Article originally published for GuelphToday on Jan 20, 2022.
Why is the Guelph real estate market still rising?
The main reason is that we have more buyers than sellers, resulting in a strong sellers market. As of January 17 there were about 50 houses for sale in Guelph- that’s all types. In a more balanced market, this number should be closer to 200.
In this situation, buyers are bidding against potentially dozens of other buyers to get a home which drives up prices. There are a variety of reasons for this short supply, including GTA migration, lower interest and flexible work arrangements. As well, homeowners are using equity in their existing homes to buy second properties. Read more about Beth and Ryan’s 2022 Guelph real estate market predictions.
What does it mean when sellers are “holding offers”?
In a market where there is clearly greater supply than demand, sellers may choose to “hold offers”. This means that they are choosing to review any and all offers on a certain day, instead of anytime.
By reviewing offers on a certain day, this likely means that the seller is anticipating multiple offers resulting in a bidding war. This doesn’t always happen though. You can read more about holding offers in real estate with this blog.
What is a bully offer?
A bully offer (sometimes referred to as pre-emptive offer) is when a buyer doesn’t want to wait until the offer date as mentioned above. They want to try and get to the front of the offer review time with an offer that is too good to refuse. Sellers typically outline upfront whether they want to review bully offers or not. In a market like this, many buyers have done their homework and are prepared to make an unconditional, aggressive offer to get a home. Read our blog on “What is a bully offer in real estate”
Get in touch!
If you want more info on the Guelph market, don't hesitate to ask. The Beth and Ryan Waller Real Estate Team are Guelph real estate agents with Home Group Realty.