As Windsor’s real estate market soars, becoming the hottest in the country, some folks looking for new homes are giving up on the resale market — and turning to new builds instead.
When Brenda DeBlauw lost her husband in December, she quickly decided to make the move from Burlington to Windsor, where she’s originally from, to be closer to her siblings and their families. But the stress of the bidding wars caught up to her quickly.
“It caused so much anxiety,” DeBlauw said.
“You’re afraid of even going into it, because you know you’re not even going to get it. Especially when it’s a hundred and fifty thousand over bidding, I just didn’t know what to do.”
After a couple of months of unsuccessfully trying to break into the market, it was suggested to her that she consider a new build, and she was quickly swayed.
“With a new build, you know what you’re going to pay, and you get what you want to get. And you’re not having all this anxiety and aggravation,” she said.
She recently signed a contract for a town home in Windsor within her budgeted range of $450,000 to $500,000.
DeBlauw said that with homes going way over asking, and then likely also being in need of upgrades, a new build was the best option for her in terms of value for her money.
Cheaper to build?
This shift toward new builds is unlike anything Lorraine Clark, the president of the Windsor-Essex County Association of Realtors, has ever seen before in her 30-year career.
“People are tired of the bidding wars. So what they’re doing is if they can afford to wait six months to build the home, they’re staying with family members. They’re staying at their cottage. They’re doing all kinds of alternative housing in order to avoid the bidding wars,” she said.
“Because you can build for sometimes cheaper than you can buy right now.”
Gintar Contractors is in the process of a new build in a newly developed neighbourhood in LaSalle. (Katerina Georgieva/CBC)
Home sales continue to skyrocket in Windsor-Essex. In September 2020, the average price of a home sold at a record $419,711, up 29.6 per cent from September 2019, according to a recent report from the Canadian Real Estate Association. It says the combination of strong demand and record low overall supply continues to drive prices up.
Further to that, according to a survey from Royal LePage released Wednesday, housing prices in Windsor saw the highest increase across Canada during the last quarter.
‘New home demand … is amazing’
Broker of Record Joe Montaleone, with Century 21 Showtime Realty, explained that affordability — and availability — are big reasons why more and more folks are being drawn to new builds.
“The new home demand right now is amazing,” he said.
Montaleone, who has been in the business for 31 years and has been working with developers and builders since the start, explained that the unfortunate part of the resale market is that you don’t know what you’ll end up having to pay to get a product, and sometimes, you might be paying more than what the home is really worth.
Broker of Record Joe Montaleone says bidding war fatigue has some choosing to build a new home, instead of buy a home through the re-sale market. (CBC)
Plus, there simply aren’t enough listings out there to meet the demand.
“That’s why in the end, they’re also saying, ‘OK, if I can’t get a home, I’m tired of the chase. My best solution is, let’s go into a condo. Let’s go into a town home. The price is the price. We know what we’re going to pay.'” he said.
Montaleone says he wishes there were more new home products available right now, because they’re selling out quickly, even though it can take six to nine months for a new build to be completed.
The City of Windsor says it’s seen an increase of 6 per cent in the number of building permits issued for single family homes in the last year, from September 2019 to September 2020.
That said, the average construction of a new single family house in Windsor was valued at $402,000 in 2019, but has gone up to $426,000 in 2020. That does not include the land value.
And still, Montaleone said that more and more first-time home buyers are being drawn to new condo or town home builds, in ways that they weren’t a year ago.
“That’s the most affordable product today,” he said.
“I believe that these builders and developers are seeing a continued trend again because of affordability. And I don’t see it slowing down.”
Will be strong for the next few years, developer says
Ezio Tartaro of Gintar Homes, a residential construction company, says he’s certainly seeing an increase in demand of about 10 to 15 per cent compared to same time last year.
Ezio Tartaro, of Gintar Homes, says he’s seen an increase in demand for new builds this year compared to last. (Katerina Georgieva/CBC)
“We think it’s actually going to be strong for the next few years,” he said.
“If you take an existing home and it doesn’t necessarily check all the boxes of that individual homeowner, the renovations they would have to do or the updates, it might be actually much more economical for them to just to build new.”
DeBlauw is waiting to find out when she’ll be able to move into her new home before she sells her house in Burlington.
