Windsor housing boom pressuring buyers

Windsor's hot housing market is pressuring buyers, forcing many to take drastic measures to compete in the race to buy a home, according to area realtors.

Home sales in the first half of this year have outpaced figures for the same time period last year, the Windsor-Essex County Association of Realtors reports. In May, sales jumped 18 per cent and prices spiked 13 per cent compared to May 2015.

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With homes getting as many as eight to 10 offers, area realtor Paul Renaud said potential homebuyers don't have as much leverage when trying to make a deal. It's forcing potential buyers to drop conditions or offer more than the asking price.

"It's getting the buyers out of their comfort zone when they're competing to try and get these houses," Renaud told CBC News. "All of the luxuries they've had to go conditional on financing, the sale of their home and an inspection are getting thrown out the window because of this fast-paced market."

He described a recent sale involving a 90-year-old home in Windsor's downtown core. He said five different offers had a conditional home inspection applied, but the seller was able to get the eventual buyer to drop that condition.

Though the realtors' association does not track the number of homes sold without conditions applied, association president Norman Langlois said he's seeing this situation too.

While he thinks getting a home inspection before purchasing a home is "the sanest thing you can do," asking for conditions could result in being undercut by another buyer. He said one solution for people looking to buy a home include the home inspection, but offer a higher purchase price.  

Bob Price, an area home inspector, said he's even seeing calls from new homeowners asking for an inspection after they've purchased their home. The pressure to buy was so great, they made the purchase first and asked questions later.

"The trigger is happening that day and the poor buyers of today are under a timeline," he said "They're coming in with no financing, no home inspections and keeping [their] fingers crossed. This is the new norm."