JohnAmardeil.com

Have we hit the home affordability ceiling?

Have you noticed? The market is turning.

I’m not referring to the condo market, where we’re already seeing a drastic reduction in investors’ appetites. I’m referring to the low-rise market— it may not be common knowledge yet, but I predict the period we’re about to enter won’t be so hot anymore.

The why doesn’t really matter

This spring, we’re seeing lower traffic compared to last spring, due to increased resistance to Ontario’s ever-escalating prices. Have we hit the affordability ceiling? Is the government’s bad press about the new homes market to blame? Or are the new, tightened mortgage rules responsible?

More than likely, it’s a combination of all three factors. Ultimately, however, the “why” doesn’t matter. We can do nothing about the “why.” All we can do is try and solve the problem.

It’s happened before

We’ve all known bad spells before. This old dog has survived three of them already. For example, after 2007 (which was the best year ever), the market simply died in September 2008. A lot of people were scared, yet it all sprung back in the spring of ’09.

So while a rosy past may not seem comforting, it’s helpful to remember many of us have survived storms before. The world didn’t end then and it won’t now.

The answer: more than pretty faces

Ironically, BAM’s built for bad times. This is why part of me wishes for bad times. It keeps us on our toes. It proves to our clients our knowledge of the industry and our sound strategies have helped them build a solid foundation, one that will allow us and them to not just to survive, but to continue to do well.

Because we rely on brains and not just on ads with pretty faces — because we’re all about a solid strategy and a thorough knowledge of the industry, our clients are well prepared. In fact, they’re actually in a good place for what lies ahead.

Now I turn it over to you: do you agree things are about to get tougher?

Promising contemporary architecture and custom chic design, and located in the heart of downtown Toronto, Block is already sold out.

I’ll let you in on a little secret: despite a long career in marketing new homes, I’ve never actually lived in one. In fact, the home in which my children grew up is 80 years old.

Yet today my wife and I found ourselves attending a preview appointment for Block, a  new freehold townhome community by Treasure Hill Developments.

Even more surprising, we didn’t just like it — we loved it.

How we got there

Having recently become an empty-nester, my wife and I began doing what any self-respecting empty-nester would do: we began shopping around for a smaller home.

However, the credit for finding Block belongs not to me but to my daughter Tania, who gave me a call the minute she came across its website. Browsing through it, I was sold when I learned that architect Richard Wengle was involved. It didn’t hurt that Block’s townhomes include a staggered façade, wide glass frontage, flat roofs with skylights, large picture windows, an Energuide 80 rating and upper level balconies.

Delighting your customers

For better or worse, I’m not your typical homebuyer. With 33 years of experience marketing new homes and thousands of visits to sales offices and communities, both before, during, and after construction, I have what you might call a jaded eye.

This is why I’d told my wife to brace herself before we arrived to our appointment.

“We’ll probably have to spend a lot in upgrades to take it where we want it,” I said.

Boy, was I wrong. Consider the following examples, all of which we got at no extra cost:

• Hardwood floors instead of laminate,

• A Corian tub surround,

• Valance lighting in the kitchen,

• An upgrade from open kitchen shelves, which my wife wasn’t crazy about, to cabinets.

I was blown away. Not only did I find that I barely required any paid upgrades, but I also found that I was delighted. Why? Because Block didn’t let its marketing portray a false reality — indeed, in this case, reality was even better than marketing.

Exceeding expectations is what it should all be about. And these guys did it. I am one happy customer.