Considering Moving up to a Larger Home?

End Unit Town-Home

A few weeks ago I was speaking to some clients and customers about moving up to larger more spacious homes. Most wanted to however there was common thread among everyone for not wanting to make the move right now and that was “it seems larger homes are increasing in value so much quicker”. This may be true but it is a bit of a misconception – it seemed larger homes were increasing quicker because that is what they are focused on right now. Most people are only looking at the homes they would like to move up to and not the values of the homes they are in. Having uncovered this little nugget I thought it would be cool to do some research for some of those people. Most people I spoke to are currently living in smaller Townhomes so i picked a street that is made up of entirely townhomes and ran some numbers from 2010 to today.

Here is what I found out:

Street “A” Located in North Oshawa – 3 Bedroom + 3 Bathroom Town-Homes with roughly 1500 – 1600 square feet

2010 Average Sale Price $233,250 with the highest sale being $258,000
2011 Average Sale Price $239,480 with the highest sale being $247,900 – Based on Average Sale price that is an increase of only 2% from 2010 to 2011
2012 Average Sale Price $264,633 with the highest sale being $274,900 – Based on Average Sale price that is an increase of 10% from 2011 to 2012
2013 Average Sale Price $294,378 with the highest sale being $319,500 – Based on Average Sale price that is an increase of 11% from 2012 to 2013

That is an amazing increase in just 4 years – I am not sure if any standard investments have performed as well and provided that much of a return. At the low end of the spectrum there is potentially $61,128.00 worth of equity in your home. Not to mention most Canadians are very responsible in paying down their mortgages which means there might be even more equity available that will allow them to move up to the larger and more spacious home or acquire a home in the neighbourhood they have always wanted to be in, the one with the mature trees lining the street with great schools and with walking distance to all amenities.

If you are interested in finding out more about the street you live on or the neighbourhood you call home, please feel free to give me a call and I can provide the same level of research that will help you with your own decisions. Deciding to buy and or sell is a huge decision and should be made when you have all of the most relevant information you can obtain. Being well informed can save you thousands of dollars!

If you or someone you know is considering buying a home or selling their own home please have them contact me I would be happy to help with all of their real estate needs!