Ten Most Affordable Cities In Canada For Single Home Buyers

The past year hasn’t been easy for prospective home buyers. Despite some recent year-over-year price softening in the nation’s hottest markets, the national mortgage stress test, combined with various policies at provincial levels, effectively took a bite out of purchasing power for all Canadians.

Single Home Buyer

This is especially acute for single home purchasers; not only does having two incomes boost affordability, but it also helps satisfy the income and debt servicing requirements mandated by the aforementioned stress test. Those trying to get onto the property ladder solo may have long heard the narrative that it’s next to impossible to do so given these new requirements.

However, according to a recent study conducted by Zoocasa, that’s not the case in the Prairie and Eastern Canadian markets. In fact, 10 cities in these locales can still be considered affordable for single buyers earning a median household income.

The study, which assessed 20 cities for affordability from coast to coast, calculated the minimum income required to purchase the average home in each market, using a 20-per-cent down payment, 3.29-per-cent mortgage rate, and 30-year amortization as criteria. That amount was then compared to actual median income data of “persons living alone who earned employment income” as reported by Statistics Canada.

Markets were then ranked on whether the buyer had an “income surplus” – the amount of financial wiggle room they’d still have after purchasing their home – or an income gap, which indicated they’d be out of range altogether.

Based on these calculations, Regina can be considered the most affordable for single-income buyers, based on an average home price of $284,424, a median income of $58,823 and the greatest income surplus of $20,025. That’s followed by Saint John, where the average home priced at $181,576 could be purchased on an income of $42,888 with $18,038 left over, and Edmonton, where earning $64,036 would net a $17,826 surplus on the average home price of $338,760. The most affordable cities list is rounded out by Calgary, Lethbridge, Winnipeg and Halifax.

Single buyers earning a median income didn’t have much hope in the nation’s priciest markets, however. Vancouver is the least affordable, with an average home price of $1,109,600, far out of reach of an income of $50,721 to the tune of $88,361.

While incomes and home prices were more attractive in Toronto, buyers still face a steep gap of $46,858, based on a $55,221 income and home price of $748,328. Victoria rounds out the top three, where an average home price of $633,386 is still $39,359 out of range for the median income of $86,400.

Other markets not considered affordable for single buyers include Guelph, Kitchener-Waterloo, London, Montreal and Ottawa.

The study also considered earnings by age group, as purchasing power tends to increase with age. This was the case with Gen Xers (35-44 and 45-54), who enjoy the greatest purchasing power of all single buyers. For example, A Gen Xer purchasing a home in Regina would have an income surplus of roughly $4,000 greater than the average, at $24,215.

Single millennials, however, experienced the weakest purchasing power, especially in the priciest markets; someone between the age of 25-34 earning the median income would fall a whopping $92,774 short on a home purchase in Vancouver.

London Ontario Condominium Buyers, Common Sense or Impulse?

Mark Twain wrote that humans have a lot of common sense because they don’t use it very much! I was looking at the daily home sales in London Ontario today and saw some houses & townhouses in London Ontario sold at 110% – 125% over the asking price!

Mark Twain

It seems to me that home buyers either act on impulse or self-discipline! Impulsive action is emotion (keeping up with the Jones’s or fear of loss) rather than common sense.

Acting impulsively has consequences, and for a buyer of London Ontario real estate, that could mean, when it comes time to sell, the market has not kept up with inflation, being house poor and in turn, having to become more frugal in the other areas of their life.

In the heat of negotiating, counter offers and multiple offers, most buyers act impulsively, even their sales representative.

 How I think a buyer should act.

Be prepared! First, know the facts, neighbourhood prices, your financial limitations and lifestyle and secondly, psychological preparation.

Facts are the easy part and make sure they are facts and not opinions. Mentally being prepared to walk away takes courage and good old common sense.

With common sense, you’ll have more cents!

All our clients have more cents! Here’s proof!

When Buying a Condo in London Ontario, Are Buyers Still Overpaying?

Are buyers still overpaying when buying a condo in London Ontario? In 61% of the time, yes!

