The real estate market in Windsor, Ontario, is booming. However, this boom has left many Windsorites feeling left out, unable to fulfill their dream of owning a home. Elizabeth Ward, a 28-year-old Windsor resident, expressed her frustration: "I'm probably never going to own a home unless the market crashes."
Ward and her partner have been searching for a home within their $200,000 budget for the past couple of years, but they quickly realized they couldn't compete with the bidding wars. "We look and then we get discouraged, and then we give up," Ward lamented.
Although Windsor is considered relatively "affordable" compared to other markets, Ward believes it is only affordable for people from outside the area. According to Maggie Chen, a broker of record with LC Platinum Realty, most buyers in Windsor are from outside the region.
But what can an average income buy in Windsor? According to Rasha Ingratta, a Windsor mortgage agent, with a $65,000 income, one could get a mortgage of about $300,000. However, data from the Windsor-Essex County Association of Realtors (WECAR) showed that only 15% of homes sold in January 2021 were within this budget. The prices of homes in Windsor have increased significantly in recent years, making it difficult for many to afford a home.
Looking ahead, Chen doesn't anticipate the market slowing down. With high demand and low supply, prices continue to rise. Chen advises people on a tight budget to "lower their expectations" and act quickly when a property within their affordability range becomes available.
As Windsorites struggle to enter the market, the cost of rent is also increasing. Ward and her partner are considering larger apartments for their family, but the soaring rents have them worried.
Despite the challenges faced by local residents, Chen believes that Windsor is still catching up to other cities and that the market will not crash anytime soon.
According to the Canadian Real Estate Association, Windsor's average house prices are going up, but are still below the average prices in other Ontario cities.
Rasha Ingratta is a mortgage agent in Windsor.
Broker of Record Maggie Chen says it's tough, but it's not impossible to buy a home on a tight budget in Windsor-Essex.
Elizabeth Ward and her partner Kyle Snively qualified for a $200,000 pre-approval rate a couple of years ago but say it wasn't enough to compete.