A candid conversation with industry veterans reveals what's really happening in today's challenging real estate landscape
The numbers tell one story about today's real estate market, but the voices from the trenches tell another. In a recent conversation with seasoned real estate professionals from Toronto and British Columbia, we uncovered the harsh realities that agents, buyers, and sellers are facing in what many are calling one of the most challenging markets in recent memory.
When "Getting the Deal Done" Becomes an Ordeal
"It is absolutely exhausting to put a deal together now," shared one Toronto-based agent who recently closed a transaction after a grueling three-month extension period. "Once you get the deal together, you've got to promise all this other stuff just to massage the person to even want to go through with it."
This sentiment echoes across the industry. Agents are finding themselves going far beyond traditional real estate services, essentially becoming project managers, therapists, and sometimes even financiers. Stories emerged of agents offering to pack entire homes, finish basements, or even lend money just to keep deals alive.
The New Reality: Firm Deals with Unfirm Foundations
What's particularly striking is how transactions that appear "firm" on paper are anything but stable in practice. Even with ironclad contracts where "no one can back out," concessions and last-minute demands have become the norm rather than the exception.
One agent described a recent situation where tenants who had initially agreed to lease terms suddenly changed their demands after paperwork was signed. "Everyone says it's no problem when you're signing the paperwork, but once it's signed, then everyone goes, 'Oh, well, we want these demands. We have that demand.'"
Huge Emotional Toll on Sellers
Perhaps most telling was the story of an elderly couple in their 80s who had already moved to a retirement home but were clinging to unrealistic expectations for their property. After being listed with four different agents over two years, with prices dropping from $5.5 million to projections of $2-3 million, they still hadn't accepted market reality.
This disconnect between seller expectations and market reality has created a standoff that's particularly painful for those who must sell due to life circumstances rather than choice.
The Condo Conundrum
The conversation revealed a stark divide in the market, with condos bearing the brunt of the downturn.
In Toronto alone, there are over 8,600 condos currently for sale, with nearly 1,700 units under 600 square feet comprising 21% of all condo listings.
"Until we get inventory down or prices down significantly—another 10% from where we are right now—I think they'd start moving again," suggested one Toronto agent. The challenge is compounded by an influx of assignment sales from buyers who never intended to close, creating additional downward pressure on an already saturated market.
Finding Opportunity in Adversity
Despite the challenges, successful agents are adapting and finding ways to serve their clients effectively. The key appears to be radical honesty about market conditions, even when it means losing listings to competitors who promise unrealistic outcomes.
"I told them the truth. That's it," said one agent who walked away from a listing rather than make false promises. "I'm not going to lie to you just to get your listing."
Looking Ahead: When Will Normal Return?
The consensus among these industry veterans is sobering: the market won't return to "normal" anytime soon. Interest rate cuts alone won't solve the fundamental issues of oversupply and buyer hesitancy. Most believe the market needs to stabilize for at least six months after the Bank of Canada stops cutting rates before any meaningful recovery begins.
"Nothing's going to change. It doesn't matter if Bank of Canada cuts two or three more times," observed one agent. "The market doesn't turn around till the bank stops cutting for at least six months."
You need a closing partner that will bring the deal to the finish line
At Deeded, we understand that behind every transaction are real people navigating significant life decisions in an unprecedented market environment. Our commitment is to provide the tools, insights, and support that make these challenging transactions more manageable for everyone involved.
The current market demands more transparency, better communication, and innovative solutions—exactly what our team of experienced lawyers deliver. While the challenges are real, so are the opportunities for those willing to adapt, embrace technology, and maintain unwavering honesty with their clients.
The market will eventually stabilize, but until then, success belongs to those who can navigate complexity with integrity and innovation. That's the Deeded difference.
Unlock Your Seamless Closing Experience
Your Journey to a Worry-Free Closing Starts Here!
