Home Buying 101 — Luxury Homes in Toronto

January 19, 2023

You may have seen properties advertised as “luxury homes” all across the GTA. However, this term is not just an adjective used to hype up the listing. There are distinctive ways to determine whether a home is a “Luxury Home” or a premium home on the market. And, yes! There are a wide variety of luxury homes across the GTA for sale right now. Let’s dive into what luxury means as a seller or buyer in today’s real estate market.

  1. Okay, this is an easy one. You can tell by looking at it that it is a luxury home!

High ceilings with hundreds of chandeliers, a penthouse suite, an indoor swimming pool, or maybe even a bowling alley in the basement! Judging by the price and renovations, you can tell if a home is classified into the luxury real estate category. Marketing one of these homes is all about prestige and what the buyer wants in terms of their own perspective of a luxury home. It’s important to get as much detail about what is included in the purchase ahead of making an offer, so you’re not paying for luxury furnishings that you won’t receive! Just because it’s shown in the picture doesn’t mean it’s included… Make sure to ask for clarification and review the detailed lists of inclusions and exclusions before making or accepting an offer.

  2. There are many luxury home options in the Toronto real estate market.

Do you want a penthouse suite in downtown Toronto? Or maybe a luxury property in the suburbs of Woodbridge? Do you want to move north of the city and find a 2-acre estate in King? There are so many options around the GTA to choose from. Create a plan by narrowing down the properties based on what you “must” have and stick to it. Prestige properties generally offer nearby amenities and facilities that can offer lifestyle-oriented solutions for your personal needs – be it for recreation and sporting activities, to spas and personal wellness options. Be sure that the surrounding area offers a good blend of options in the nearby vicinity that will meet your needs in the years ahead.

  3. Do not get distracted by the shiny furnishings

Sure, a wall of mirrors by the front door looks stylish, but didn’t you say you wanted lots of storage space in the front hallway? It’s easy to get distracted by all the features and upgrades but stick to the stuff that matters to you to determine the home’s value. Make that wishlist and make sure those boxes are checked off when it comes to making an offer. Also, while it’s easy to see what’s in place, but also asks about what might be missing. Do you want a heated driveway? Inground sprinkler system? Is there a pot filler over the cooking range in the kitchen? Do you need a premium sound system or security features? Be sure to ask about items that should meet the standard of a “luxury” property in the local market that you are visiting – you may be surprised to learn about all of the features and upgrades that are now available to cater to your needs!

  4. Know the housing market.

Make sure you’re working with a realtor who is familiar with the market and who can work with you to establish current market values based on reliable recent data and sales. Don’t just assume that the house is priced correctly, and not all homes are built to the same standard. Understanding the relative values of things like fittings, fixtures, embellishments, additions, renovations, and technical upgrades is vital when buying into the luxury housing segment. Some items add value, and the lack of some items can also carry a heavy negative impact on value. Be sure to ask what should be expected to be in place across different price points and across different types of inventory. For example – new condos should have EV car chargers in place. Many newer homes also include gas turbine backup generators in the event of an interruption of power due to severe weather etc. Understanding what the product should include is a major part of any acquisition.

  5. Listing agents are normally present for showings at all times.

When shopping for a luxury property, very often the listing agent will be in the home while you are viewing the property. Do not let the listing agent distract you from investigating the pros and cons of the property. At the end of the day, it’s your investment and your potential home. Having the listing agent on site can be beneficial because you can direct questions to the listing agent right away. However, you should keep discussions about the price and any negotiations, between you and your real estate agent (remember – the listing agent is representing the Seller, so don’t share any information that could be detrimental to your position). Keep your conversations cordial, and hold off on having any private conversations until you are off-site.

  6. Work with a real estate agent that understands buying and selling luxury homes.

While the price of luxury houses may be higher, the premise of buying and selling is still the same. As a professional real estate collective that knows the GTA inside and out, we can help you find the perfect neighbourhood to start your search. If you’re ready to get started reach out to us at Royal LePage Terrequity Shirriff Wells Real Estate Brokerage. We are always happy to answer your questions, and most importantly, to help you find your dream home. From big to small, we sell them all! Give us a call at 416-495-2746 today. Your luxury lifestyle awaits in Toronto or the surrounding GTA!