Even as the housing market in Canada show signs of cooling from the sizzling hot levels it reached earlier this year, it can still be incredibly challenging for buyers to get a good deal. But experts say there are ways for prospective purchasers to gain advantage.
The housing market has been changing as interest rates rise. “It’s still very much a sellers’ market, but it’s stabilizing,” says Adil Dinani, founder and principal of Dinani Group Real Estate Advisors in Coquitlam, B.C. Buyers – particularly younger, first-time buyers – will benefit by being calm and creative and by having realistic expectations when they’re home shopping, says Elke Rubach, founder and principal of Rubach Wealth financial advisers.
“The first thing you should do is financial planning, even before you look to buy. Buyers should realize, for example, that even now to purchase and carry a house in Toronto you need to have an income of $200,000 a year – not a lot of people earn that,” she says. “Account holders will be able to contribute up to $8,000 per year, to a maximum of $40,000,” she says. The money can be withdrawn tax free and applied to a purchase, but only if it’s for the purchase of your first home.