This house hunting thing is getting old real quick. It used to be fun wandering around people's houses, imagining us living there, and then at some point it stopped being fun and got tiring. Possibly when we lost our first bidding war. The house needed a lot of updating, but passed the home inspection. It had five bedrooms, a finished basement, and a two-car garage, all just around the corner from where we're living now in downtown. It was listed at $499k, but probably should have been listed at $570k. Our top bid was $601k and it went for $605k. While five people made offers, it came down to us and the winner.

Now we're starting to be suspect of houses that are too underpriced, because the agent and/or owner are clearly creating a bidding war situation. But even houses that are priced appropriately are going over. Hell, we got over-asking on our house and we only had one offer.

Some people are telling us to move out to the 'burbs, where prices are more affordable and there is more inventory, but I would rather put the cost of commuting into a higher mortgage on a city home. 

We're pretty close to deciding not to enter into another bidding war situation but I can't be sure I won't fall in love with a house and decide to have it at any cost. No matter what anyone says, buying a home is mostly emotional. We saw the house we lost on Friday and had to make an offer the following Monday, including making a home inspection. That's not a lot of time to ponder whether this is the house you want to live in for the next 20 years. But that's the way it's rolling in TO now. 

KJ Duck, a member of the Julie Kinnear team, has been working as an agent in Toronto for seven years and says you can never be surprised by how the market acts. "We're still in what feels like a spring market," he says, "and, with low inventory and low rates, combined with a backlog of buyers, it's a hot market again with many houses going 6% to 8% over asking."

To make sure you get what you want, work with a good agent who can help you win the house without paying through the nose.

Next week: Pity the seller who has a great house but scary-looking neighbours. We won't even get out of the car, dude.

Previously: Home Hunting 

Reni Walker (AKA Scotch Mommy on slice.ca) shares her moving mayhem Wednesdays.