With interest rates on a downward trajectory and Toronto’s real estate market heating up, we’ve been talking to a lot of home sellers. If you’re planning to list your home for sale in the winter or spring of 2025, here are 10 things you can do now to be ready:
- Pick Your Agent: It’s never too early to hire a REALTOR and benefit from setting your selling strategy together. Ask your family and friends for agent recommendations and read online reviews on Google and Yelp. Pick an agent who offers the services you need – many of Toronto’s best teams (including the BREL team) include home prep coordination and staging in their commission. Related: How to Pick a Great REALTOR.
- Set Clear Goals and a Budget: Start with the end in mind and work backwards: what’s your ideal moving date? What needs to happen between now and then? If you want to move in June, you’ll likely need to list your home for sale in February/March. Create a detailed budget, including projected costs to sell and buy (if you plan to buy again) and estimate ongoing carrying costs.
- Get Your Financial Ducks in a Row: Talk to your lender about mortgage portability options and mortgage penalties. If you’re selling an investment property, talk to your accountant to understand any tax implications.
- Declutter and Pre-Pack: Start the decluttering process now. Rent a storage unit if you have to, and begin packing non-essential items. This makes your space look larger and more appealing and gives you a head start on moving. Double bonus!
- Do the Fixes: Now’s the time to bring in a handyperson and take care of all the little fixes you’ve been putting off. While you might not notice your rickety front porch anymore, I guarantee that the buyers will see it. And for everything they see that hasn’t been maintained, they’ll assume there are ten more things they can’t see – and they’ll adjust their interest and price accordingly. Get it done now while you aren’t pressured for time.
- Consider Updates: New paint and lighting freshen up a tired space, but be careful not to over-improve your home in preparation for the sale. Talk to your REALTOR before you spend any significant money. Related: 10 Budget-Friendly Home Improvements to Make and Don’t Waste Your Money on These Pre-Sale Improvements.
- If Your Property is Tenanted: Now’s the time to get familiar with your rights and obligations under Ontario’s Residential Tenancies Act. We wrote about all the restrictions and implications of Selling a Tenanted Home here.
- Kids and Pets: Showing your home to prospective buyers is inconvenient and impacts everyone in the home, so make a plan to reduce the impacts on the kids and pets. Can you time your sale with a pre-scheduled vacation? Should you plan to board the pets?
- Photograph in Fall: Capture your home’s exterior and landscaping while it still looks lush and isn’t covered by a blanket of snow.
- Create a Digital Home History: Compile a digital folder with all home improvements, major repairs, and renovations you’ve done over the years. Include before and after photos, receipts, and warranty information.
If you’re also buying….
If your 2025 real estate plans include buying another home too, you’ll need to:
- File Your Income Taxes: You won’t qualify for a mortgage if your taxes aren’t up-to-date.
- Check Your Credit Report: You can check your credit score online with Equifax or Trans Union.
- Set Realistic Expectations: Does what you want to buy exist for the price you want to pay? Now’s a great time to get familiar with what’s happening to prices in your target neighbourhood.
- Get Pre-approved For a Mortgage: Make sure to ask your lender about any mortgage portability options with your current mortgage.
- Find out About Bridge Financing. Bridge financing is a loan from your bank to ‘bridge’ the gap in finances when the closing dates of your current and new home aren’t the same. For example, if you take possession of your new home on October 8th and your current home closes on October 15th, you won’t have the downpayment needed for the new home until you get paid for your current home on October 15th. Bridge financing is an advance from the bank to help you cover that period of time.
2025 will be here soon and there’s a lot you can do now to be ready to sell in the winter or spring.