It may seem impossible to get a great deal on a selling home when the current housing trend is to pay over the asking price. Statistics have shown that around the 87% of homebuyers are bidding on the asking price, as inventory in Canada is at rock-bottom lows. If you like to find the most desired deal for a new home, here are some of the tips.

However, according to the SaveMax website, if you play your cards right, you can find some great deals without sacrificing your must-haves. 

How To Find A Great Deal On A House?

To find the best deal for a new home, many real estate hunters no longer believe just in the advertisements. Apart from the local newspapers, there are multiple types of strategies which you can follow to find the perfect deal on the houses.

To become a savvy homebuyer, it would be in your best interest to consider the following strategies. 

1. Keep an Eye for Listings with High Days on Market

The real estate term ‘days on the market’ refer to how long a property has been available for sale. 

Generally, one might think that if a house sits on the market for too long, it may be flawed in one way or another. However, most of these houses are, at times, overpriced, presenting no issues whatsoever. 

That offers the possibility of swooping in and making an offer, and you can negotiate without the fear of other competitors to find the best deal for a new home.

2. Look for the ‘Sold As Is’ Label 

Suppose you are browsing on a real estate website and have run through listings labeled ‘sold as is.’ Once you see such a label, you should pause and look closely at the announcement. 

In general, those houses are priced based on their current conditions, imperfections included. Thus, if the house needs any repairs, they are your responsibility. But that also means that you can get a discount upfront. 

On the other hand, some sellers list their properties under the label ‘sold as is’ when they inherited the houses and did not have the ability or the budget to renovate or upgrade the home before listing. If you have come across such a new home, you may be scoring a great deal.

3. Search for Bank-Owned or Short Sale Houses

You can also find a great deal by looking for short-sale a new home headed for foreclosure or bank-owned properties. According to CREA, foreclosed properties have been sold at an average 20% discount below the real estate market value. 

However, buying a foreclosed home comes with particular challenges, as you may need to pay for the house in cash or bid on it on the courthouse steps. The competition in the short sales market is fierce, as many investors are looking to find such deals.

Related Resource: 3 Ways To Get More Value From Your Home

4. Buy in The Offseason

Reports have confirmed that if you start your home hunt in March and close in June like everyone else, you may be paying an average of 3.83% on any home you purchase. This happens due to increased competition from buyers and the real estate inventory rising in the spring. 

Instead, you can start a new home search in November when the rest of the nation is not as interested in buying. 

In addition, data shows that homebuyers who close in February can save an average of 7.17% on house purchases. To see how the real estate market works in your area, look for the worst month to sell on google and start from there.

5. Targeted Areas With Multiple Lower Property Along With Taxes

When you buy a house in Canada, the total monthly payment will retain your property taxes, principal mortgage balance, and interest. 

Thus, you can ask your real estate agent to look for homes with lower property taxes, and you can end up saving hundreds of dollars monthly.

6. Seek Help from a Real Estate Agent

By seeking help from a real estate agent, they will prioritize your needs and preferences while finding the perfect home at a reasonable price. They may significantly increase the chances of getting a great deal but ask them their strategies for finding the best deal or how they generally negotiate on your behalf. 

It would be best to check the agent’s average sale-to-list price ratio for their buy-side transactions to understand better the calculation of what property was listed vs. sold for. You will learn how much your real estate agent will save you for finding a new home. 

Bottom Line

Once you start your house hunt, there are different ways to find the best deal possible, but hiring a real estate agent may offer some of the best resources for scouting affordable properties in Canada.

Real estate agents may even know about deals that haven’t yet been publicly listed or notify you right away about a new home based on your budget and needs.

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