Everybody knows that “location” is king when it comes to real estate, but an interesting story on CBC this week illustrates how pent-up demand is affecting one Ontario city — London.
The housing market is so hot for homes selling at the $500,000 level that buyers are offering far over asking price and writing feel-good letters to the sellers in the hope of getting an edge.
After missing out on three homes despite offering more than the asking price, one couple boosted a fourth offer to more than $50,000 over asking and, with the help of the letter, was successful.
Another house, in the mid-$400,000 range, attracted 38 offers and sold for $85,000 above the list price.
And another young couple made an offer that was $100,000 more than the $349,000 asking price and didn’t get it…despite including a nice letter.