HawthorneVillager.com

Here's a well presented article from the weekends G&M providing further evidence of equities superior long-term performance vs real estate. Very similar to the #'s laid out in the past by some of the more astute commentators in this thread.

http://www.theglobeandmail.com/globe-in ... e17834799/

Mattamy's release in January had Village homes going for about 30k-40k more than they were last year.

Housing prices decline? I'll believe it when I see it because they just keep going higher and higher.

As long as Toronto sees healthy price hikes, so will Milton. There's always a market for people that feel the city is overpriced (even though the suburbs growth is equally exponential).

Unique decade for sure. I think we may have actually beat the bubble. Canadian economy rebounding. US economy rebounding. Our dollar value is dropping (which would have made prices of houses increase) and inflation running low.

Now the only thing outstanding is the interest rates. If they remain low for another 2-3 years, it will allow a large portion of people to re-finance for another 5 year term at a low rate, they will have 10+ years equity and the risk of being underwater greatly diminished.

Now this doesn't mean a bubble isn't forming now - but most of the people who bought houses at the beginning of this thread (2010ish) will definitely not need to worry. They made out quite well - now just don't refinance to buy a boat.

Stock market on the other hand.. look out below.

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^
We need a like button Rick.

If Dabills has stopped commenting on this topic, this topic is dead.

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Phase 96c, Lot 3224

Look closely.... in some of the older neighborhoods the prices are falling... in the original Hawthorne Village, I saw a few prices that were very low in comparison to the Derry and Thompson area... anyone noticing the same??

Not at all. Those prices aren't dropping. They are not just as high as their newer counterparts that don't need things like the roof redone already.
They have always been a touch behind the newer stuff, but they are certainly not dropping.
Hope this makes sense.

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Fred De Carolis
FREDHELPS.COM or on Facebook
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search for Milton's Favourite Realtor!
REVEL REALTY -- MILTON'S FAVOURITE REAL ESTATE BROKERAGE, as voted by YOU!!!

Thanks Fred!

I was very interested in this property that was listed at 429,000$ sold for asking, than 2 homes that were very similar in size and property size (negligible diff) both with finished basements and they listed for the same price but subsequently sold for 10K shy of asking. all within propbaly 1-2 months of the 429000 property. I am a aspiring Real Estate Pro enrolled in my final course and I am perplexed by this.

mike

Send me the addresses and I'll explain. Peter is right, there are many variables - not only the house but also the sellers situation, knowledge and skillset of the agents involved, and so much more. Send me the addresses and I'll post my 2 cents. Just remember, Phase 1 will always be behind due to the age and materials used, but they are certainly not dropping.

_________________
Fred De Carolis
FREDHELPS.COM or on Facebook
Thanks for your support in the
search for Milton's Favourite Realtor!
REVEL REALTY -- MILTON'S FAVOURITE REAL ESTATE BROKERAGE, as voted by YOU!!!

I shall! Thanks for the info

I thought I would bump this just for fun.

Don't do that. I'm watching this thread as a market indicator.
When people give up all hope that prices will decline, that is when they will decline.
For now more craziness.
What do I mean - viewtopic.php?f=1&t=61374

I read that prices have already fallen outside of Toronto and Vancouver.
The article also suggested that the pent up demand in those two areas will last for about two years.
We'll see.

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Jezu Ufam Tobie

Crux sacra sit mihi lux! Non draco sit mihi dux!

Bumping an old thread back.

Now when this thread was started I had just bought a detached home in Milton and I was legitimately concerned that housing was overpriced at that time ('old school' and 'dabills' had me sipping the koolaid...slightly). However, I took the risk and now my house has gone up by more than 50%.

That said, I am looking to move again and I am absolutely staggered by some of the prices now. On one hand I agree with The Economist in that housing is overvalued by around 30-35%, but I am not sure that means a correction is coming anytime soon. I am watching homes sell pretty quickly and demand seems pretty strong still (obviously aided by low interest rates). Interest rates are going to rise incrementally over an extended out period of time, so I think cheap lending is going to continue to be a factor for a while.

I am lucky to have bought when I did, as I am not sure how young people are going to buy houses when a starter home in Milton is a half million dollars.

Lol, I thought first my house was overvalued when I bought it in 2003. Second home was in 2008 when everyone was certain things were going to collapse. Both times I bought a house smaller then I could afford. That caution has probably cost me $150,000 in equity. Oops. The good news is I almost decided to sell and rent a home in 2008. Had I done that, I’d have lost out on even more equity – and still be renting.

This thread taught me that I don’t have a freaking clue what the future holds, and I’m in good company.