This Spring, London saw the most frenetic real estate market in decades, with single family home prices soaring 30% from the average price in 2016. It seems that the surge in Toronto prices have finally migrated over to London, Ontario, and buyers have been having a challenging time closing a deal.
“There’s a lot of frustration for local buyers,” the London Free Press cites local realtor Lilly Gluscic.
In fact, other than Toronto and the GTA, the largest number of online mortgage applications have been submitted from prospective buyers London, Ontario.
Simultaneously, the interest rates have fluctuated and have been threatening to increase, which has slowed the market a little bit, but not enough to switch the strong seller’s market over to a buyer’s market. And there doesn’t seem like this is going to change anytime soon, especially because the number of houses on the market have dropped significantly since last year, sitting at less than 45% of available listings.
The good news is that, even in today’s hot market, any purchase you make is likely going to be a strong investment. And while it is stressful to be a buyer in London’s market, the value of the average London mortgage application at approximately $162,655 is still significantly less than the national average mortgage loan of nearly $200,000, which means that buying in London and area doesn’t carry the same risk as purchasing a home in Toronto or Vancouver, which real estate experts state are bubbled and prone to bursting.
With this in mind, the only question that remains is, how do you beat the red hot real estate market?
The best secret weapon to beating London’s exploding real estate market is a great mortgage pre-approval.
When you work with a great mortgage broker, your pre-approval means that you can act fast and with the confidence that you are ready to buy. The best part is that, with all the interest rate fluctuations that have been happening, you can be sure that you are locking in the best rate…and if the rate gets even better, your mortgage pre-approval only gets better!
One of the key things to keep in mind is that you are fully secured with your pre-approval and ready to go. If your lender or your broker hasn’t asked for your tax documents and proof of income along with proof of your down payment amount, it’s possible that you’ve only been conditionally approved, which can mean that your lender hasn’t fully committed to funding you.
Work with the best. Get fully pre-approved and get ready to take on London’s real estate market in stride!
Contact Summerside Mortgages today to learn more how you can equip yourself with the best secret weapon: a rock solid mortgage pre-approval.
Thanks for reading!
Your London, Ontario Mortgage Brokers