Earlier this month, The Globe and Mail published an interesting article by Deirdre Kelly called Don’t be a casualty of bidding wars. As you can see from the title, it's about the now so common phenomenon - bidding wars. They say that wars have no winners, but in a bidding war, there always be at least one - the seller. The lowering stock especially on the detached houses market causes a lot of friction between buyers and may lead to a mountain of stress, for while it's true that it's not always about the money, in most cases it just is. There is a risk of getting too emotional and letting yourself fall too deep into competing with others, which leads to overpaying. On the other hand, letting go too soon might lead to missing an opportunity which you might regret in the future. As Richard Silver, Sales Representative and Senior Vice President in Sales for Sotheby's International Realty said in the article:
“If the value is there and you don’t put in your best offer, remember that the next time a similar house comes to the market, its price will be based on what you chose not to pay and you will have to pay even more for the next.”
The article also suggests some general rules for when you're about to enter a bidding war: you should do it with a strategy in mind, be well informed, and be prepared to go an extra mile and make a good impression on the seller. These are all true, but there could be a lot more to it. Our team has a lot of experience with leading clients through the savage battlefields of bidding wars in Toronto, both on the selling and buying side, so don't hesitate to contact us if you want a reliable guide.