Etobicoke House Prices 2018 – Why Do They Vary So Much?

Etobicoke house prices vary by neighbourhood. Especially so in 2018. However, similar homes in the same neighbourhood often sell for different prices. What’s more, some sell quickly while others seem to sit on the market forever.

Are you curious to know why prices for similar homes in the same neighbourhood are so different? In this post, we’ll explain the factors contributing to these discrepancies so that you can get the best price for your home.

First, let’s look at a practical example. In the Queensway Village neighbourhood, most of the homes have identical layouts. They were built in the same year with the same quality of construction. The lots the homes sit on are similar in size and shape. Some have been upgraded over the years but many are in original condition. In 2018, prices for these homes have varied between $880,000 to $975,000. That’s a pretty big price range for very similar homes.

So why is this so?

Top Factors Contributing to Price Variation

1. The Competition for Similar Homes When You List

When shopping for anything, it’s natural to compare prices to ensure you get the best deal and value for money. Homebuyers are no different and will compare your home to other similar houses for sale. They’ll only put an offer in on your home if it represents the best value as compared to other homes on the market.

So the price you can get for your home will be dependent on what’s available at the time of listing. If your home is the only one on the market in your neighbourhood, you are more likely to get a higher price.  For example, we recently sold a home in New Toronto. It was a newer build with four bedrooms and four bathrooms, listed at just under $1 million. This home commanded a high price because there was nothing like it in the area on the market.

2. How Well Your Home Is Prepared for the Market

Preparing your home for the market is so critical to getting a premium price. It takes time but is a must to get you top dollar. For example, we recently sold a home in Sunnylea. We did a pre-list home inspection and the owners elected to fix the minor issues before it went on the market. We removed all the outdated furniture and stored it in a PODS storage unit. Finally, we cleaned and staged the home so that it showed at its best to potential buyers.

We had more than 100 people preview the property and received seven offers. Ultimately, it sold for a premium price.

3. The Exposure Your Home Gets to Potential Buyers

The way in which buyers search for a home has really changed. All buyers begin their search online. If you’re a seller, you want to make sure that your house gets maximum exposure. Just putting it up on realtor.ca is no longer good enough. It needs to be featured on high traffic websites and advertised online. We recently sold a home on Yorkview Drive, which was seen online by more than 5,000 viewers. This drove traffic to the listing and the seller was able to maximize their selling price.

4. How Your Home Is Priced Relative to Similar Homes

Pricing high doesn’t mean you’ll get higher offers. A home on Edgecroft Road was listed at $100,000 more than competing properties. It ended up selling for the lowest price in the neighbourhood at the time. It sat on the market for months and then was finally sold at a bargain price.

Many sellers believe that if they price high, they will get a higher price. This is typically not the case. Buyers will view the home as offering less value and automatically be turned off. Plus, you run the risk of missing out on buyers who search for lower priced homes but may be able to stretch their budget if they find the right one.

5. How Easy It Is to Show Your Home

Buyers want to see your home when it’s convenient to them, not necessarily when it’s convenient to you. A home or condo that is tenanted and requires 24 hours for showings can be more difficult to sell.

A good example of this is a recent sale that we made in 760 The Queensway.  The condo was listed with another agent, was tenanted, and didn’t sell. We took over the listing, raised the price, and sold the condo quickly for $25,000 more than the previous agent had it listed for.

Taking these factors into account, it’s simple to see why there is so much variation when it comes to Etobicoke house prices. Our experience tells us that when you consider all these points, prices are in fact far more predictable than they first appear.

If you’re interested in understanding the range of Etobicoke house prices in your area and how you make sure your home sells for the top of the range we’d be happy to offer you a free seller consultation.