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SEPTEMBER 2024 HOUSING MARKET UPDATE October 1, 2024 New listing growth driven by higher-priced homes Rising sales in the upper price ranges were not enough to offset the pullback occurring in the lower price ranges, as sales in September were 2,003, 17 per cent below last year's record high. Despite the decline, sales this month were still over 16 per cent higher than levels traditionally achieved in September.“We are starting to see a rise in new listings in our market. However, most of the listing growth is occurring in the higher price ranges,” said Ann-Marie Lurie, Chief Economist at CREB®. “While demand has stayed strong across all price ranges, the limited choice for lower-priced homes has likely prevented stronger sales in our market. While the challenges in the lower price ranges are not expected to change, improved supply combined with lower lending rates should keep demand strong throughout the fall, but without the extreme seller market conditions that contributed to the rapid price growth earlier this year.”New listings in September rose to 3,687 units, the highest September total since 2008. This rise in new listings compared to sales did support some inventory growth. September inventory levels pushed up to 5,064 units, nearly double the exceptionally low levels reported in the spring, but remain below the 6,000 units we typically see in September.Improving inventory levels compared to sales is continuing to shift our market toward more balanced conditions. In September, the months of supply reached 2.5 months. While this is a gain over last year’s record low, conditions are still tilted in favour of the seller.Additional supply in the market has taken some of the pressure off home prices over the past few months, following stronger-than-expected gains throughout the spring. In September, the unadjusted benchmark price was $596,900, slightly lower than last month but over five per cent higher than last year’s levels. Year-over-year gains ranged from nearly nine per cent growth for detached homes to nearly 14 per cent gains in the apartment condominium market. The gains for each property type outpaced the growth in total residential prices, mostly due to the shifting composition of sales. Detached The nine per cent growth in sales over $700,000 was not enough to offset the steep pullbacks reported for homes priced below $600,000, causing September sales to total 942 units, a 17 per cent decline over last year. Improved sales for higher-priced homes were possible thanks to rising new listings, as that segment of the market is starting to demonstrate more balanced conditions for homes priced above $700,000.As of September, the unadjusted detached benchmark price was $757,100, a slight decline over last month, but nearly nine per cent higher than levels reported last year. It is not unusual to see some monthly adjustments in the fall, especially following stronger gains in the spring. With tighter conditions being experienced for lower-priced products, price growth has also ranged within the detached sector. The North East and East districts continue to report the largest year-over-year price gains. Semi-Detached September reported 299 new listings and 182 sales, causing the sales-to-new listings ratio to trend up over last month to nearly 61 per cent. Despite the gain over the past several months, the improvements in new listings relative to sales have supported rising inventory levels. However, with less than 400 units available, inventory levels remain nearly 33 per cent below long-term trends for September. Like the other property types, recent gains in new listings are causing the months of supply to improve over last year's levels. However, with just over two months of supply in September, conditions continue to favour the seller. Following strong gains in the spring, in September, the unadjusted benchmark price eased slightly over last month, but at a price of $678,400, levels are over nine per cent higher than last year at this time. Row Over 600 new listings came onto the market in September, where over 70 per cent of the new listings were priced above $400,000. While new listings improved across most districts, 34 per cent of the new listings were in the North and South district, likely a reflection of the new home activity occurring in those areas. Sales in September totalled 377 units, slightly lower than last year's levels.Inventories in September rose to 747 units, a significant improvement over the previous two years, but still below long-term trends. Nonetheless, the rise in inventory relative to sales did cause the months of supply to increase to nearly two months. Conditions continue to favour the seller, but improved choice did slow the pace of price growth. The unadjusted benchmark price in September was $459,200, 10 per cent higher than September 2023 levels. Apartment Condominium Strong gains in new listings continued into September, with 993 units entering the market. At the same time, sales dropped to 502 units, causing the sales-to-new listings ratio to drop to 50 per cent and inventories to rise to 1,623 units. Of the inventory in the market, over 72 per cent was priced above $300,000, a significant shift compared to last year, where less than 58 per cent of the listings were above that range. Gain in supply compared to sales caused the months of supply to rise