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Baby, we got a bubble!?

11 Wellesley day 1 sales event, over 500 units sold now in 10 day period. This is the 3rd successful pre construction event this year, the pre construction investor was somewhat absent from the market for about 1.5 yrs but here is further evidence that the market has shifted positive.

I'm 99% sure I've seen you in my elevator with a client.
 
Question for industry experts:

Why is the new home market so opaque? When a new condo launches, all they provide is vague price ranges and marketing sheets. To get the real info (i.e. floorplans and exact prices), you need to register or call an agent. Why is this? Why don't these just release all of the information on the website?

Good question.

Answer: Essentially it's a Multi Level Marketing Scheme.
 
Good question.

Answer: Essentially it's a Multi Level Marketing Scheme.

That was my impression as well.

Are there not developers out there that realize they can cut out the middle man (real estate agents) and sell directly to the public? How have these guys not figured it out yet or am I missing something?

Is it becasue most buyers use an agent and agents will only show them homes that are offering a buyer's commission? I just don't understand what possible value an agent could add to a new-build condo.
 
That was my impression as well.

Are there not developers out there that realize they can cut out the middle man (real estate agents) and sell directly to the public? How have these guys not figured it out yet or am I missing something?

Is it becasue most buyers use an agent and agents will only show them homes that are offering a buyer's commission? I just don't understand what possible value an agent could add to a new-build condo.
We bought direct from the developer
 
That was my impression as well.

Are there not developers out there that realize they can cut out the middle man (real estate agents) and sell directly to the public? How have these guys not figured it out yet or am I missing something?

Is it becasue most buyers use an agent and agents will only show them homes that are offering a buyer's commission? I just don't understand what possible value an agent could add to a new-build condo.

1.cheaper for the developer to pay out comm. vs advertising to general public, take months for the developer to sell 500 units. 2. HYPE as u can see in curious George brings in 5 clients, another agent brings in another 5= so called VIP sales = compulsive buying, makes ppl think there getting a deal of the century. a sense of euphoria.
 
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We bought direct from the developer

I also bought directly from the developer. However, developer still pays commission to the individual who was your contact person. Almost all of the time, these individuals are licensed agents but working on behalf of the developer.
 
They have to have someone manning the office! We've kept in touch with the agent; they only sell for this developer and have worked with them for years, so a good partnership for both parties.

We had been to a number of new sales offices. Lots of pressure to buy, etc. When we finally did buy, it was after the sales office had closed down, and it was quite a good experience with plenty of time to ask questions and go over details. I would never buy based on a morning's visit to a model site sales office with everyone vying to put their red dot on the chart.
 
Yes. Although it is said the best prices are available at vvip platinum opening( unless the market falls off).
This is what I have heard over and over again.
as far as I can tell it may be . But the industry is extremely secretive so I cannot be sure
 
Yes. Although it is said the best prices are available at vvip platinum opening( unless the market falls off).
This is what I have heard over and over again.
as far as I can tell it may be . But the industry is extremely secretive so I cannot be sure

Therein lies the root of the ridiculous hustle in this perpetual pyramid scheme.

Eventually the chickens will come home to roost and there will be a lot of bagholders.

At the far other end of this scheme we are seeing resale prices not exceeding presale prices.

What does that tell you?
 
^^^
I just heard that Investor's Group (IG) is offering a 3 year variable of 1.99%.
Apparently one still has to qualify for 5 year rates and higher rates but still this is supposedly the lowest rates ever offered.

Will be around for about 30-90 days they say so maybe just to get "eyeballs" to the fact that IG offers mortgages.

It was interesting to see if the big lenders were going to follow suit. Seems like they're not going sub-2% but they're definitely duking it out with some very competitive rates.

Mortgage battle escalates as Scotiabank offers 2.97% five-year rate

Bank of Nova Scotia is the latest lender to push the envelope on mortgage rates, offering a five-year fixed rate of 2.97 per cent.

Click for the full article: http://www.theglobeandmail.com/repo...nk-offers-297-five-year-rate/article18880534/
 
I also bought directly from the developer. However, developer still pays commission to the individual who was your contact person. Almost all of the time, these individuals are licensed agents but working on behalf of the developer.
When I bought my townhouse condo, I just walked into the showroom and talked to the sales person. No real estate agent at all. I even negotiated for a slightly lower price, because I didn't want the extra incentive they were providing. I told them to take the cost of the incentive and lower the unit price by that much, and they did.

However, that was back quite some time ago, before the mid 2000s condo boom.
 

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