It’s no secret anymore that the Canadian real estate market is changing, especially in the GTA. For the past two years, sellers have had it relatively easy. There were very few listings available, and each house attracted multiple offers as buyers competed fiercely with one another. The real estate market was never more aggressive than it was from 2020 to early 2022. However, rising interest rates and inflation have caused buyer hesitation. Housing prices have dropped significantly from the beginning of the year, and enough listings are available to safely say the market is now balanced.
The Luxury Market Moves Slower
Luxury listings have always been a little different and more challenging, no matter what the market conditions were elsewhere. Even when other homes sell at record speeds, the high-end market tends to move more slowly. Very few people have the funds to purchase these expensive properties, and those that do can afford to be selective.
Here are two things, in particular, to know during this changing market:
- Fewer people are looking to buy houses of any type
- More properties are available now than at any point in the last two years.
Selling a luxury property will require strategy and patience, but there is a silver lining.
Knowing what appeals to buyers right now is the first step to a successful sale. Here are some tips that will help:
- What Buyers Want In Toronto Right Now
- Tips To Make Your Home Appeal To Younger Buyers
- Top 5 Luxury Design Features In Modern Toronto Homes
Good News For Luxury Sellers
While there might be fewer people looking to buy high-end properties, those with the means to do so are less affected by inflation and higher interest rates. The buyers are still out there. They are just taking their time and being more selective than usual. With a slight change in your approach, it is still possible to enjoy a successful sale even in this climate.
Be patient
Realistic expectations are imperative to a successful sale of any home, especially for a luxury listing. It may take longer to sell your property than you realize, but there is no reason to feel discouraged. A buyer may love your home. However, the slower market allows them to take their time to think and ponder before coming back with an offer.
Price Your Home For The Market
Selling during a shifting market often causes confusion over where to set your price. You obviously want to earn as much as possible from your sale. However, pricing too high can have the opposite effect. Buyers have more to choose from now and will simply move on if your home seems too expensive. If you have to start dropping your price to get buyers to take notice, you might end up selling your house for less, or not at all.
Your pricing strategy is critical to selling your house at full value. The best advice is to work with a local real estate professional who has experience in the high-end market. They will perform a comparative market analysis to see how your property measures up to similar homes in the area.
Pricing Luxury Real Estate – What Makes It Different
Stage Your Home Beautifully
When it comes to home showings, presentation is everything, and nowhere is this more true than with a luxury listing. Every detail should pop. Every room should be stunning and breathtaking. How do you make this happen? The following checklist will help you to leave nothing to chance:
- Professional cleaning and decluttering. You might clean a regular house yourself, but a high-end listing should be left to the professionals, so there’s not a spot or speck of dust anywhere.
- The outside fully landscaped to create maximum curb appeal.
- All cosmetic imperfections should be fixed, and the house should have modern appliances and fixtures.
- The home decor should be current and eye-catching, and every piece of furniture, throw pillow, and artwork should be in pristine condition.
How do you know when your home is staged just right? A potential buyer walking in for the first time should be rendered speechless at the sight. It’s a good idea to take a practice run by having a friend or acquaintance walk through your home before any potential buyers step inside. If their eyes light up, then you can bet your home is ready to show.
Is your luxury home show worthy? Find out how our staging process can help dazzle potential buyers and add value to your listing. Read more right here.
Market Effectively – It’s Different For Luxury
Make full use of every promotional tool at your disposal. Online and traditional marketing methods should be extremely targeted toward an audience that has the budget to purchase your home. However, you want to take it a step further. Reaching a luxury buyer often requires networking, and your real estate agent should be well-connected and know who the major players are. They should have a roster of past clients and investors who are always on the lookout for a new property.
Want to know more about marketing a high-end home? Find out here.
Work With A Real estate Agent With High-End Experience
Selling luxury requires a different level of skill and resources. Your real estate agent should have experience in your area and have worked in various markets, not just when conditions are good. They should understand style and home decor and know how to stage your house for maximum impact.
When all of these factors come together, the sold sign will go up before you know it.
Are you ready to sell and want to get the best possible results in the current market? We can help. Schedule a free seller’s meeting here, and we’re happy to answer your questions.