Overpaying for real estate in London Ontario over the past few months is happening quite often and I have heard the following from buyers and their Realtors.

do not overpay for a home in London Ontario

 

  • “There is nothing I can do about it”.
  • “That’s just the way the real estate market is right now.”
  • “It is what it is”
  • “Get with the times”

Really? So, you are just going to sit there and take it?

Learned helplessness is a condition in which  buyers adapt to a scarcity mindset,  with the fear of loss being huge and instant gratification a must & not thinking of the second and third consequences of overpaying for a home in London Ontario and feeling that there is nothing they can do about it.

That their offer and the acceptance of the offer is totally out of their control.

Yes, the real estate market in London Ontario is vibrant and as a home owner, that is quite positive, yet the consequences of overzealous buyers and their Realtor’s actions will have a negative long term  effect , as history has proven over and over and that the axiom “What goes up must come down”, holds true.

As a home buyer in London Ontario, you have choices and there are strategies you can take to ensure you do not over pay and get caught up in the frenzy.

Let me know if you do not want to overpay, I won’t let you!

There Are Two You’s Competing To Buy a London Ontario Condo

When a buyer goes shopping for a house or a London Ontario condo , there are actually two homes competing for their attention: the one that meets their needs, and the one that fulfills their wants.

looking to buy a house or a condo in London Ontario

In one of the greatest financial books ever written, ‘The Richest Man in Babylon’,George Clason writes that there are two kinds of study: the one kind being the things we learned and knew, and the other being the training that taught us how to find out what we did not know.

I read this book yearly to refresh and remind myself of some real simple financial basics, while very simple and easy to do, most Canadians do not follow, perhaps because it is too simple to make wise financial decisions.

It is like a person complaining of a sore belly, goes to their doctor and tells the physician that Dr. Google says it is blah blah blah! The kind physician ( the one not rolling their eyes or thinking “Oh no,here we go again) will ask questions, identify the cause or the remedy and treat the problem.

In real estate the same thing, wise, intelligent people listen to what their neighbour or co-worker says, read “how to save thousands when buying real estate’, or watch all those reality shows and then become experts in buying a house or a condo.

Home sellers and their real estate representative love you, because you are the one who overpays for a home (yet brag that you got a good deal, yadayadayaa) or find out that the home has structural issues or a neighbourhood stigma .

Getting back to The Richest Man in Babylon, letting ego take a break  and finding out what one does not know about buying or selling may be a good decision. In real estate we do not have a Dr. Google, but we have everyone who has ever bought or sold a home as experts on how to buy or sell one!

Do you think a professional Realtor may be a great asset for you? Do you need one or want one?

Searching For a Condo In London Ontario With No Luck?

Are you spending countless hours searching the MLS, real estate magazines, weekend classified ads and real estate websites looking for the ideal condo in London Ontario & area, be it an apartment in a high rise, a two storey townhouse or a detached town home , that is within your price range and in a good neighbourhood in London Ontario?

searching for a condo in London Ontario

Going to Open Houses? Going To Builder’s Models?

Have you missed out on some because they already have an offer or were sold before you even knew about it being for sale?

You may be missing out on some great condos that sell in a day or two or one that was priced so   agressively that it sells as soon as it comes on the market or in a specific area?

Is all that searching working for you  or is that you wish to avoid a pesky or bothersome real estate person (don’t blame you)?

Or, perhaps you are curious or you are in the ‘just thinking stage’ of real estate. Perhaps to purchase or sell.

Regardless, like fashion, real estate changes fast, people change, neighbourhoods change, real estate markets change and the motivation of buyers and sellers change.

So how do I, as a real estate professional, as a Broker of Record and Owner keep you, the curious, the maybe, the must have by the end of the month, the retiree, the downsizer, the upsizer, the DINK’s (double incomes,no kids), the tire kicker, deal maker, bread winner or just plain ready to move informed about real estate in London Ontario?

My asociates and I view a lot of houses and condos every week. We do loads of searches daily for clients, we are constantly researching properties, even For Sale By Owners.

we find houses in London Ontario

As professional house hunters in London we know the jungle, the alleys, the streets, avenues, crescents  and can guide you on the right path to ensure your purchase is wise & financially sensible.

