The dream of any home buyer is to drive up the street they dream of living on and finding every single home with a For Sale hammered on their front yard with all the homes asking the same price. The dream of the real estate brokerage industry is to have you drive you up that street and only seeing one home with a For Sale posted.
Myths about available inventory or the homes you can buy today (because they are the ones you are told you can choose from) have controlled the conversation on Home Buying for decades. These myths are all rooted in how the home selling infrastructure was more than half a century ago, how it has evolved and how it continues to exist today.
Expect for very very short time periods in Canada over the last 40 years the Available to be Purchased homes count often is 3 to 4 times higher than what is reported each month by organized real estate. Generally this means from 1980 through 2019 home buyers have been shown only between 25% and 33% of the homes they could actually acquire in a month. The real estate brokerage industry's reliance on listing contracts to be paid from is really the source of why these myths have become believed.
The real estate brokerage community has done an excellent job of selling the idea of what you are seeing today is what your choices are limited to. Sales commissions thrive on the public's reliance on age old housing market measures like Months of Inventory (MOI), Days on Market (DOM) or Sales to New Listing Ratios (S/NLR) or Sales to Active Listings (S/AL) counts in order to present a favourable opinion on using a Listing Brokerage to sell your home. The truth about this success or lack thereof needs to be understood in order to explain how available inventory as currently presented to home buyers really does not matter at all.
There is a reason why no documentation or peer reviewed study exists to support MOI, S/NLR or S/AL. The simple reason why the real estate brokerage community uses the reference "experts believe" or "experts claim" in their explanations of these metrics in press releases 100's of times each year is because the experts they are quoting are the same Listing Brokerages whose failure they are legally required to hide from the public.
It really is time for these Myths the end and for every home buyer to be shown the truth.
Myths about available inventory or the homes you can buy today (because they are the ones you are told you can choose from) have controlled the conversation on Home Buying for decades. These myths are all rooted in how the home selling infrastructure was more than half a century ago, how it has evolved and how it continues to exist today.
Expect for very very short time periods in Canada over the last 40 years the Available to be Purchased homes count often is 3 to 4 times higher than what is reported each month by organized real estate. Generally this means from 1980 through 2019 home buyers have been shown only between 25% and 33% of the homes they could actually acquire in a month. The real estate brokerage industry's reliance on listing contracts to be paid from is really the source of why these myths have become believed.
The real estate brokerage community has done an excellent job of selling the idea of what you are seeing today is what your choices are limited to. Sales commissions thrive on the public's reliance on age old housing market measures like Months of Inventory (MOI), Days on Market (DOM) or Sales to New Listing Ratios (S/NLR) or Sales to Active Listings (S/AL) counts in order to present a favourable opinion on using a Listing Brokerage to sell your home. The truth about this success or lack thereof needs to be understood in order to explain how available inventory as currently presented to home buyers really does not matter at all.
There is a reason why no documentation or peer reviewed study exists to support MOI, S/NLR or S/AL. The simple reason why the real estate brokerage community uses the reference "experts believe" or "experts claim" in their explanations of these metrics in press releases 100's of times each year is because the experts they are quoting are the same Listing Brokerages whose failure they are legally required to hide from the public.
It really is time for these Myths the end and for every home buyer to be shown the truth.
Members Learn More