Buyers appraise a more pliant condo market

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Conditions in the condo market were approaching the loosest on record at the end of February

Soon after the announcement, she helped one couple negotiate the purchase of a one-plus-one bedroom condo in Toronto’s west end after a two-month search.

“People jumped on houses if they could afford them,” she says. “Condo prices weren’t coming down drastically.”Manu Singh, real estate agent at Right at Home Realty, has seen some wavering from potential buyers who are living in a rental apartment or condo and tired of paying high monthly rates but also hesitant to buy while“People think that rates can’t do anything but go down – the question is when,” Mr. Singh says.has remained tight-lipped about the timing of future rate cuts.

The active-listings-to-sales ratio remained relatively unchanged in February, indicating the overall market is in balanced territory, he adds. In many cases, lenders are selling after an investor has defaulted on mortgage payments, he says, and the properties are often unattractive. They tend to be in rundown buildings and poor locations because such investors often did not have strong finances to begin with.“We never used to see these,” says Mr. Singh. “Now we’re evaluating these on a regular basis.”

 

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