to 3.2 months, the highest level seen since the end of 2021. Improving supply in the new home market is likely contributing to the rise in supply and has taken some of the pressure off home prices. In September, the unadjusted benchmark price was $345,000, 14 per cent higher than last year at this time. Year-to-date prices are still averaging a year-over-year gain of 17 per cent. REGIONAL MARKET FACTS Airdrie Thanks to a boost in new listings relative to sales, inventory levels trended up in September, reaching 349 units, an improvement over the persistently low levels reported over the previous three years. With 151 sales in September, the months of supply rose to 2.3 months. While conditions still favour the seller, it is a significant improvement over the under two months of supply that has persisted since the start of 2021.Improved supply choice has taken some of the pressure off home prices. However, with an unadjusted benchmark price of $551,000 in September, prices are nearly seven per cent higher than last year. Cochrane Over the past few months, easing sales did not offset earlier gains, as year-to-date sales were nearly six per cent higher than last year. However, like other areas, new listings in Cochrane have been on the rise, and the 50 per cent sales-to-new listings ratio this month helped support a gain in inventory levels. With 174 units in inventory and 58 sales, the months of supply in September rose to three months, the first time it has reached three months since the end of 2020.While supply levels are improving, they remain well below long-term trends. Nonetheless, the gain prevented any further upward pressure on home prices this month. In September, the unadjusted benchmark price was $578,300, similar to last month but nearly nine per cent higher than last year. Okotoks A boost in new listings compared to sales supported inventory gains. While inventory levels have trended up over the past three months, the 106 units still represent exceptionally low levels for the town. The months of supply reached two months in September, something we have not seen consistently since early 2021. While this is a significant improvement from levels seen in the spring, conditions still favour the seller. The unadjusted benchmark price in September reached $630,300, nearly one per cent higher than last month and nine per cent higher than levels reported last year. Trent Gustus 403-803-5044
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Haven't we all seen a lot of damaged vinyl siding? I was surprised to learn how easy it is to fix vinyl siding right in the middle of the wall. Actually the function of vinyl siding isn't to stop rain or snow.. it's just to protect the house wrap beneath from the elements. One of my sellers had a home inspector say that their vinyl siding was defective because there was water being held in the J trim at the bottom and it was dripping. Fortunately a project manager from Jayman was available to come out and explain to us how it is put together and how it functions. There was nothing wrong with the siding on the house as the home inspector had suggested. This information is especially helpful to anyone who has experienced siding melted from a BBQ, which I've seen a lot.. or a broken piece hit by a ball or hail. If you can find the color match to your siding you and replace a piece just about anywhere in a wall. Watch the video below. Trent Gustus, Remax First 403-803-5044
Read More Sept 3 Real Estate Market Report
Calgary housing market sees shifts Calgary, Alberta, September 3, 2024 - Housing activity continues to move away from the extreme sellers’ market conditions experienced throughout the spring. Easing sales, combined with gains in supply, pushed the months of supply above two months in August, a level not seen since the end of 2022. As expected, rising new home construction and gains in new listings are starting to support a better-supplied housing market,” said Ann-Marie Lurie, Chief Economist at CREB®. “This trend is expected to continue throughout the remainder of the year, but it’s important to note that supply levels remain low, especially for lower-priced properties. It will take time for supply levels to return to those that support more balanced conditions. Inventory levels in August reached 4,487 units, 37 per cent higher than last August but nearly 25 per cent lower than long-term trends for the month. Higher-priced properties mostly drove the supply gains, as the most affordable homes in each property type continued to report supply declines. The supply gains were made possible by both an increase in new listings in August and a pullback in sales activity. There were 2,186 sales in August, representing a 20 per cent decline from last year's record high but still 17 per cent higher than long-term averages for the month. The sales declines were driven by homes priced below $600,000. Following stronger-than-expected gains earlier in the year, the pace of price growth is starting to slow. In August, the total unadjusted residential benchmark price was $601,800, six per cent higher than last year and just slightly lower than last month. Year-to-date, the average benchmark price rose by nine per cent. Detached Detached home sales fell by 14 per cent compared to last year, as gains in homes priced above $600,000 were not enough to offset declines in the lower price ranges, which continue to struggle