She said she’s excited for the new chapter her new build allows her.
“It’s like a new beginning. At my age I didn’t think I’d ever be doing this,” she said.
MONTREAL – Two Quebec real estate brokers are facing fines and years-long suspensions for submitting bogus offers on homes to drive up prices during the COVID-19 pandemic.
Christine Girouard has been suspended for 14 years and her business partner, Jonathan Dauphinais-Fortin, has been suspended for nine years after Quebec’s authority of real estate brokerage found they used fake bids to get buyers to raise their offers.
Girouard is a well-known broker who previously starred on a Quebec reality show that follows top real estate agents in the province.
She is facing a fine of $50,000, while Dauphinais-Fortin has been fined $10,000.
The two brokers were suspended in May 2023 after La Presse published an article about their practices.
One buyer ended up paying $40,000 more than his initial offer in 2022 after Girouard and Dauphinais-Fortin concocted a second bid on the house he wanted to buy.
This report by The Canadian Press was first published Sept. 11, 2024.
MONTREAL – The Quebec Professional Association of Real Estate Brokers says Montreal-area home sales rose 9.3 per cent in August compared with the same month last year, with levels slightly higher than the historical average for this time of year.
The association says home sales in the region totalled 2,991 for the month, up from 2,737 in August 2023.
The median price for all housing types was up year-over-year, led by a six per cent increase for the price of a plex at $763,000 last month.
The median price for a single-family home rose 5.2 per cent to $590,000 and the median price for a condominium rose 4.4 per cent to $407,100.
QPAREB market analysis director Charles Brant says the strength of the Montreal resale market contrasts with declines in many other Canadian cities struggling with higher levels of household debt, lower savings and diminishing purchasing power.
Active listings for August jumped 18 per cent compared with a year earlier to 17,200, while new listings rose 1.7 per cent to 4,840.
This report by The Canadian Press was first published Sept. 6, 2024.
In the quest to find cities where renters can enjoy the best of all worlds, a recent study analyzed 24 metrics across three key categories—Housing & Economy, Quality of Life, and Community. The study ranked the 100 largest cities in Canada to determine which ones offer the most to their renters.
Here are the top 10 cities that emerged as the best for renters in 2024:
St. John’s, NL
St. John’s, Newfoundland and Labrador, stand out as the top city for renters in Canada for 2024. Known for its vibrant cultural scene, stunning natural beauty, and welcoming community, St. John’s offers an exceptional quality of life. The city boasts affordable housing, a robust economy, and low unemployment rates, making it an attractive option for those seeking a balanced and enriching living experience. Its rich history, picturesque harbour, and dynamic arts scene further enhance its appeal, ensuring that renters can enjoy both comfort and excitement in this charming coastal city.
Sherbrooke, QC
Sherbrooke, Quebec, emerges as a leading city for renters in Canada for 2024, offering a blend of affordability and quality of life. Nestled in the heart of the Eastern Townships, Sherbrooke is known for its picturesque landscapes, vibrant cultural scene, and strong community spirit. The city provides affordable rental options, low living costs, and a thriving local economy, making it an ideal destination for those seeking both comfort and economic stability. With its rich history, numerous parks, and dynamic arts and education sectors, Sherbrooke presents an inviting environment for renters looking for a well-rounded lifestyle.
Québec City, QC
Québec City, the capital of Quebec, stands out as a premier destination for renters in Canada for 2024. Known for its rich history, stunning architecture, and vibrant cultural heritage, this city offers an exceptional quality of life. Renters benefit from affordable housing, excellent public services, and a robust economy. The city’s charming streets, historic sites, and diverse culinary scene provide a unique living experience. With top-notch education institutions, numerous parks, and a strong sense of community, Québec City is an ideal choice for those seeking a dynamic and fulfilling lifestyle.
Trois-Rivières, QC
Trois-Rivières, nestled between Montreal and Quebec City, emerges as a top choice for renters in Canada. This historic city, known for its picturesque riverside views and rich cultural scene, offers an appealing blend of affordability and quality of life. Renters in Trois-Rivières enjoy reasonable housing costs, a low unemployment rate, and a vibrant community atmosphere. The city’s well-preserved historic sites, bustling arts community, and excellent educational institutions make it an attractive destination for those seeking a balanced and enriching lifestyle.
