Sudbury: A Great Place Live

1. Natural beauty: Sudbury is located in Northern Ontario and is surrounded by lakes, forests, and hills. The city has over 330 lakes within its boundaries, making it a popular spot for outdoor activities such as fishing, boating, hiking, and skiing.
2. Strong economy: Sudbury has a strong economy, driven by the mining industry, which provides many job opportunities for residents. The city is also home to Laurentian University, College Boreal, Northern Ontario School of Medicine and Cambrian College, providing educational and research opportunities.
3. Affordable cost of living: Sudbury's cost of living is relatively low compared to other major cities in Ontario, making it an attractive place to live for those looking for affordability.
4. Friendly community: Sudbury has a strong sense of community, with friendly and welcoming people. The city has a diverse population and a rich cultural scene, including a vibrant arts and music scene.
5. Quality healthcare: Sudbury has several hospitals and healthcare facilities, providing quality healthcare services to its residents.

Overall, Sudbury offers a great quality of life, with a strong economy, affordable cost of living, beautiful natural surroundings, and a friendly community.

LISTING PRICE HOW IMPORTANT IS IT??

A couple of years ago Sudbury experienced a balanced real estate market, prior to this very active Seller’s market we are currently in. As a realtor, I would put careful consideration into the listing price of a property. We would review sold comparables, active listings and then adjust the price reflecting the pros and cons of the home. There was an expectation from Buyer’s and Seller’s that some negotiation often may result in an offer price lower than the list Price.

That world as we knew it has certainly changed over the past two years and the vast majority of sold properties are selling well over the list price. There continues to be much discussion about the listing price strategy throughout our industry. At the end of the day, it is the Sellers decision that sets the list price. Here are the 3 options that are happening in today’s market.

List Price Well Below Market Value – the objective here is to make the listing appear like a great opportunity buy and as a result, the listing receives a lot of attention from buyers. However, these listings often sell well over the list price. This can be frustrating for Buyer’s who come to view the property and it sells for often +$100,000 over asking. On the flip side, as the seller, you are in the driver’s seat.  You have the option of accepting or rejecting or negotiating with a buyer.  So, if the “list price below market value” does not get you the offer you were hoping for, you simply don’t accept it.  It can be very a time consuming and frustrating process for buyers.   I have made many phone calls this last year to inform a Buyer that they did not get a property and that the sale price was $50-$200,000 more than their offer.  

List Price At or Slightly Below Market Value – this is my preferred strategy to maximize the number of qualified Buyers to view the property and therefore increasing the opportunity for a competing multiple offer situation which maximizes the sale price. Buyers are very aware of market value and what it is going to take to acquire a home in today’s market. As they spend more time in the market, they come to understand that the list price is irrelevant and that an experienced Realtor will be able to provide sold comparables along with expert advise on how to best secure their next property.

List Price Too High – there are Seller’s that will insist on coming to market at the price they want or need to sell. Sometimes this strategy works in our market, but most times it results in a lower number of viewings and no offers.

Sometimes it is difficult to help a Seller understand the “best list price” is the one that gets as many qualified buyers through the door as possible. In our market, a qualified Buyer is prepared to move forward quickly with an unconditional offer to compete against all other offers.

In this market, you need the experience of a professional Realtor to get your property listed right to maximize the sale price. As well, be able to provide you with the key decision-making information to be able to, with success, purchase a home in this highly competitive market.

A common condition included in the purchase of a property is a home inspection. A typical inspection is conducted by a certified home inspector and can take anywhere from 2-4 hours.  It comes with a report addressing concerns, which may include structural, safety, minor and major repairs with regards to all aspects of the property. In our very active market, often resulting in competing offers, it is a benefit to the buyer to go in with little or sometimes no conditions attached to the offer. So, to give the buyers this edge, but also a comfort level with the property they are buying and its physical condition, a “pre-inspection” is done by a certified home inspector prior to submitting an offer.

This pre-inspection is limited to approximately an hour to assess the ‘key physical aspects’ of the home being the roof, attic, electrical, plumbing, heating system and an overall viewing of the property. This is usually followed up with a discussion with the potential buyers with no written report provided.

The advantage to this type of inspection is that a buyer can proceed with an offer with a comfort level and an awareness of the physical elements of the property. Secondly, an inspection condition may not be necessary going forward which typically would give you an edge in competition. Lastly, the expense of a Pre-Inspection is significantly less than a full home inspection with a written report.

We are continuing to see competing offers in the Sudbury market, and it is often frustrating. Let me help you build a plan. There are strategies to be most effective when in a competing offer situation.  Let me assist you as you navigate through the process.

FAQ:

How do I make sure I do not overpay?

I will conduct a market analysis that looks at many comparable properties and the price they sold at. Not every property is the same and I will walk you through the differences between your listing and the one that sold from a financial standpoint. This information allows us to understand market value and decide how we strategize the offer.

How can I get my offer accepted at a lower price than other offers?

A strong financial position will allow you to put forward an unconditional offer. I can set you up with some great lenders to support you in this area. Sellers are wanting to get the most dollars for their property while minimizing risk. A conditional offer that falls through will often kill the momentum of a listing and not maximize a seller’s return.

Give me a call and we can chat about how to best prepare for this active market.

All the best

Gary