with low supply levels. In August, there were 2,011 detached homes available in inventory, with over 85 per cent priced above $600,000. The improving higher-end supply compared to sales helped push the months of supply up to nearly two months. While market conditions are still tight, this is a significant improvement from the under-one-month supply experienced in the spring. Shifting conditions are relieving some pressure on home prices. In August, the unadjusted detached benchmark price was $762,600, slightly lower than last month but still over nine per cent higher than last year. Semi-Detached With 297 new listings and 172 sales, the sales-to-new-listings ratio in August dropped to 58 per cent, which is more consistent with pre-pandemic levels. This shift supported a rise in inventory levels, and the months of supply rose to nearly two months. While conditions remain relatively tight, the boost in new listings has helped ease some of the pressure on prices. In August, the unadjusted benchmark price was $681,200, a decline from last month but nearly 10 per cent higher than last year. Row New listings row for homes priced above $400,000, contributing to year-to-date growth of nearly 16 per cent. At the same time, slower sales over the past three months have contributed to inventory gains. In August, there were 660 units available, a 75 per cent increase over the exceptionally low levels reported last year. While inventories are still low by historical standards, as with other property types, this shift is helping ease pressure on home prices. The unadjusted benchmark price in August was $461,700, slightly lower than last month but over 12 per cent higher than last August. Monthly adjustments were not consistent across districts, with adjustments in the City Centre, North West, North, and West districts mostly driving monthly declines. Despite the monthly adjustments, year-over-year prices remain higher than last year across all districts and range from a low of 10 per cent in the City Centre to a high of 26 per cent in the East district. Apartment Condominium New listings in August reached 1,001 units, a record high for the month. The gains in new listings were met with a pullback in sales, causing the sales-to-new-listings ratio to drop to 60 per cent and inventories to rise to 1,476 units. Unlike other property types, overall condominium inventory levels were relatively consistent with longer-term trends for the month. Rising inventory and easing sales caused the months of supply to increase to nearly two and a half months, not as high as levels seen before the pandemic but an improvement over the extremely tight conditions seen over the past 18 months. In August, the unadjusted benchmark price was $346,500, similar to last month and nearly 16 per cent higher than last year’s prices. REGIONAL MARKET FACTS Airdrie New listings in Airdrie continued to rise this month compared to last year. However, with 242 new listings and 172 sales, the sales-to-new-listings ratio remained relatively high at 71 per cent. This prevented a stronger gain in inventory levels and kept the months of supply below two months. The tightest conditions in the market continue to be in the lower price ranges of each property type. While conditions continue to favour the seller, they are not as tight as during the spring months, taking some pressure off home prices. In August, the unadjusted benchmark price was $553,300, similar to last month and nearly eight per cent higher than last year. Cochrane August reported 81 sales and 109 new listings, keeping the sales-to-new-listings ratio elevated at 74 per cent, enough to prevent any gain in inventory levels. With 144 units available, inventory levels are nearly 42 per cent below long-term trends for the month. Persistently tight conditions continue to drive further price growth in the town. In August, the unadjusted benchmark price was $578,600, slightly higher than last month and over eight per cent higher than last year’s levels. Prices have risen across all property types, with the largest gains occurring for apartment-style properties. Okotoks A boost in detached sales supported the rise in August sales compared to last year. The 67 sales in August were met with 84 new listings, pushing the sales-to-new-listings ratio near 80 per cent. This prevented any significant shift in inventory levels, which remain nearly 47 per cent lower than long-term trends. With just over one month of supply, conditions remain relatively tight. The unadjusted benchmark price in August was $622,700, similar to last month and over seven per cent higher than last August. Overall View.. There still is an under supply of affordable detached homes. The median group or "the most popular price group" is maintianing low supply and still selling strong. The recent rate lowering beginning of september may spur on more people as they may see qualifying easier.
Read MoreWhich homes work best for basements suites
For those of you who are thinking of getting a home to put a basement suite into, what homes work the best? It's important to know this because you need a home style that works.. positions of stairwells matter.. the size of the basement is important and the lot and location can be important factors. In the video below I discuss the best styles of homes to create a basement suite in.
Read MoreFree Money from the City of Calgary to build a secondary suite!
