The house at 354 Soudan Ave. was listed with an asking price of $1.549-million. Even after a heavy snowfall that closed schools and clogged streets, the house had 40 showings booked. Five offers were made and the house sold for $1.920-million.Bosley Real Estate Ltd.
Perhaps house hunters were counting on their rivals being snowed in.
The day after the January storm which dumped 36 centimetres of snow on Toronto, a horde of buyers made it through the unplowed streets to see a four-bedroom detached house in Davisville Village.
“We listed it in the blizzard,” says broker Patrick Rocca of Bosley Real Estate Ltd.. “We had 40 showings booked.”
Major arteries were still cluttered with abandoned cars and buses and the return to school was cancelled, but potential buyers made their way to the two-and-a-half storey house at 354 Soudan Ave., with an asking price of $1.549-million.
“You had to get through the snow banks, you couldn’t park on Soudan, but where there’s a will there’s a way,” Mr. Rocca says. “People figure it out.”
The following day, a bully submitted an offer and Mr. Rocca’s team notified everyone who was interested. Four more offers landed but the bully prevailed and the house sold for $1.92-million.
On the same day, Mr. Rocca listed an East York semi-detached house with an asking price of $999,000. That house sold for $1.45-million with two offers.
But while those two properties vanished quickly, some sellers did delay listing in the aftermath of the storm. Last week only 13 houses were listed in the midtown Toronto neighbourhoods of Davisville and Leaside where Mr. Rocca does much of his business.
“We’re seeing ridiculously low inventory,” he says.
Jimmy Molloy, real estate agent with Chestnut Park Real Estate Ltd., figures the dump of snow delayed many listings by a week or so.
“We did not need a blizzard on the first day of back-to-school in January, 2022,” he says. “That was not beneficial to anyone. People say ‘I’m going to wait until I see a little more sidewalk and a little less snow.’”
Stagers bringing in furniture and photographers trying to create appealing images all have more trouble manoeuvring in the snow on narrow city streets. Parents who thought their kids would be returning to the classroom suddenly found them at home for an additional two days.
“It just slows everyone down,” he says. “When the obstacles get in the way, it doesn’t lessen the demand – it just builds up pressure on the system. You still have buyers who haven’t seen a house since maybe the first week of December.”
Kevin Larose, a real estate agent with Keller Williams Real Estate Associates, says the lack of supply is tempting some buyers and agents to try and circumvent the bidding process all together.
Often houses in the Greater Toronto Area are listed with a relatively low asking price and a date for reviewing offers is set for a week or so later. So-called bullies pre-empt the process by coming in before the offer date with an eye-popping bid that expires after a short window of time.
But Mr. Larose is seeing an increase in aggressive tactics now that bully offers have become standard practice. Two of his recent listings received a large amount of attention and queries from potential buyers.
In one case Mr. Larose listed a four-bedroom, detached house at 2461 Jarvis St., in Mississisauga with an asking price of $2.198-million.
The house sold after four days for $2.77-million.
Another property he recently listed in Mississauga received 10 offers and sold after seven days. The four-bedroom detached at 1069 Greaves Ave., was listed with an asking price of $1.698-million and sold for $2.1-million.
Mr. Larose has seen an increasing tendency for buyers who are frustrated at losing out on a few deals to fire their agent and approach him on their own. In some cases they haven’t signed a contract known as a Buyer Representation Agreement or it has expired.
“They’re going directly to the listing agent because we have the inventory.”
He regularly receives calls from prospective buyers looking for an edge in a bidding war. “What’s it going to take?” is a frequent question, says Mr. Larose, who advises the caller to line up an agent. In some cases another member of his team will negotiate on behalf of a buyer.
“The listing agent’s responsibility is to the seller,” he points out. “The buyer needs to be represented.”
At the same time, the ranks of real estate agents have swelled in the Greater Toronto Area. Mr. Larose figures the reason there are so many exasperated buyers trying to go it alone is that many agents are unethical or unprepared.
With so many agents and so little inventory, many are struggling to find business. And some simply lack professionalism.
“Many don’t treat it like a business and many don’t understand their fiduciary duties,” he says.
Some will try to boost their client’s chances in a bidding competition by offering to accept a smaller commission than the standard 2.5-per-cent paid to buyers’ agents on a deal.
“They give up commission right in the middle of negotiating.”
In such cases, the listing agent is obligated to inform the seller and the other agents at the table that one agent is willing to lower their commission.
Mr. Rocca at Bosley has also noticed such practices becoming more common in the past year as the heated Canadian market set new records for sales and prices.
Commission cutting creates havoc in a bidding contest, he says, and it clouds the process for the seller.
He explicitly states in writing in his listings that he will not allow it.
“If I have five offers and one agent says ‘I’m cutting my commission’, I say no you’re not,” Mr. Rocca says. “I don’t work that way. There are no deals – you’re going to get in line with the rest of the people.”
Mr. Rocca believes that the lack of supply in the market is contributing to strategies of desperation. But he’s receiving lots of calls from homeowners seeking evaluations, so he expects listings to see a good bump in coming weeks.
Farah Omran, economist at Bank of Nova Scotia, expects new inventory to be almost immediately picked up by buyers.
While housing sales in Canada were essentially flat in December compared with November, even after adjusting for the season, she believes sales were dampened by the lack of listings.
The increased tightness in the market is pushing prices up by a larger magnitude than the increase in sales.
Bay Street is forecasting a series of interest rate hikes from the Bank of Canada this year and those expectations may have contributed to a winter market that’s more hectic than usual, she adds.
“Stay tuned for what is likely to be yet another busy spring market,” Ms. Omran says.
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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.
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