Principal broker on what it takes to thrive in current market

Houses for sale in Ottawa

That rapidly cooling market and a series of sizeable interest rate hikes by Canada’s central bank seem to have led many would-be homebuyers to hit pause on their plans to purchase, Boodoo said, while they wait to see how the market adjusts.

“There has been a shift in the mentality of buyers. They’re more in a hold-and-wait scenario where they’re sceptical as to what’s next to come [and whether] things are going to get worse,” he said. “So they’re not going to necessarily jump in.

“A lot of it is because of the concerns of prices dropping even more. So they don’t want to buy now because they don’t want to buy at a price higher than they can get later on, but also didn’t want to buy and then two weeks later, the value of their home drops.”

Perhaps unsurprisingly given the current turbulence of rising rates and monthly mortgage payments in some cases, Boodoo said the refinance space had seen more activity than the purchase side as clients with tight budgets look to consolidate debt and get their cash flow back on track.

A productive avenue for brokers at present, he added, is engaging in conversations with mortgage lenders to gauge where opportunities and pitfalls lie in the current market.

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