If you are reading this, thank you for being here! Excited to have you. 🥳

Let’s talk rate drops. 📉

You’ve probably heard by now that the Bank of Canada reduced the key interest rate by 0.25% for the second time in July.

What does this mean?

• Mortgage qualification thresholds ease

• Individuals with variable-rate mortgages will see a slight decrease in monthly payment (approx $15 less per month per $100,000 of mortgage)

• Homeowners up for mortgage renewal reap the benefit of lower fixed rates

How does this affect the market?

• Increase in buyer optimism and qualification

• Increased market activity (sales, listings, showings)

Opinion: I don’t think this rate drop will have a substantial impact on the market this time around. It’s a step in the right direction.

July Market Overview 📊

Sales are flat, listings are up. With 6% of all sales being over $1,000,000 in July the average sale price saw a healthy increase - YoY we are on par. I predict sales to remain lower into 2025 as it will take time for the rate decreases to take full effect in the market. Good opportunity for buyers at the moment.

Cool Local Listings 🏠

Our team has the pleasure of listing some pretty sweet homes and today I want to share our newest listing in Amherstburg - 8357 Aalbers Crescent. I like to call this “the pinnacle of luxury and comfort".

Other featured properties: Residential Properties | Real Estate Listings | Windsor | Essex County (thesignofexperience.com)

“I want to wait for more rate drops” ⏳

If this is you, here’s why it may cost you:

1️⃣ Upward pressure on price - rates and prices are inversely related. You can either have cheaper housing or cheaper money - not both.

2️⃣ Higher buyer competition - with rate drops, new and existing buyers enter the market with higher optimism meaning more competition on offer dates.

Advice: Focus on the entire picture. There is more to a home than the interest rate you get. Your desired lifestyle, career, family, and financial capabilities all come into play when buying a home - ensure you meet with the right experts to guide you.

Want to get started? Let’s connect [email protected].

Any feedback and sharing is greatly appreciated - it goes a long way to improving this newsletter. 🙏

Thanks for reading up to this point, see you next time! 👀