Well, not completely free but.. The city of Calgary wants everyone to build a secondary suite in their property.. this does not include garage suites or detached suites.. This is mostly basement suites or additional suites above ground as part of the main house. Currently just 2.5 percent (approx) of all homes sold with suites are actually legal. Maybe this will motivate people to create legal suites.. because as of now there just isn't enough. Of course the big advantage to home buyers with legal suites is that the buyer can use 100% of the basement rent to qualify as income to secure a mortgage. This is significant because with rents for basement suites reaching $1700 per month it can mean about $120,000 more in qualification for a mortgage. The sidebar to this is that putting a legal suite in a property adds about twice as much value to the property as it costs (in most cases).. One of my clients could only qualify for $550,000 home.. this presented a challenge to find a well renovated home for this price in most areas.. however they did qualify and buy a home for $650,000 with a legal suite.. and they qualified for $670,000 with that extra basement income. To read more information.. here's a link to it on their website. https://www.calgary.ca/development/home-building/secondary-suite-incentive-program.html See my past client google reviews on this link.. https://maps.app.goo.gl/Va6qhy3Tnc6obrGL7 Do you want to find out the value of a home you like on line? My offer to you is just text me the address or mls number of the home to 403-668-9126 and include "evaluation" in your text and I'll run the numbers on any home. (ex "25 lofty lane nw evaluation" ) off market properties included.
Read MoreCity of Calgary now taxing on encroachments!
If you're thinking of selling or buying a detached home, the question of a survey will come up and this is an important read for anyone to consider... do you need a survey? or specifically maybe you don't want one.. Read on. I've been an agent for 24 years now.. and I've actually helped a lot of people muddle their way through the survey process and get city compliance, but recently I had a chance to talk to a survey company as I had a complaint about their surveyor who classified my clients property as not being compliant and clearly the bylaw states that it is. This lead to a long discussion about the city and it's policies. To go back a bit. I had a client who had a high end home, he bought it from the builder.. he had a lawyer to process the transaction, the builder provided a survey with a city compliance stamp and they released funds to the builder and bought the home. About 6 years later the city was sending him letters stating that his property did not comply with city guidelines because of a retaining wall that the developer did that didn't have it's engineering permit closed out. The city demanded that this sandstone wall that was at the back of several properties on the street had to be brought into compliance or else. My client was in the midst of trying to sell his home with me and this was a big obstacle because, what buyer wants to own something that might have a substantial landscaping cost applied to it? The dilemma was.. the engineer who oversaw this wall died before he could close out the permit. My ask to the city lawyer in development was : "if my client bought this home with a city compliance stamp, isn't the city liable for the fact that the property was misrepresented by the city stamp?" The city was culpable for this problem in my view.. most buyers wouldn't buy a property with a known problem that couldn't be resolved. The city of Calgary lawyer stated "The city is not liable for this as they do not guarantee the validity of surveys" you might ask.. why demand a survey with compliance then? if it means nothing to the city? The reality is that the compliance stamp doesn't mean it's compliant and the city can change their minds at will. The city is now raising taxes based on encroachments.. this is brand new. So in my discussions with the surveyor on another property that I was arguing was compliant.. The surveyor alerted me to something new the city is now doing. If you have a permanent structure or landscaping over a utility right of way or a property line they can give you an encroachment agreement.. or an agreement that you don't need to change it.. but.. they're going to raise your city taxes to compensate them, or in other words, PAY RENT for the encroachment. Can you imagine, they arbitrarily change the rules.. then charge you rent on an agreement forever? All of our real estate contracts demand that the seller provide a recent survey with compliance... but as I'm starting to see it now.. if there is no action on the property by the city, the best thing to do might be to have the seller and the buyer agree to either no survey or the old survey, and hear me out on this. Let's say there's a nice patio on the property, the buyer loves it, the seller did a great job creating it. It's been there for 20 years. It may not be compliant. If the seller gets a new survey created to satisfy the contract, but the city then tells the seller he needs to take it down or alter it to get an agreement which raises the taxes on the property, does the buyer benefit from that? No.. The buyer would have to accept alterations to the deck or have it removed altogether. The buyer and seller might have to agree to a new price based on the increased future taxes on the home or the removal of something the buyer bought the property for! Maybe in light of this we'll just let sleeping dogs lye and sell more properties without surveys, with full disclosure to the buyer, so the buyer can enjoy the property without notifying the city (that has never visited it) Your thoughts? See my past client google reviews on this link.. https://maps.app.goo.gl/Va6qhy3Tnc6obrGL7 Do you want to find out the value of a home you like on line? My offer to you is just text me the address or mls number of the home to 403-668-9126 and include "evaluation" in your text and I'll run the numbers on any home. (ex "25 lofty lane nw evaluation" ) off market properties included.