You won’t have to jump off any cliffs, scale any mountains, wrestle a crocodile, put up with a pushy real estate salesperson, cross-eyed lawyers, impotent mortgage lenders, near sighted home inspectors, all you have to do is put up with us!

  These folks did and they are still with us!

Buying a London Ontario Condo, New or Resale?

Over the years, we have found that one of the most common questions we are asked is about the advantages and disadvantages of buying a London Ontario condo, new or old. The answer is that there is really no way to generalize; each case requires its own assessment!

buying a condo, new or old

 

A lot of specific research and fact finding should be done before you contemplate purchasing a newly constructed home. It is easy to assume that the home will be well constructed with quality materials and workmanship, but that is not always the case.

Our experience has given us the skills to know exactly what to look for in a new home, the right questions to ask and also, who to direct them to! Not only that, we can help you make the calculations that will be important to your final decision.

 

 

Who is protecting you when you buy through a sales office or a  model show house! The builder has either  a professional real estate representative watching out for their interests or their own salaried/commission sales person representing the builder  and you need and deserve the same expert representation watching out for your interests.

Lawyers are not allowed to represent both parties in a real estate transaction, why a builder?

Before you make that big decision on buying a home in London Ontario, why not get together with us & discuss the pros and cons and then decide how to next start the process & save you some money!

Everything There Is To Know About Condos in London Ontario

If you are thinking about buying a condo in London Ontario or area, do you feel you know everything there is to know about buying one?

Or, were you going to just wing it or have just any  Realtor drive you around and then you buy one? Sounds foolish, doesn’t it? Yet, what do most people do? Yes, you are right!

Condos in London Ontario

 How much would you save in money, stress or issues if you knew about the following?

  • Four Fears Most Condo Buyers Have & What To Do About It
  • Four Important Questions To Ask Your Mortgage Lender Before You Sign Anything.
  • I’m The One Buying The Condo Who Are All The Other People Who Get Involved And Why?
  • When I Go To Buy A Condo, How Can I Protect Myself? Before & After?
  • New or Resale, What You May Not Know.
  • Why You Shouldn’t Buy a Car or Furniture Right Before You Buy a Condo.
  • Five Strategies To Never Ever Overpay For a Condo.
  • Getting a Home Inspection For A Condo? Do I Need One?
  • How Credit Reports And Credit Scoring Affects How Much Condo You’ll Be Able To Buy
  • What Pricing Strategies Are Sellers & Their Realtor Using To Get You To Buy?
  • A Proven Way To Avoid Frustration When Looking For Condos in London Ontario & Area.
  • How Can I Remember Each Condo When I’ve Seen So Many?
  • Five Questions You Should Ask Your Realtor At Every Condo You Visit.
  • Six Things Most Builders Hope You NEVER Hear.
  • 8 Signs That Could Mean Expensive (hidden) Trouble
  • Avoid Being Beaten Out By Other Buyers Who Want The Same Condo As You Do.
  • A No Fail Guide To Finding A Mover That Won’t Take You To The Cleaners.
  • Ways You Can Save Thousands of Dollars In Interest And Pay Your Mortgage Off Years Sooner.
  • Why Just Any Lawyer Will Not Do
  • How Important Is a Status Certificate? Why Do I Need One? Who Pays For It?

As you can see, we do not leave any stone unturned when it comes to helping you BEFORE you buy a condo. You should see what we do when we help buy one!.

Why not sign up for our condo buyer insider scoop email subscription now, there is no cost, there is no obligation and the best part is, you will definitely save money and time.

Condos in London Ontario, Buy One The Right Way

When looking at condos in London Ontario,it can be an emotional experience, perhaps even trying and scary. It can also be time consuming and comes with a myriad of details that should not be overlooked. Some buyers, (and even their Realtor), can get caught up in the excitement of buying a place and then tend to forget a few things. Their condo experience then could turn into an unpleasant turn of events, such as:

  • Paying too much
  • Losing the perfect condo to another buyer
  • Not buying in the right neighbourhood or building
  • Feeling rushed
  • Not enough due diligence done through the process and omitting a few steps

                                        Looking to buy a condo through the internet on MLS

                          Make Buying a Condo in London More Pleasant

The specific way you progress through a condo buying transaction varies but there are many  buying steps that are standard, even though they might not be accomplished in the same order in every location.

