The True Cost of Waiting for Lower Interest Rates: A Deep Dive into Home Buying Strategy

In the ever-evolving real estate market, one question seems to perennially loom over prospective homeowners: "Should I wait for interest rates to drop before buying my dream home?" It's a complex decision, with potential savings in interest payments on one side and the risk of rising property prices on the other. Let's explore what waiting for that seemingly perfect interest rate really means for your wallet and whether it truly aligns with smart home buying strategy.

The Interest Rate Dilemma

Imagine you've found your ideal home priced at $445,000. The thought crosses your mind: would it be wiser to wait for interest rates to fall? After all, even a 0.50% drop in rates could save you a significant amount in interest over the years.

Taking a hypothetical scenario where waiting does result in a 0.50% rate reduction, you could save around $10,547 in interest over five years. At first glance, waiting appears financially savvy. However, this calculation doesn't consider the full picture.

The Reality of Real Estate Prices

While you wait for rates to drop, the real estate market isn't standing still. Property prices tend to increase, especially when interest rates decrease and more buyers enter the market. This influx of buyers, driven by the more attractive rates, can push prices up due to increased demand and limited supply.

If the type of home you're eyeing appreciates by $20,000 to $30,000 during your waiting period, the initial savings on interest quickly diminish. In essence, the delay could end up costing you more than if you had purchased the home at the higher interest rate.

Timing vs. Opportunity

The timing in the housing market is a delicate dance. While aiming for the perfect moment to buy can seem like a prudent strategy, it often leads to missed opportunities. The market's unpredictable nature means prices could escalate beyond your savings on interest rates, leaving you in a less advantageous position.

The Bigger Picture: Saskatoon's Real Estate Market

To put this discussion into context, let's look at the current dynamics of the Saskatoon real estate market:

Active Listings: Sitting at 548. While new listings have slightly increased by 2% for the month, they've decreased by 5% YTD, suggesting a tightening inventory.

Sales Increase: There's been a notable +22% rise in sales, both monthly and year-to-date (YTD), highlighting a bustling market.

Sold Properties: With 309 properties sold, it demonstrates robust activity.

Comparison to Last Year: Sales have surged by +56 units sold compared to the previous year, further emphasizing the market's growth.

Average Sale Price (YTD): The average sale price has reached $374,787, marking a 6.3% increase from last year, illustrating the upward trend in property values.


Navigating the decision to buy a home amidst fluctuating interest rates and changing market conditions can be daunting. However, understanding the broader implications of waiting for the perfect rate is crucial. The Saskatoon real estate market statistics serve as a tangible reminder of the market's dynamic nature and the importance of weighing the potential cost of waiting against the backdrop of overall market trends.

Ultimately, the decision to buy should align with your financial readiness and personal circumstances, rather than trying to time the market perfectly. Remember, the right time to buy is when it feels right for you, keeping in mind that the market waits for no one.

As always, if you have any questions about the current market conditions in Saskatoon, please reach out to us. We are always happy to help!

๐Ÿก Tait Real Estate - Realty Executives Saskatoon ๐ŸŒŸ

Saskatoon's Premier Real Estate Experts

Jamie Tait
๐Ÿ“ž Phone: 306-203-0004
๐Ÿ“ง Email:

Ross Tait
๐Ÿ“ž Phone: 306-230-2338
๐Ÿ“ง Email:


Letโ€™s talk about why Saskatoon is still a hot pick for buying a home, even with those pesky rising interest rates.

First things first, did you know Saskatoon is one of Canada's most affordable cities for real estate? That's right! While places like Toronto and Vancouver might have you emptying your pockets, Saskatoon offers amazing homes that won't break the bank.

Now, you might've heard that in some cities in Canada, home sales are slowing down because of higher interest rates. But guess what? In Saskatoon, weโ€™re seeing a different story. Homes here are selling super fast. Itโ€™s like everyone wants a piece of this lovely city. Given these strong sales and affordable prices, there's a good chance your new home in Saskatoon could increase in value over time. Sounds like a smart move, right?

Letโ€™s chat a bit about interest rates. The Bank of Canada says they're likely to keep them around 5.0% for a while. This means things are a bit more predictable, which is great when you're thinking about buying a home.

Hereโ€™s a quick history lesson for you: Back in 1971, mortgage interest rates were 7.33%. And guess what? If someone waited for those rates to drop, they would've been waiting until 1993! Thatโ€™s 22 years! Meanwhile, house prices just kept climbing. The takeaway? Waiting for the perfect time to buy could mean missing out on some fantastic growth in your investment.

So, whatโ€™s our advice? When it comes to buying a house, think of it this way: "Marry the house, date the rate." This means find a house you love and stick with it. Interest rates? Theyโ€™ll go up and down, but a good home is forever.

