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Sept. 1, 2017

Calgary Housing Stats August 2017

Housing recovery a balancing act

Growth in new listings outpaced sales preventing inventory declines

Calgary, Sept. 1, 2017 - Sales posted a modest gain in August, but a rise in new listings kept inventory levels elevated...Read more

 

 

 

Aug. 1, 2017

Calgary Housing Stats July 2017

Housing recovery remains a work-in-progress

City of Calgary, Aug. 1, 2017 – Sales exhibited stable growth through the first half of the year in the Calgary housing market, but the number of transactions slowed slightly in July compared to last year...... read more.

July 4, 2017

Calgary Housing Stats June 2017

June spells a gradual recovery

by CREB on July 04, 2017 

Click here to view the full City of Calgary monthly stats package. 

Click here to view the full Calgary region monthly stats package.

Stable prices in detached sector signal balanced conditions despite increased inventory 

Calgary’s housing market in June saw a modest improvement in sales along with an increase in new listings.  

However, demand gains have not kept pace with a number of new listings coming onto the market. This caused inventory levels to increase to 6,659 units, which is 11 percent higher than last year’s levels. 

Despite the recent shift in inventory this month, second quarter activity continues to demonstrate improved supply-demand balance and price stability. Citywide benchmark prices totaled $441,500 in June. This is a 0.5 percent gain over last month and nearly one percent higher than last year. 

“The supply gain this month will be monitored. However, on a quarterly basis, inventory levels remain comparable to last year, sales have improved and there have been modest price gains. All of this remains consistent with expectations of a gradual recovery,” said CREB® chief economist Ann-Marie Lurie.

Year-to-date residential sales in Calgary totaled 10,322 units, which is 12 percent above last year’s levels. New listings increased by three per cent over the same time period. 

Overall, both the sales-to-new listings ratio and months of supply have trended down this year. This signals more stable pricing in the housing market this year. 

“While there were many buyers waiting for lower prices to step into the housing market, there were also many sellers waiting until prices stabilized before listing their home,” said CREB® president David P. Brown. 

“Some of this recent growth in listings will help provide more choice, particularly in the detached market where market conditions had significantly tightened over the past few months.”

Detached inventories and sales totaled 3,224 and 1,385 units, for a month of supply of 2.3 in June. Despite the recent rise in supply, over the first half of this year inventories have averaged 16 percent below last year’s levels while sales are 13 per cent higher, keeping this segment in more balanced conditions.  

While activity is also improving in the attached segment of the market, resale activity in the ownership of apartment-style product continues to face challenges with weak sales relative to listings and rising months of supply. 

As of June, the unadjusted benchmark price for an apartment style product totaled $265,800. This is nearly four percent below last year’s levels and 11 percent below recent highs.

 

June 2, 2017

Calgary Housing Stats May 2017

Home prices remained stable in May

by CREB

Click here to view the full City of Calgary monthly stats package. 

Click here to view the full Calgary region monthly stats package.  

Demand for detached housing continues to rise

City of Calgary, June 1, 2017– Fueled by the detached sector, Calgary home prices trended up for the fourth consecutive month, but remain

“The economic climate is supporting detached housing market recovery,” said CREB® chief economist Ann-Marie Lurie. 

“Improved demand and easing supply has created more balanced conditions and ultimately some modest price gains. While it will still take some time for prices to recover, the transition in the detached segment is an important first step to stabilization across all segments of the housing market.” 

For the first time since June 2015, prices in the detached sector did not decline on a year-over-year basis.  Unadjusted detached benchmark prices reached $509,000 in May, one per cent higher than last month and May 2016 levels. Like the detached market, the attached product has moved towards more balanced conditions. This has supported some recent directional shifts in pricing.  However, monthly price declines had fallen by 4.7

Like the detached market, the attached product has moved towards more balanced conditions. This has supported some recent directional shifts in pricing.  However, monthly price declines had fallen by 4.7 percent over peak levels and year-to-date benchmark prices remain two percent below last year’s levels.