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Nestled in the northwest quadrant of Calgary, Rocky Ridge is a neighborhood that blends the best of suburban tranquility with natural splendor. Esteemed for its breathtaking views of the Rocky Mountains, this community is a sought-after locale for both buyers and sellers. Whether you're looking for a place to call home or hoping to sell your property, Rocky Ridge offers a myriad of opportunities. ### Buyers: Your Dream Home Awaits If you're contemplating buying a home in Calgary, Rocky Ridge should be at the top of your list. This neighborhood is renowned for its stunning vistas, which include panoramic views of the Rockies. The natural beauty of the area is complemented by well-planned residential properties that range from modern townhouses to elegant single-family homes. Buyers will find a mix of architectural styles, giving them ample choice to find a home that fits their personal taste and lifestyle needs. Not just a feast for the eyes, Rocky Ridge also offers practical amenities that cater to families and individuals alike. Several parks, trails, and recreational facilities are scattered throughout the area, making it a haven for outdoor enthusiasts. The Rocky Ridge Ranch Centre is a community hub where residents can enjoy swimming, tennis, and various social events. For families with children, top-rated schools and daycare centers are in close proximity. Commuting is equally convenient, with easy access to major roads and public transit, making it easier to get to downtown Calgary or other parts of the city. ### Sellers: A Profitable Market For those considering selling property in Rocky Ridge, the market conditions are favorable. Homes in this neighborhood are in high demand due to its unique combination of beautiful landscapes and convenient amenities. The captivating views undoubtedly add a premium to property values, making your home more appealing to prospective buyers. Moreover, the area’s clean and well-maintained public spaces contribute to its overall charm and marketability. Selling a home in Rocky Ridge can be an advantageous venture if done correctly. Engaging with a local real estate agent who understands the subtleties of the Calgary market will be crucial. These professionals can help you set a competitive price, stage your home beautifully, and even highlight the unparalleled views and community features that make Rocky Ridge extraordinary. Remember, first impressions are vital in real estate, and showcasing your home’s best assets can lead to a quicker sale at a desirable price point. ### Neighborhood: A Community Like No Other When it comes to community, Rocky Ridge offers a warm and inviting atmosphere. The neighborhood fosters a sense of togetherness, where neighbors often become friends. Monthly community events, farmers’ markets, and social gatherings are common, fostering a tight-knit ambiance that makes Rocky Ridge more than just a place to live, but a place to belong. Nature lovers will appreciate the proximity to green spaces like Bowmont Park and the assortment of trails ideal for hiking, biking, and even casual strolls. For those keen on maintaining an active lifestyle, the regional pathway system provides ample opportunities for exercise and relaxation. Additionally, the construction of the new Shane Homes YMCA at Rocky Ridge offers a state-of-the-art fitness center, a library, and multiple community programs, making it a focal point for family activities. Shopping and dining options are never far away, with several shopping plazas and restaurants offering a variety of cuisines and retail experiences. This blend of convenience and scenic beauty makes Rocky Ridge a balanced haven for anyone looking to experience the best of both worlds. In conclusion, whether you're buying or selling, Rocky Ridge offers a unique value proposition that’s hard to beat. Its captivating views, well-structured amenities, and sense of community make it one of Calgary's most appealing neighborhoods. For buyers, it's a dream come true; for sellers, it’s a profitable opportunity. And for everyone else, Rocky Ridge is simply home.