Wrapping it up, buying a house in Saskatoon is still a wise choice, even with the interest rates doing their thing. The city offers great prices, and the market is buzzing with activity. In the world of real estate, the best time to start is now, with an eye on the future.

So, as youโ€™re looking for your next home, keep these thoughts in mind. Saskatoon's blend of affordability and a lively market scene is a rare gem. Stay smart, think long-term, and happy house hunting in Saskatoon!

๐Ÿก Tait Real Estate - Realty Executives Saskatoon ๐ŸŒŸ
Saskatoon's Premier Real Estate Experts

Jamie Tait
๐Ÿ“ž Phone: 306-203-0004
๐Ÿ“ง Email:

Ross Tait
๐Ÿ“ž Phone: 306-230-2338
๐Ÿ“ง Email:

๐ŸŒ Website:

Reach out today and let's make your property dreams a reality in the heart of Canada!


"Saskatoon Shines: 10 Unbeatable Reasons It's Canada's Ultimate Living Destination!" ๐ŸŒŸ๐Ÿก๐Ÿ

Saskatoon, often dubbed the "Paris of the Prairies," is a charming city in Saskatchewan, Canada. While its beauty, culture, and community spirit are undeniable, real estate statistics also paint an appealing picture. Here are the top 10 reasons why Saskatoon is the best place to live in Canada based on real estate:

  1. Affordability: According to the Canadian Real Estate Association (CREA), Saskatoon has some of the most affordable home prices in Canada, especially when compared to cities like Vancouver, Toronto, and Calgary.

  2. Stable Market: While some Canadian cities have experienced volatile real estate markets, Saskatoon's market has remained relatively stable. This means fewer housing bubbles and more predictability for buyers and sellers.

  3. Growing City, Growing Opportunity: Saskatoon is one of the fastest-growing cities in Canada. As the city expands, new housing developments and neighborhoods are sprouting up, offering diverse living options.

  4. Low Property Taxes: Compared to other major cities, Saskatoon boasts lower property taxes, which can save homeowners thousands over the life of their mortgage.

  5. Balance of Urban and Natural Beauty: Saskatoon offers a mix of modern urban development and natural beauty. The city is divided by the South Saskatchewan River, offering numerous waterfront properties and scenic views.

  6. Investment Potential: With a strong economy driven by industries such as mining, agriculture, and education, Saskatoon's real estate offers promising returns on investment.

  7. Ample Land Availability: Unlike cities constrained by mountains or oceans, Saskatoon has ample land, which means more housing options, larger plots, and room for the city to grow.

  8. Diverse Housing Options: From condos in the heart of the city to large family homes in suburban neighborhoods, Saskatoon caters to a variety of lifestyles and budgets.

  9. Green Initiatives: Saskatoon has embraced sustainability with various eco-friendly developments, green building initiatives, and environmentally conscious city planning.

  10. Sense of Community: Many residents and real estate agents often talk about Saskatoon's tight-knit community. This community spirit translates into neighborhoods that people care about, with residents investing time and money into their properties and their surroundings.

In conclusion, while many factors make a city desirable, Saskatoon's real estate stats bolster the argument for it being one of the best places to live in Canada. Whether you're looking for a great investment or a great place to call home, Saskatoon has a lot to offer.

Contact us if you have any questions about buying or selling in Saskatoon. 

๐Ÿก Tait Real Estate - Realty Executives Saskatoon ๐ŸŒŸ
Saskatoon's Premier Real Estate Experts

Jamie Tait
๐Ÿ“ž Phone: 306-203-0004
๐Ÿ“ง Email:

Ross Tait
๐Ÿ“ž Phone: 306-230-2338
๐Ÿ“ง Email:

๐ŸŒ Website:

Reach out today and let's make your property dreams a reality in the heart of Canada!


Saskatoon Real Estate Market Update - August 2021

Even though we aren’t quite ready for summer to be over, we are getting closer to cooler temperatures and the fall real estate season in Saskatoon. We are going to share what we can expect from the rest of the summer real estate market and how we think it might change as we move into the fall.

But first, Let's look at the stats from the past month...

In July, there were 488 homes sold, which represents a slight decrease in sales of 10.8% compared to July 2020, where we saw 547 sales. Keep in mind that sales in July 2020 were extremely high, and even the 488 sales we saw this month is still 25% more than July 2019. Even though this is the first month in 2021 where sales have been down a bit, compared to a regular year, like between 2017 - 2019, these sales volumes would still be considered very strong.

Currently there are approximately 1464 active listings on the MLS. 758 of those were new listings posted in July which is down 7% compared to July 2020, where we saw 816 new listings.

The average sale price in July 2021 was $366,416. This is an increase of almost +7% YTD compared to this same time in 2020.

In the first half of 2021, we saw an extremely HOT sellers market in Saskatoon with high sales volumes and low listing inventories.

