Toronto home sellers learning a hard truth: the market has turned

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Sellers have had the upper hand for many years, some still floating the idea of setting an offer date in the hope of fielding multiple bids – not a strategy recommended in the current market

The sputtering Toronto-area fall real estate market is seeing a steady rise in inventory as October begins but skittish potential buyers are looking for more clarity in the outlook for the Canadian economy.

Sellers have had the upper hand for many years, he says, and some still float the idea of setting an offer date in the hope of fielding multiple bids. It’s not a strategy he recommends in the current market, he says.Farah Omran, senior economist at Bank of Nova Scotia, says buyers are in wait-and-see mode as they await more information on the future path of interest rates, inflation and economic activity.

The seasonally adjusted Teranet-National Bank composite national house price index rose 1.6 per cent in August from July. That’s what he calls the “light bulb moment” for many sellers who are holding fast to a higher price, he says.

 

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