“We can really see a slow but sure recovery in the housing market,” said CREB® president David P. Brown.  “Demand for

“Demand for the detached product is driving a new sense of optimism for consumers as we move further into spring.” Against this backdrop, the number of new listings rose to 3,866 units in May, which is 17

Against this backdrop, the number of new listings rose to 3,866 units in May, which is 17 percent higher than last year’s total for the month. Despite this rise, year-to-date new listings have declined by one percent over last year.  “With the change in market dynamics, people no longer feel like they may need to settle for a second choice in a property,” said Brown. “There are lots of housing choices in every segment of the market and that made for a good situation in an already active spring market.” The variation in market activity also extends to regional areas outside the city of Calgary. Please go to CREB®’s Regional Report for highlights on regional activity. 

“With the change in market dynamics, people no longer feel like they may need to settle for a second choice in a property,” said Brown. “There are lots of housing choices in every segment of the market and that made for a good situation in an already active spring market.” The variation in market activity also extends to regional areas outside the city of Calgary. Please go to CREB®’s Regional Report for highlights on regional activity. 

“There are lots of housing choices in every segment of the market and that made for a good situation in an already active spring market.” The variation in market activity also extends to regional areas outside the city of Calgary. Please go to CREB®’s Regional Report for highlights on regional activity. 

The variation in market activity also extends to regional areas outside the city of Calgary. Please go to CREB®’s Regional Report for highlights on regional activity. 

May 1, 2017

Calgary Housing Stats April 2017

Housing market retains momentum in April

by CREB on May 01, 2017 

Click here to view the full City of Calgary monthly stats package. 

Click here to view the full Calgary region monthly stats package. 

City-wide prices hold steady as labour market improves.

Calgary’s housing market continued to show signs of stability in April. With improvements in the labour market and a balanced detached sector, city-wide benchmark prices reached $439,600 in April, similar to the previous month, but 0.90 percent below last year’s levels.

“More jobs means less uncertainty for people who are sitting on the fence,” said CREB® president David P. Brown. “There also tends to be fewer people who need to sell when employment improves, and that can prevent inventory gains and further price reductions in the market. It’s a good scenario for sellers who are entering a spring market that’s in better shape than anything we’ve seen in recent years.”

While adjustments are still occurring in the apartment condominium sector, the detached segment of the market is improving across all price segments.

“Detached product has not faced the same supply pressure as the apartment sector,” said CREB® chief economist Ann-Marie Lurie. “Detached supply from new construction didn’t surpass previous highs. That helped prevent steeper price adjustments in the detached sector when demand eased.” 

The relationship between sales and inventory will be a key driver for pricing in the months ahead. Total transactions improved to 1,917 units in April, while inventories totaled 5,495 units, pushing months of supply below three for the second consecutive month.

With sales up and overall market inventory down, months of supply has already pulled back from elevated levels recorded over the past two years. While activity continues to vary by location and product type, more balanced conditions will help to support overall price stability. 

“Improvements in the employment situation were necessary to prevent further declines in the housing sector,” said Lurie. “However, economic recovery is still expected to be slow, impacting the pace and quality of job growth. Based on current expectations this should translate into a more prolonged period of recovery in the housing market.”

 

 

April 7, 2017

Spring Cleaning - It's that Time of Year!

Spring cleaning is a cute moniker and sometimes reminder that it’s that time of the year to do some deep cleaning of your home. Here are some tips and tricks that you should bookmark for the weekend. Spring is also prime home buying season. Do you have a friend or family member looking to relocate? Send them my way! Toll-free 855-688-1603.

1. April Showers Bring May Flowers – But, only if you prep the garden today! Lay mulch around shrubs and flower beds before the weeds take over next month. However, resist the urge to plant warm season annuals and vegetables until the last frost date has passed in your area.