With more and more restrictions being lifted in Saskatoon, things are starting to feel a bit more normal. We are starting to see people get back to their regular routines by going out to dinner more regularly, planning fall and winter vacations and spending more money on entertainment. This increase in spending may be resulting in less funds available to spend on real estate and might be contributing to sales slowing down a bit.

This is good news for buyers, because based on the rules of supply and demand, if sales start to slow down, and inventories start to rise, that creates a greater selection of homes to choose from in Saskatoon for buyers. So if you’ve been waiting to pull the trigger on buying a new house, this fall might be the perfect time to start searching for your dream home. Reach out to us and we would be happy to get a plan in place to start your home search.

For sellers, low interest rates continue to support a strong sales market. There are lots of potential buyers looking to upsize, downsize, or to buy their first home.

As always, if you would like any information on buying or selling your home in Saskatoon, don’t hesitate to contact either one of us.

Thanks again and see you next month!


Saskatoon Real Estate Market Update - June 2021

Summer is almost officially here, and the weather is getting hotter in Saskatoon! Can we expect the summer real estate market to stay hot as well?

Our Summer 2021 Real Estate Market Preview is here! We are going to review the stats from the past month, and share our predictions for the summer season, and what you need to know if you plan to buy or sell.

Let’s take a look at the stats from May 2021...

Home sales are very strong

In May, there were 576 home sales which represents an increase in sales of +77% compared to May 2020 where we only saw 326 sales.

This is the third month in a row where sales have been over 500 homes - there were 570 sales in March, 550 in April and now 576 in May. This is an unusually high volume of consistent sales. The big question is, will this be able to continue?

If we try to determine the possible underlying cause for these consistently strong sales volumes, we could use the theory that COVID-19 has left many people with more disposable income right now as they aren’t spending money on things like vacations and going out. People have also been at home more, and have become more aware of some of the limitations to their existing spaces, like a lack of home office space, or recreation space. More people have the money available right now to consider upgrading their space to something that solves those problems.

This means that when things start to return to normal, with more vaccinations, and the relaxing of all of the restrictions, and people start spending what they used to spend, or more, on vacations and going out, this could result in less funds available to spend on property.

This leads to our prediction that this strong market will likely continue over the next couple of summer months while COVID-19 restrictions are still in effect, but as things relax in the fall we could see a softening of the market.

Inventories are going up

2021 started with extremely low listing Inventories, but we have seen an increasing number of listings being added to the MLS each month. There are currently approximately 1544 active listings on the MLS. There were 1015 new listings posted in May which is up +34% compared to May 2020, where we only saw 755 new listings.

When you consider the supply and demand equation, the more listings there are available in the market, the more competition there is for your property. If the number of listings continues to rise, this will eventually slow down the sellers market a bit. But we don’t expect to see this until closer to the fall.

Home prices surge

We’ve also seen a consistent surge in home prices over the last several months. In January, we started the year with an average sales price of $348,352, then $353,542 in February, $362,222 in March, $372,532 in April, and then $386,578 in May. May’s average sales price is an increase of almost +7.6% MTD compared to May 2020.

Part of the reason for this surge in average home prices is the significant increase in sales in homes over $750,000. In May, there were 6 homes sold that were worth over a million dollars. This is an unusually high volume of sales in that price category for one month. This increase in high worth property sales, does influence the average sales price overall.

So...after reviewing the stats from May, and our predictions for the rest of the summer, what does this mean for you as a buyer or seller?

What does this mean for you?

As a seller, it means that you should consider getting your home on the market sooner rather than later, as right now is still an IDEAL time to list your home in Saskatoon.

We are optimistic that this hot market will likely continue over the next few summer months, but once things start returning to normal we predict it might be hard for these current market conditions to continue. So to reiterate NOW is the time to get your home listed! Don’t wait!

For buyers, we are seeing more and more listings being posted to the MLS. This means there continues to be more selection for you to choose from when searching for your dream home. We can help guide you in the offer process to ensure you have the best chance of getting the home you want, when you find it.

As always, if you would like any information on buying or selling your home, or about the real estate market in general in Saskatoon, don’t hesitate to contact either of us.

Thanks again and see you next month!


November Market Update - Why December is a great month to sell your home

With the cooler temperatures outside, you would normally expect to see the real estate market cool off...but that is not what we saw this past month.

In October we saw 430 home sales, which is a super high number for this time of year. This is actually the same number of sales we saw in September.

430 Home Sales

Historically at this time of year, things begin to wind down, social activities begin, and the market starts to cool off. For example, in October of 2019, we only saw 307 home sales. So that means for this October we are up 41.5% in homes sales compared to last year.

We commonly hear from clients that they think they should wait until spring to get their home on the market...but we want to show you why we think December is actually a great month to sell your home.

To prove our point, we wanted to collect some historical, end of the year data...and after digging around a bit, we found a trend that we had to share.

