CBC.ca reports on the real estate market adjustment we are currently experiencing. The article shares the experience of a couple who tells us the effect the adjustment has had on their expectation of what their house would sell for. Having bought seven years ago at $350,000 they were expecting to sell at $890,00 but it sold at $740,000.
It would seem to me that an increase of 111 percent in seven years is good!
Garth Turner, financial adviser, and former Minister or CRA states “It was inevitable we would see the pendulum swing back. And here we are.”
I believe once we adjust to the new market it will be ultimately good for everyone. To see prices rise in an unreasonable manner keeps buyers who do not have infinitely deep pockets out of the market and ultimately creates an unsustainable situation. Sellers became expectant of selling $100,000 or more over asking! Perceptions and expectations need to be adjusted.
