Ontario, Thunder Bay could become a hot market in the next few years.
Is Economy improving in Thunder Bay?
Market observers are optimistic that Thunder Bay’s economy will improve marginally next year. The Conference Board of Canada recently projected that northwestern Ontario’s largest city would experience a sharp decline in the gross domestic product (GDP) this year, but with a strong housing market in 2021, booming tourism, and manufacturing. Will come Mother’s chances will improve. , citing the expansion in construction looks promising. and utilities.
Overall, the Ottawa-based strategy think-tank predicts local GDP growth of 3.6% next year.
With breathtaking views and the promise of a perfect community for family parenting, Thunder Bay’s charm is undeniable. If you are looking to re-establish your roots in a rural setting within a diverse and growing city, take advantage of the affordability of housing within the Thunder Bay market before joining the ranks of Ontario’s highly valued real estate hot spots!
You are starting to think about becoming a homeowner and have a lot of questions about how to buy a home in Canada, broadly speaking about how you buy a home, financing, home type, and location. . For, how to make and negotiate an offer.
How to Buy a Home in Thunderbay
- Choosing right real estate agent while think of doing Investment in Thunder Bay’s Real estate: A home is a huge investment, so work with a realtor who is knowledgeable, professional, and responsive. Meet a few different agents, ask tons of questions and check references.
- Know your budget: As you already know, buying a home is going to be expensive. Knowing how much it will cost and how much you can afford is an important step in making a wise investment. Consider your lifestyle, your income, and any existing loans you may be taking. Are you secure in your employment? Are you planning any major life changes soon, like changing jobs or growing your family?
- Explore mortgage options and get pre-approved: A mortgage pre-approval informs you how much your lender is willing to lend you based on several factors such as your credit rating, income, and debt. If rates drop, so should your guaranteed rate. In addition to the interest rate, be sure to take into account the terms of the mortgage as well.
- Start house hunting: Of course, this stage has many sub-stages, but let’s break it down a bit. What happens next: What type of home do you need to accommodate the way you and your family live? Condominiums, townhomes, and freehold homes each offer different benefits, so make sure you’re choosing something that will work for you for the next five years.
- Schedule Display: Virtual shows have been around for some time, often used for purchases by buyers from overseas, however, there has been a boom with local buyers as well.
- Make an offer: You’ve got the home you love, the one you love. Now, you are offering to purchase for a price and terms that both you and the seller have agreed to. Working with an experienced Realtor here can give you the upper hand. Different market conditions require a different approach – a seller’s market can mean a lot of competition that requires you to price higher or lower, while a buyer’s market can mean a lot of competition. is. . It means you have a choice and time is on your side. Lean on your agent on how to best handle the situation.
- Inspect the house: Whatever the market, this is a bet that we recommend that you place as part of your offer. The purpose of a home inspection is to identify any existing or potential underlying problems in the home, alert the buyer of the risk, and provide them with an advantage in negotiating a lower sale price. Your home inspector will check visible systems, including heating, plumbing, electrical, roofing, and foundations, without opening walls or floors. The inspection should take about three hours and cost a few hundred dollars, depending on the size of the home.
- Close the deal: The expiration period for your transaction is typically 90 days, however, depending on the terms agreed upon in the purchase and sale agreement. Once the offer is accepted, there is a window during which you must take all the necessary steps regarding the terms of your offer, such as financing, home inspection, and anything else you need to officially seal the deal. is required. Necessary. Important. important. important. needs to be done first. Your mortgage lender will require a copy of the proposal to ensure that it is in line with your pre-approved level of financing. After any adjustments or repairs are made to your satisfaction, your Realtor will finalize the deal and your attorney will process the paperwork, including mortgage documents, with your lender.
- Move to your new home: If you are traveling during the busy season, make sure you book in advance with the moving company. If you’re doing it yourself, book a truck, get some help, and make sure you have enough packing material. Here are some packing tips:
- First pack the items you will need in a clear plastic bin
- Take a photo of how your electronics are connected
- Wrap your breakables in clothes to save on bubble wrap
- Protect your glassware by packing it with clean socks
Know everything about Thunder Bay and Investment in Thunder Bay’s Real estate at https://www.thunderbay.ca/