After posting my last blog about buying a freehold home for $450,000 in 2015 in Markham and Richmond Hill, a number of readers commented in disbelief saying that home prices according to other sources are indeed much higher in their neighborhood.
I have to say $450,000 is the minimum budget to find a freehold home in the far corners Markham and Richmond Hill nowadays. Prospective buyers should expect these “budget-friendly” homes to be smaller than average, with narrower lots, sometimes with less efficient layout and in less than ideal location. I think it would still be worthwhile from an investment standpoint to try looking for a freehold home if about $450,000 plus closing cost is all you can afford. Due to the low supply and high demand for low-rise freehold homes, prices of freehold homes are going to grow much faster than their condo counterparts.
While we all know that location is everything in real estate, let’s look at what kind of freehold homes you can get with $450,000 and an extra 30 minutes of daily commute, in the Aurora community.
With an average townhouse prices of $509,875, more than 20% lower than the average prices in Richmond Hill, we have much more options in Aurora for a freehold home with the budget of $450,000.
Homes under $400,000 in Aurora in 2014
26 freehold homes were sold on the MLS in Aurora for under $400,000 in 2014. The lowest price freehold property was sold for $325,000 and is a charming but needing-lots-of-update century home in Aurora Heights. An average home in Aurora under $400,000 is 3 bedroom 2 baths, likely to be a semi-detached bungalow over 50 years old.
Homes in Aurora between $400,001 and $450,000 in 2014
Here’s a breakdown of the 71 Listings sold for between $400,001 and $450,000 in 2014, in the most popular neighborhoods in Aurora.
The community with the most homes between $400,000 to $450,000 is Bayview Wellington and Aurora Grove.if you are looking for a home in the budget of $450,000, you will most likely find a 15-20 years old townhome with 3 bedroom 3 baths,
The Bayview Wellington and Aurora Grove neighborhoods are centrally located in the heart of the Aurora, with close proximity to GO transit on Wellington between Yonge and Bayview and also shopping centers and restaurants along Bayview just North of Wellington. According to the neighborhood profile generated by the Statistics Canada Census Dissemination Areas data, the average age of residents at Bayview Wellington is around 35 years of age, over 60% are families with children, with an average household income of just over $100,000. About half of the adults have post-secondary degrees or diploma. Aurora Grove has a similar neighborhood profile with the average resident’s average age and income household slightly higher. Conclusion: these are perfect neighborhoods for young middle-class families!
So yes, if you are looking for a freehold home in 2015 and your budget is $450,000, you would want to look further than Markham and Richmond Hill to increase your chances. You should consider looking in Aurora as well as there are good quality homes in relatively convenient location and great, family-friendly neighborhoods.