You’ll feel more confident about your condo buying journey when you understand what is required of you and every other person who is involved in the transaction.

I believe that there should be a thorough plan BEFORE a  buyer even starts looking  because when there is a systematic plan in place before you shop, you’ll know what to expect and if any unforseen events occur, you will know how to overcome them.

                             Working to ensure you find the right condo for you

I know there are buyers who prefer to search MLS real estate listings, go to lots of open houses, spend weekends & evenings looking and looking and trying to find the right place or perhaps, even a bargain.

As a professional Realtor , I have helped hundreds of house & condo buyers in London Ontario and I can veify that buying a home can take an enormous amount of time, even patience,  I do it every day, so for the ‘lone rangers’, go for it!

search condos in London Ontario on MLS

For those of you who are looking for that ideal condo, perhaps one not even on MLS yet & would like professional real estate guidance, negotiation, diligence and care, our “Dedicated Home Buyer Program” may be something that you have been looking for.

  Condominium living :

Couple buying a condo in London Ontario

    Most  newspapers now include a condominium section which recognizes the increasing number of people who already live in—or aspire to live in—a condominium.

  The Canada Mortgage and Housing Corporation (CMHC) has created a  guide to help you become an informed condominium buyer and to help you make the best choice. At the end of the CMHC Guide you will find full definitions of some of the terms used.

   It will identify important questions to ask—and the people you should be asking—before you make this important purchase.

  Searching to buy a condo in London Ontario

 At the end of the report, there is a selection checklist to help you narrow down the choice between the different types of condominiums you might see.

  Another great information tool is our own Condos in London guide,  one that I have been providing to Londoners for the last 15 years, in it you will see price ranges and styles of condos, neighbourhoods, specific buildings or complexes, local London Ontario links and telephone numbers, maps and tips.

I hope you will find it as helpful as hundreds of clients have.

   Try this Tool Kit if you are looking for tips and ideas when buying real estate

 homebuyers toolkit

 

Plan & Plan & Plan Before Buying a Condo in London Ontario

Buying a condo in London can be an emotional experience. It can also be time consuming and comes with a myriad of details. Some buyers, (and their agents), however, caught up in the excitement of buying a condo, tend to overlook some items.

Buying a condo in London the right way

These errors generally fall into three areas:

  • Paying too much
  • Losing a dream condo to another buyer
  • Buying the wrong condo

When you have a systematic plan before you shop, you’ll be sure to avoid these costly errors.

Bidding without sufficient information

Buying the wrong condo for you

Unclear title

Inaccurate Survey

Unexpected repairs

Not getting Mortgage pre-approval

Hidden costs

Rushing the closing

Why do we know this? We assist home buyers every day, 7 days a week and from many years of experience, we understand what it takes to guide,  find, select, negotiate and follow all the steps necessary to make good decisions.

That must be the reasons we have repeat buyers and are referred to every day or do you think it just because we have a fancy website, are Realtors and are ugly looking?

3 Condo Buying Choices You Control in London Ontario

There are 3 condo buying  choices you have control over in London Ontario.

Get results, work with us when buying a condo

1. You’re looking to make one of the most important purchases of your life and you don’t want to get burned because of not knowing whom you can trust, or making a mistake that could cost you thousands of dollars later.

2.   You do not know the values in the marketplace and you want to be assured of getting the most that you can for your money, without having any regrets after your closing?

3. You’re feeling out of control because there are so many unanswered questions.  Making it hard to know where to start.

Is there an easier way to prepare before buying a condo in London Ontario? There is no easy way, but there are steps that if taken logically and followed, will help make your choices easier because you will be better informed than most condo buyers.
What would it be worth to you if you spent 32 Minutes Of Your Time Talking or Meeting With Me and You Learned:

  • Real facts about the market and not biased opinions?
  • The best neighbourhoods?
  • The best buildings?
  • The better property managers?
  • Condo fees and what they cover and the condo rules?
  • A 154 step by step condo buying system?

Let’s discuss your needs and concerns, it won’t cost you a penny and you are under no obligation what so ever!

You don’t buy a car without a test drive, why not give us a test drive!