Examine issues that may affect resale when investing in a home
By Joseph Marovitch
Updated September 18, 2025
I sold a duplex in Westmount to a buyer who stated they would only be leaving the house feet first. In other words, the buyer had no plans to move until death. Except, the buyer’s children had grandchildren, and the buyer decided to move to Vancouver, where the rest of the family was.
While owning the duplex, the buyer ripped out the recently installed beautiful kitchen to make it more of an office/kitchen. It was practical for the owner but for no one else. The buyer lost money when selling because the new buyer wanted the property and a nice kitchen.
When purchasing a property, consider how easy it will be to sell. In other words, consider resale value when purchasing.
One of my corporate clients had a five-year contract to work in Canada. The client was permitted to purchase a property while residing in Canada, with the prospect of living in the house and selling at a gain when it was time to leave. Immediately upon possession, the buyer painted the walls in the colours of the client’s country of origin. The colours were bright, a mix of reds, pinks, and yellows.
Two months after taking possession of the house, the company informed the client that he was to be relocated to another international location. My client immediately called me and asked, with urgency, to sell the house we had just purchased. I suggested painting the house in a neutral colour. The client refused. During the time I was selling the property, the client had already been relocated and was paying the carrying cost on a property he no longer lived in.
Eventually, within six months of listing the property, a price was accepted that was lower than the purchase price, and a penalty had to be paid on cancelling the mortgage before expiry. When purchasing a property, consider how easy it will be to sell. In other words, consider resale value when purchasing.
‘When searching for a home, in considering resale, price and location play a large factor.’
Some people purchase a property with the idea that they are never going to leave that property. We are all part of the circle of life. We have no choice. We are born into our parents’ home. We move to our first apartment. We marry and buy our first house or condo. We have children and need a larger home. The kids move out, and we need a smaller home. We get old and require assisted living, therefore, perhaps move to a retirement home. Other reasons to move are financial or work-related. People move, and consequently, resale must always be considered.
When searching for a home, in considering resale, price and location play a large factor. Is the price fair, and is the location good? Will I get my money back when I sell, and will the property be easy or difficult to sell? This is the beginning of the process.
Now you have purchased the home, and you want to decorate. You like the colour pink, but does everyone else like pink when it is time to sell? You want more living space, so you decide to make the house larger, which means sacrificing space in the backyard. When it is time to sell, does everyone else like a small backyard?
It is important to get the best price when buying, but it is also important to choose the best location possible within your budget. A property should be as easy as possible to sell when the time comes. If you get a great price for a property next to a highway or by train tracks, it may take a very long time to sell, and you could even lose money.
‘Buyers are attracted by spacious rooms, nice bathrooms and up-to-date well-designed kitchens.’
Neutral colours in a home, such as off-white, creams and other light colours, are better for resale. Buyers are attracted by spacious rooms, nice bathrooms and up-to-date, well-designed kitchens.
Some issues that affect resale negatively are:
- The price is too high
- The condition of the house is poor
- The appearance is poor
- Dated bathrooms
- Dated kitchen
- Small bedrooms
- Tandem or no garages
- Pools can be a non-starter for families with young children
- Location near a highway, train track or school
These are just a few issues that can generally negatively affect resale. It is better to realize these issues at the beginning than to find out at the end when selling.
The information in these articles is summary. Should you have questions, comments or wish to discuss further, please refer to the comments section at the bottom of the page or contact me directly. As well, to view past articles, click here.
State of the market
On September 17, 2025, the Bank of Canada reduced the interest rate by 0.25 basis points to 2.5% from 2.75%, stating that the reason for the cut is Canada’s weaker economy and a lower risk of inflation, which is currently 1.9%.
While the Canadian economy may be weaker, the Montreal real estate market can be described as having stronger demand and less supply, though supply appears to be increasing. Generally, increased demand and lower supply cause prices to rise.
‘… buyers should be provided detailed analysis of all factors, present and future, that can affect their investment so they can make a fully informed decision when purchasing.’
However, other factors pose challenges for buyers, depending on the type of buyer (e.g., first-time buyers), the municipality (affordability), and politics, both in Canada and internationally (tariffs, conflicts, policies regarding health, the environment, and education, among others).
Buyers should be fully informed of the current economy and real estate market, possible future effects and risks of geopolitical factors in terms of carrying costs, along with all the pros and cons of various neighbourhoods and their pricing and resale trends.
Basically, buyers should be provided with a detailed analysis of all factors, present and future, that can affect their investment so they can make a fully informed decision when purchasing.
For further discussion, leave a comment or call me directly.
Have a great week!
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Image: Gilles Douaire via StockPholio.net
Other articles by Joseph Marovitch
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Joseph Marovitch has worked in the service industry for over 30 years. His first career was working with families from Westmount and surrounding areas, hosting children between the ages of 6 and 16 as the owner and director of Camp Maromac, a sports and arts sleep-away summer camp established in 1968. Using the same strengths caring for the families, such as reliability, integrity, honesty and a deep sense of protecting the interests of those he is responsible for, Joseph applies this to his present real estate broker career. Should you have questions, please feel free to contact Joseph Marovitch at 514 825-8771, or josephmarovitch@gmail.com [/col][/row][row cols_nr=”2″][/row]