Read More Discover Your Dream Home at 418 Bridlewood PL SW, Calgary
Have you been searching for a home that perfectly blends modern comforts with the natural beauty of its surroundings? Look no further! The stunning property at 418 Bridlewood PL SW in Calgary, AB is now on the market for $775,000 and offers an exceptional lifestyle for the discerning buyer. Nestled in the coveted Bridlewood community, this spacious residence backs directly onto a serene park and winding pathways. Just imagine—your kids safely walking to school along the pathway right behind your home without ever having to face street traffic. With a sunny west-facing backyard set on a generous pie lot, this home allows your family to enjoy the outdoors right from your spacious living area. Step inside to a unique floor plan that immediately captures your attention. The open-concept living, dining, and kitchen areas boast impressive 9-10 foot ceilings, giving the home an airy and expansive feel. The kitchen is a culinary dream with sleek Quartz countertops, light maple cabinetry, a built-in microwave, and a corner pantry that provides ample storage. The 10-foot dining area is enveloped by windows, offering an unhindered view of your lush backyard. Convenience and practicality are in no short supply here. The main floor includes a dedicated office, ideal for those who work from home, and a large laundry/mud room designed to manage the hustle and bustle of daily life. Head upstairs to find one of the few plans in Bridlewood featuring a bonus room that’s an expansive 22 by 11 feet, perfectly illuminated by a large skylight. The master suite is a sanctuary with a scenic bay window view, an elevated bathroom complete with a separate tub and shower, and an impressively long closet that fulfills all your storage needs. The fully finished basement rounds out the home’s impressive amenities. It includes a spare bedroom with its own 3-piece en-suite, offering an ideal solution for accommodating guests. The Bridlewood community boasts excellent schools and is conveniently close to shopping, ensuring that all your lifestyle needs are met. Discover a home where convenience meets luxury, and every detail has been carefully crafted for your family’s comfort. Don’t miss this opportunity—come see for yourself and envision your new life in this extraordinary property.
Read MoreNew build permits up 35% in Calgary year over year
Calgary has long been known for its robust real estate market, and recent data suggests that it continues to thrive, particularly in the new construction sector. With new build permits up by 35% year over year, it appears that builders and buyers alike have reasons for optimism. The sharp increase in new build permits is a clear indicator of confidence in Calgary’s real estate market. Builders are making substantial investments, signaling their belief in the city's ongoing economic stability and growth potential. This influx of new constructions is not just beneficial for the builders, but also for potential homebuyers looking for the latest amenities and modern living spaces. ### Buyers: Exploring New Opportunities For buyers, the surge in new builds means a plethora of options and opportunities. Whether you're a first-time homebuyer or looking to upgrade, new construction homes often offer the latest in design, technology, and energy efficiency. Many builders are incorporating modern layouts, smart home features, and sustainable building practices, which can be particularly appealing to today's discerning buyers who prioritize both comfort and environmental impact. Additionally, new homes typically come with warranties and fewer upfront repair costs, providing peace of mind and financial predictability. Given the variety of choices available, from single-family homes to townhouses and condos, there's something to suit every lifestyle and budget. ### New Construction: A Boon for the Market The rise in new build permits has a ripple effect on the broader real estate market. Increased construction activity often leads to job creation, boosting the local economy. Moreover, a healthy supply of new homes can help stabilize housing prices, making it easier for more people to enter the market. Builders’ confidence in Calgary also reflects the city’s sustained efforts to create a favorable environment for development. From streamlined permit processes to incentives for sustainable building practices, the local government is playing a pivotal role in maintaining the city's attractiveness for both builders and buyers. ### Market Update: A Promising Outlook The 35% year-over-year increase in new build permits is a promising sign for Calgary's real estate market. It suggests that builders are anticipating continued demand for new homes and are willing to commit resources to meet that demand. For buyers, this is an excellent time to explore the market, as the rising number of new homes means more options and potentially more competitive pricing. Investors should also take note of these trends. The surge in new construction activity indicates a healthy, growing market, making Calgary a compelling option for real estate investment. With builders showing confidence in the city's future, there is a strong likelihood of appreciating property values, making now a potentially lucrative time to invest. ### Conclusion Calgary’s real estate market is showing significant vitality, underscored by a 35% increase in new build permits year over year. Builders' confidence signals a bright future for the city, benefiting buyers, the local economy, and investors. With the availability of modern, energy-efficient homes increasing, and the local government's continued support for sustainable, streamlined development, the Calgary real estate market is well-positioned for sustained growth in the coming years. Whether you're in the market for a new home or considering an investment, the current trends highlight Calgary as a robust and promising real estate market. Now might just be the perfect time to explore the opportunities that new construction in Calgary has to offer.
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