2. Fresh Air, Fresh Paint – Planning to paint the exterior of your home, deck or front door? Start preparing exterior surfaces now by scraping and sanding so that when the warmer weather arrives, you’ll be ready to apply the first coat (without a coat on!)

3. Dust Off the Chaise Lounges – The days of lounging in the backyard are almost here! Take some time to clean and repair any outdoor furniture.

4. Get Rid of House Guests – While we all love having family and friends visit over the holidays, other unwelcome house guests can often make themselves at home in our roofs and walls during the winter. Follow this guide to inspect and repair damage from animals who took shelter in your home this winter season.

5. Organize the Garage or Shed – For most of the country, it’s finally time to stash the snow shovels and bust out the lawnmower. While you’re at it, consider these 5 things husbands need for spring cleaning at home.

6. Spring Clean That Closet – Kick off your spring cleaning project by tackling one of the most cluttered spots of the home. Follow these three steps to a spring miracle: an organized closet.

Spring Forward with a Fresh Start!

April 3, 2017

Calgary Real Estate News - March 2017 Statistics

Housing market set for favourable lead into spring

by CREB 

Click here to view the full City of Calgary monthly stats package. 

Click here to view the full Calgary region monthly stats package. 

Detached prices stabilize as city-wide inventory trends down

After a long period of disconnect between supply and demand, Calgary's detached housing sector is firmly in balanced territory. Sales were still 10 percent below long-term trends in March, but above levels seen in recent years, while average inventory declined compared to last year, supporting price stability in the detached market.

"It's not so much that demand went through the roof in March, but that we had less supply come onto the market, which is really helping to balance things out," said CREB® president David P. Brown. "These changes are lifting the cloud of uncertainty for housing consumers and nicely positioning our market as we move into the more active spring season."

Unadjusted detached benchmark prices totaled $503,900 in March, 0.4 percent above last month and similar to levels recorded last year. Meanwhile, Apartment and attached prices continue to remain well below levels recorded last year.

"Market conditions are quite different in the apartment sector," said CREB® chief economist Ann-Marie Lurie. "The additional supply coming from the new home sector is not easily reversed and the added competition is continuing to weigh on prices in the higher density sectors of the market."

City-wide inventory levels totaled 5,114 on March, 16 percent below last year's levels. This is primarily driven by the 25 and 17 per cent contraction in the detached and attached markets. Inventory levels in the ownership apartment sector remain three per cent higher than levels recorded last year.

"The housing market transition in the first quarter appears to be consistent with trends in the labour market," said Lurie. "However, the way the rest of the year unfolds will be largely determined by what happens in the next two-quarters, as nearly 60 percent of all housing sales typically occur in that time frame."

 

March 1, 2017

Calgary Real Estate News - February 2017 Statistics

March 01, 2017

by CREB 

Detached sales activity boosts February housing market

Click here to view the full City of Calgary monthly stats package. 

After the first two months of the year, Calgary's detached sector continues to drive a slow transition in the housing market. February sales totaled 1,342 units, which is still 19 percent below long-term averages, but an improvement over the past two years. As sales kept trending upward, detached inventory levels continued to ease in February. These conditions caused months of supply to fall to 2.4 months, putting less downward pressure on pricing. 

Unadjusted detached benchmark prices totaled $501,900 in February, which is one percent lower than prices recorded last year, but slightly higher than January figures.

"There seems to be a new sense of optimism these days," said CREB® president David P. Brown. "Some sellers are feeling upbeat about the changing landscape and the improved chances of selling their home. Other people are looking at the spring market with caution and wondering if we're going to see a higher than expected surge of listings. While there's less product on the market right now, sellers still need to be realistic with their pricing."

The amount of excess inventory eased in the overall market in February, setting the stage for a transition to a more stable market this year. Months of supply totaled 3.4 months, down from five months over last February. At the same time, the sales-to-new-listings ratio trended from a near-record February low of 39 percent last year to 55 percent this February.

With sales improving and new listings and inventories contracting—two key measures of market balance, there's good evidence to show that the housing market has started a trend toward more balanced conditions.

