TEAM

Business corporation owned by a Certified Residential and Commercial Real Estate Broker AEO
10 Bd St Elzéar E, Laval, QC H7M 1C3
360, Boul. Curé-Labelle, Laval (Fabreville) QC H7P 2P1

514-222-4513 info@alexhaddou.com

Doing business with a broker

Posted on by mw

Buying your first home is a major step in life, and it’s natural to feel a mixture of excitement and anxiety. You’re embarking on an exciting new chapter, but at the same time, you’re making a significant financial commitment. That’s why using an experienced real estate broker can be a wise decision. In this blog, we’ll explore the benefits of working with an experienced real estate broker as a first-time buyer.

1. Real estate market expertise
One of the major benefits of using an experienced real estate broker is their in-depth knowledge of the real estate market. They can provide you with valuable information on neighborhoods, market trends, home prices, and the factors that influence property values. This expertise is especially valuable for first-time buyers who may not have much experience in the field.

2. Personalized search
An experienced real estate broker takes the time to understand your needs, preferences and budget. They can then conduct a personalized search to help you find the home that best meets your expectations. Rather than wasting time browsing countless listings, your broker can present you with carefully selected options.

3. Expert negotiation
Negotiation is a crucial part of the real estate buying process. Experienced brokers have extensive experience in negotiating real estate contracts. They can help you get the best possible price for your home and negotiate terms that are favorable to you. Their negotiating skills can save you money in both the short and long term.

4. Access to a network
Experienced real estate brokers have established networks of contacts in the industry. This means they can connect you to professionals such as home inspectors, lawyers, mortgage lenders, and others you may need during the buying process. This resource is invaluable for first-time buyers who may not yet have built their own network.

5. Handling the formalities
Buying a home involves a mountain of paperwork and red tape. An experienced real estate broker can guide you through the process, helping you fill out the paperwork correctly, meet deadlines, and avoid costly mistakes.

6. Objective advice
Experienced real estate brokers are objective advisors. They’re there to help you make informed decisions, weighing up the pros and cons. Their objectivity is especially important when you’re overwhelmed by the emotion of buying your first home.

7. Managing legal complexities
Buying real estate often involves complex legal issues. Experienced brokers can help you navigate through these challenges, ensuring that you comply with all applicable laws and regulations.

8. Save time and energy
Ultimately, using an experienced real estate broker saves you time and energy. They take care of many tedious tasks so you can concentrate on finding the home of your dreams and enjoying this unique experience.

 

In conclusion, working with an experienced real estate broker as a first-time buyer can offer you many advantages, including market expertise, personalized research, expert negotiation, access to a network, management of formalities, objective advice, management of legal complexities, and savings in time and energy. Making the right choice from the outset can help you make your first real estate purchase an informed, stress-free success.

Five important questions about the Quebec real estate market

Posted on by mw

If you’ve tried to buy or sell a property in 2020, you’ve probably noticed that prices have risen at breakneck speed.

To get a glimpse of real estate in 2021, it’s best to look ahead to the big questions that could influence the market.

Here are the five big questions to ask yourself before selling or investing:

1. Will single-family home prices continue to rise?

The answer is yes. Price growth is largely driven by supply and demand. Demand is currently very strong and supply remains limited, which is pushing prices up.

According to the Association professionnelle des courtiers immobiliers du Québec (APCIQ), 19% of future buyers are considering buying their first home in the next year. This proportion was only 7% at the end of 2019. At the same time, the number of months of inventory for homes in the $300,000 to $500,000 range has fallen from nearly 12 months in 2015 to just 2.1 months at the turn of 2021.

Taking these factors into account, the APCIQ forecasts that residential prices across Quebec will increase by 5% in 2021.

2. Has your purchasing power decreased?

If you’re about to buy your first property, your purchasing power may be less than that of your parents, despite the current low interest rates.

According to the APCIQ, the average time required to accumulate the minimum 5% down payment has risen from just under 3 years in 2000 to almost 5 years in 2020. What’s more, the average proportion of income needed to pay a mortgage has risen from 15% in 2000 to 21.4% in 2020. Unless there is an unexpected reversal, this trend is likely to continue in 2021.

3. Will interest rates fall further?

Interest rates are unlikely to fall further, as they are currently very low. Generally speaking, when interest rates fall, it encourages prices to rise. But if another crisis were to occur, the government would have a hard time lowering rates any further.

And if, to curb rising prices, the government opted instead to raise rates, many homeowners with stretched debts would find themselves short of cash.

4. Will plexes continue to sell at crazy prices?

It depends on where you look. Plex prices have risen enormously in several regions over the past year (+18% in the Quebec City CMA and +9% in the Montreal CMA), with the result that rental income has not kept pace with sales prices. In the regions and even in the suburbs of major cities, plexes are often more profitable than those located in city centers. So, in 2021, don’t be afraid to expand your radius of action to find a building with good profitability.

5. Is the popularity of the regions just a passing fad?

Containment and widespread telecommuting have undoubtedly increased demand for regionally located homes, propelling prices upwards. For example, in the Laurentians, the median price of single-family homes climbed 34% from November 2019 to November 2020.

As mentioned above, the APCIQ forecasts that residential prices across the province will rise by 5% in 2021. In 2020, the increase was 13%. There will therefore be a slowdown in growth, which could be more pronounced in the regions if telecommuters who have expatriated there eventually choose to return to the city.