With talk of slowing / falling market for real estate in U.S.A, is this the right time for some one who already owns a house in Mississauga to go for a bigger house or it makes sense to wait for a year or so to see which direction the market is going?

Thanks,

Vijay,

Latest Toronto Real Estate Board's statistics don't show any slowdown in the Mississauga market. January'07 saw a 10% increase over Jan'06 in sales (667) and the average price was $335,252, also up 10% over $305,464 recorded in Jan'06. 219 Detached homes sold for an average price of 478,889, 7% increase over the same period last year.

It all depends on whether you really need the bigger house NOW or you can wait. In my opinion, if you are buying the property for self use and you can afford it, anytime is the best time to buy. Since you already own a home, which I assume is a small one, you may gain a bit if you wait a short while. You should not have a problem selling a smaller home since starter homes move very fast (provided they are in a good neighbourhood and well kept). But don't wait too long either since the mortgage rates are predicted to rise again in the near future. If that happens, whatever you gain in price maybe lost in mortgage.

-----------------------------------------------------------------
Rajeev Narula, Broker, REALTOR®
ACE TEAM REALTY INC., Brokerage
10 Kingsbridge Garden Circle, Suite 704
(Opp Square One - HWY10/403)
Mississauga, ON L5R 3K6
Bus: 1-888-355-3155 Ext. 300
Fax: 1-888-443-3155
Email:
Web: http://www.RAJEEV.ca" rel="nofollow">LINK

I agree with Rajeev. Jan 2007 was the strongest (Jan) on record for Toronto Area Home sales. I don't see a short term declining trend in property values.

Moving to a bigger house is a very personal decision, and you need to factor in your needs and wants before making this decision.

Just my two cents


Monica
http://www.SoldByMonica.ca" rel="nofollow">LINK

BUY NOW !.

I'm not a realtor, mortgage consultant or an Insurance Agent who has a personal agenda in this post.

I'm part of Canada - BOO - HOO club. Hence I feel my response should have a better weightage to your dilemma.

I've been observing the real estate market in Mississauga and one thing defies any logic for the sky rocketing prices other than to mass immigration of Desis from ME. They all are loaded with cash all their life savings and as they have a feeling of instability in ME and they are not prepared to go back to India they are landing up here with all their life savings. The first thing they do is to unload it on a property. Hence I feel that the property market is going to hot for the near and the far future. As the available space for newer construction is shrinking the prices of the existing property here is sky rocketing. As you know no Desi wants to go to Sasks or New Bruns or even NUFY they all land up in GTA. Even people who rush to Alberta are unable to afford on property there are landing back in GTA.

The property market in GTA is not linked to USA as it is immigration driven. As long as immigration is open you do not need to worry about any decrease in property values. It is will be always up. I know people who had purchased detached homes in 1993 at $290,000 are sitting at values of $600,000 plus. The market value is growing at a value of 8% annually in a conservative manner.

You should not be looking at a dip in values you should be worried how higher the value would go up before you decide. Immigration from China/Hong Kong has gone down by 50% but that from India(ns) is sky rocketing. As long Desis are there you do not need to be worried for a dip in values.

I strongly suggest that you should form an office pool like the ones who buy 749 Lotto; who could invest around $75,000 per head and buy a property jointly and then sell it in after 2 to 3 years and share the loot. There are properties in the NW of Eglinton/Derry where the values have gone up by $70,000 in 2 years.

All my advice above would hold if you are employed in the field of IT or in FIRE(Finance/Insurance/Real Estate).

-----------------------------------------------------------------
Speech by Thomas Friedman of The New York Times....

"When we were young kids growing up in America, we were told to eat our
vegetables at dinner and not leave them. Mothers said, 'think of the
starving children in India and finish the dinner.' And now I tell my
children: 'Finish your maths homework. Think of the children in India
who would make you starve, if you don't.'"