 "The transition in the housing market appears to be underway," said CREB® chief economist Ann-Marie Lure. "However, it is important to note that this change is primarily being driven by improvements in the detached market and stability in the labour market."

"It will take some time for these conditions to translate into all housing segments and achieve price recovery," said Lurie. "But all indicators continue to point toward a slow transition from a contracting market toward one that is stabilizing at lower levels."

Feb. 1, 2017

Calgary Real Estate Review - January 2017

January market improves over last year

Provided by CREB.

For the fourth consecutive month, housing inventory levels have recorded year-over-year declines. At 4,112 total units, January's inventory was 18 percent below last year's levels. 

"While housing conditions continue to favour buyers, a slow transition toward more balanced conditions is helping to ease downward pressure on home prices," said CREB® chief economist Ann-Marie Lurie. "Conditions have improved over last year, but people need to remember that last year's market was one of the weakest on record. Despite the appearance of a major shift in activity, the transition in the housing market is going to be a slow process."

January sales totaled 947 units, 24 percent above last year, but 21 percent below 10-year averages for the month. Sales activity improved across all product types, but only when compared to the near record lows that occurred in January 2016.

The detached segment of the market is demonstrating the most improvement.  Sales activity totaled 584 units in January, a considerable improvement over the 466 sales recorded last year. Inventories have also declined to push the months of supply to 3.2 months well below the 5.4 months recorded in January 2016.  

"This past month showed how the market never stands still," said CREB® president David P. Brown. "The market isn't expected to be as unpredictable in 2017, but it's early in the year and there are still lots of unknowns that will shape decision-making for consumers."

"Every transaction is a personal decision and anyone going through the process of buying and selling real estate will be trying to make the best decision for their family. They need to consider their long-term objectives and think about the price they are willing to accept or pay for a home."

City-wide benchmark prices totaled $437,400, 0.16 percent lower than last month and 2.82 percent lower than last year's levels. Since recent highs in 2014, residential prices have declined from a low of 4.9 per cent in the detached sector to highs of 11.5 percent in the apartment condominium market.

Click here to view the full City of Calgary monthly stats package.

Click here to view the full Calgary region monthly stats package.

Jan. 17, 2017

CMHC to Increase Mortgage Premium - Calgary Real Estate Review

Are you affected by this change? Please call me if you wish to discuss further with one of our Partner Lenders. 

OTTAWA, January 17, 2017 — CMHC is increasing its homeowner mortgage loan insurance premiums effective March 17, 2017. For the average CMHC-insured homebuyer, the higher premium will result in an increase of approximately $5 to their monthly mortgage payment.

“We do not expect the higher premiums to have a significant impact on the ability of Canadians to buy a home,” said Steven Mennill, Senior Vice-President, Insurance. “Overall, the changes will preserve competition in the mortgage loan insurance industry and contribute to financial stability.”

Capital requirements are an important factor in determining mortgage insurance premiums. The changes reflect OSFI's new capital requirements that came into effect on January 1st of this year that require mortgage insurers to hold additional capital. Capital holdings create a buffer against potential losses, helping to ensure the long-term stability of the financial system.

***

Premiums are calculated based on the loan-to-value ratio of the mortgage being insured. The premium can be paid in a single lump sum but more frequently is added to the mortgage principal and repaid over the life of the mortgage as part of regular mortgage payments. Additional details and scenarios are included in the backgrounder below.

CMHC regularly reviews its premiums and sets them at a level to cover related claims and expenses while also reflecting the regulatory capital requirements.

CMHC is Canada’s most experienced mortgage loan insurer. Our mortgage loan insurance enables Canadians to buy a home with a minimum down payment starting at 5%. As a Crown corporation, CMHC is the only mortgage insurer whose proceeds benefit all Canadians.

As Canada’s authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need and offers objective housing research and information to Canadian governments, consumers, and the housing industry.

For the full report click here 

Posted in Bank of Canada