The housing market in the Durham Region has been impacted by a number of policy changes at the provincial and federal levels and it appears that the psychological impact of the
Fair Housing Plan
, including the tax on foreign buyers, is starting to unwind.
Now, with the Ontario Office of the Superintendent of Financial Institutions (OSFI) looming over the banks and mortgage brokers, as of January 1, 2018
having to qualify for a mortgage can reduce a buyer's purchasing power by as much as 20%. Some banks have let it be known that they will be
rolling out the stiffer qualifications as early as December 1st of this year.
There is no question this will affect everyone in the industry. Buyers will need to adjust their wish list and sellers will need to realize that prices will be slow to increase, if at all in the next while.
Gone are the days of wild price increases. This can be good or bad, depending whether you are a buyer or a seller. Sellers need to take note and make adjustments to their thinking. Never before has it been so important for sellers to prepare their property and present it in the best condition possible while asking the best comparative price.
These will be the first to sell in a long list of properties on the market.