Sales to listings ratio

We went back a few years, and decided to look at sales to listings ratios. Sales to Listing Ratios measure supply and demand by simply dividing the number of sales by the number of new listings. It is a good indicator of the speed at which homes are selling.

Sales to listing ratio comparison

In 2017, the sales to listing ratio for the year was 38.9%, but in the month of December the sales to listing ratio jumps to 63.8%.

In 2018, the ratio was 41.7% for the year, but 52.7% in December.

In 2019, the ratio for the year was 46.5%, but then 67.2% in December.

When you average out those 3 years, you have an average sales to listing ratio for the year of 42.4%, but in December the average is 61.2%.

This means, over the last three years, December has provided homeowners a 18.8% greater chance to sell their home compared to the rest of the year.

December provides better chance of selling

In 2020, COVID-19 may impact the sales to listing ratio even more, as we’ve already seen that October was a very strong month. We may find that December proves to be once again a stellar month, and it could be a great opportunity to sell your home.

If you have a home to sell, there is still time to get your home on the market to take advantage of the December upswing. If you have any questions about this, or specifically about your home, we would be happy to go over everything with you.

Thanks and have a great November!


September Saskatoon Real Estate Market Update

After three months of an extremely HOT real estate market in Saskatoon, we are cautiously optimistic that this upward trend may now be here to stay for a while. We want to share why we think this means it's the perfect time to sell your home in Saskatoon, and what you need to know about the real estate market right now as a buyer.

Saskatoon Hot Real Estate Market Update

As the summer began, after the first initial shock of COVID-19, we started to see the real estate market heat up. At that time, we both thought that the increase may have been just an initial reaction to the pandemic, and that these conditions might not last very long.

However it looks like it might not be as short term as we initially thought. Sales volumes and average sales prices have steadily increased and home inventories have continued to stay low.

Home sales and prices have increased

In June, home sales were up +37%, and then in July they were up +41% and now once again in August they are up +41.9% for the month and +8.84% for the year. This past month there were 461 sales, as compared to 325 in August 2019, which is 136 more sales during this time.

We’ve also seen a consistent surge in home prices over the last three months. In July, the average sales price was up +5.6%. This past month, the average sales price was up +9.6% for the month of August and +4% for the year.

Inventory is down in Saskatoon

Inventories have also been consistently low over the last three months. In July listings were down 9% for the year, and this past month listings are down once again -6.9%.

After three consistent months of these conditions, we are starting to feel cautiously confident that this isn’t a fluke, and that this hot market may continue even into early 2021.

So...what does this mean for you?

It means that it is a GREAT time to sell your home in Saskatoon. Especially, if you have a home that fits into a couple of specific categories in the market.

Its a great time to sell in Saskatoon

Homes between 300K - 500K are in very short supply right now. It is a sellers market in this price range, and we are seeing homes on the market sell extremely quickly and with multiple offers. If you have a home to sell in this price range, this is the time to get it on the market.

Detached condos are also in very low supply. There were only 19 active listings in this category in August, and there are active buyers waiting for properties to purchase.

There were 67 sales of homes over 500K in August. This is a very high volume of sales compared to the last couple of years. If you have been waiting to sell your home in this category, now is the time to take the leap and get it on the market.

The other factor that is heating up the Saskatoon real estate market is extremely low mortgage rates. This is great news for buyers, as it makes affording a new home that much easier.

Mortgage rates are low

We recently chatted with Deb Murdoch, a mortgage broker from TMG (The Mortgage Group) about what she has been seeing for rates.

The Best 5 year fixed rate is 1.89%
If your purchase price was $350,000 & your down payment was 5% your resulting bi-weekly accelerated payment would be $723 ($1446/month).

The Best 5 year variable rate is 1.8% (prime - .65%)
If your purchase price was $350,000 & your down payment 5% your resulting biweekly accelerated payment would be $715.573 ($1431.14/month)

Her recommendation is to take a 5 year fixed rate as it is guaranteed for 5 years.

She told us that she has been hearing that the interest rates are going to stay low until 2023. Maybe not as low as they are right now, but still low. OSFI, Canada’s banking regulator is starting to make some changes (ie: mortgage deferrals) due to the economy right now, so we would expect slight changes as we go along.

Now more than ever before, with the market as hot as it is right now, it’s important to rely on a realtor you trust for guidance.

For buyers, we have been seeing multiple offer situations, and some homes selling over ask. We can help guide you in the offer process to ensure you have the best chance of getting the home you want, when you find it.

For sellers, in this vibrant market, we will help you create an effective strategy for marketing, pricing, and negotiations, as transactions aren’t as cut and dry as they might have been before.

As always, if you would like any information on buying or selling your home, or about the real estate market in general in Saskatoon, don’t hesitate to contact either of us.

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