Saguenay, QC
Saguenay, located in the stunning Saguenay–Lac-Saint-Jean region of Quebec, is a prime destination for renters seeking affordable living amidst breathtaking natural beauty. Known for its picturesque fjords and vibrant cultural scene, Saguenay offers residents a high quality of life with lower housing costs compared to major urban centers. The city boasts a strong sense of community, excellent recreational opportunities, and a growing economy. For those looking to combine affordability with a rich cultural and natural environment, Saguenay stands out as an ideal choice.
Granby, QC
Granby, nestled in the heart of Quebec’s Eastern Townships, offers renters a delightful blend of small-town charm and ample opportunities. Known for its beautiful parks, vibrant cultural scene, and family-friendly environment, Granby provides an exceptional quality of life. The city’s affordable housing market and strong sense of community make it an attractive option for those seeking a peaceful yet dynamic place to live. With its renowned zoo, bustling downtown, and numerous outdoor activities, Granby is a hidden gem that caters to a diverse range of lifestyles.
Fredericton, NB
Fredericton, the capital city of New Brunswick, offers renters a harmonious blend of historical charm and modern amenities. Known for its vibrant arts scene, beautiful riverfront, and welcoming community, Fredericton provides an excellent quality of life. The city boasts affordable housing options, scenic parks, and a strong educational presence with institutions like the University of New Brunswick. Its rich cultural heritage, coupled with a thriving local economy, makes Fredericton an attractive destination for those seeking a balanced and fulfilling lifestyle.
Saint John, NB
Saint John, New Brunswick’s largest city, is a coastal gem known for its stunning waterfront and rich heritage. Nestled on the Bay of Fundy, it offers renters an affordable cost of living with a unique blend of historic architecture and modern conveniences. The city’s vibrant uptown area is bustling with shops, restaurants, and cultural attractions, while its scenic parks and outdoor spaces provide ample opportunities for recreation. Saint John’s strong sense of community and economic growth make it an inviting place for those looking to enjoy both urban and natural beauty.
Saint-Hyacinthe, QC
Saint-Hyacinthe, located in the Montérégie region of Quebec, is a vibrant city known for its strong agricultural roots and innovative spirit. Often referred to as the “Agricultural Technopolis,” it is home to numerous research centers and educational institutions. Renters in Saint-Hyacinthe benefit from a high quality of life with access to excellent local amenities, including parks, cultural events, and a thriving local food scene. The city’s affordable housing and close-knit community atmosphere make it an attractive option for those seeking a balanced and enriching lifestyle.
Lévis, QC
Lévis, located on the southern shore of the St. Lawrence River across from Quebec City, offers a unique blend of historical charm and modern conveniences. Known for its picturesque views and well-preserved heritage sites, Lévis is a city where history meets contemporary living. Residents enjoy a high quality of life with excellent public services, green spaces, and cultural activities. The city’s affordable housing options and strong sense of community make it a desirable place for renters looking for both tranquility and easy access to urban amenities.
This category looked at factors such as average rent, housing costs, rental availability, and unemployment rates. Québec stood out with 10 cities ranking at the top, demonstrating strong economic stability and affordable housing options, which are critical for renters looking for cost-effective living conditions.
Québec again led the pack in this category, with five cities in the top 10. Ontario followed closely with three cities. British Columbia excelled in walkability, with four cities achieving the highest walk scores, while Caledon topped the list for its extensive green spaces. These factors contribute significantly to the overall quality of life, making these cities attractive for renters.
Victoria, BC, emerged as the leader in this category due to its rich array of restaurants, museums, and educational institutions, offering a vibrant community life. St. John’s, NL, and Vancouver, BC, also ranked highly. Québec City, QC, and Lévis, QC, scored the highest in life satisfaction, reflecting a strong sense of community and well-being. Additionally, Saskatoon, SK, and Oshawa, ON, were noted for having residents with lower stress levels.
For a comprehensive view of the rankings and detailed interactive visuals, you can visit the full study by Point2Homes.
While no city can provide a perfect living experience for every renter, the cities highlighted in this study come remarkably close by excelling in key areas such as housing affordability, quality of life, and community engagement. These findings offer valuable insights for renters seeking the best places to live in Canada in 2024.
