Greater Calgary's Blog     Local Real Estate News & Market Trends

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

 

Additional Reading

Jan. 27, 2023

Making Sense of Canada's Housing and Economy

I want to share one of my favourite speakers for 2022, his name is Peter Zeihan. No one has made it all make sense so nicely about what is happening in our Canadian economy, housing and provinces as he. 

The following links are attached to Peter Zeihan's YouTube station:

Peter Zeihan - The End Of Canada "UNIMAGINABLE IS ABOUT TO HAPPEN"

Peter Zeihan: Canada’s 5 Problems 

Peter Zeihna's YouTube Channel offers worldwide insights. I hope you have the time to listen. 

 

 

 

Posted in Inside Real Estate
Jan. 27, 2023

Is a Seller Pre Inspection of Value?

A pre-inspection is a valuable tool for homeowners looking to sell their property. By having a pre-inspection done before listing your home, you can identify and address any potential issues that could lower the selling price or delay the sale.

First, a pre-inspection allows you to be proactive in making repairs or upgrades to your home. By addressing any problems before potential buyers see them, you can increase the perceived value of your home and potentially command a higher selling price.

Second, a pre-inspection can also increase the speed of the sale by eliminating the need for negotiations or re-inspections. Buyers will have peace of mind knowing that the home has been thoroughly inspected and any issues have been addressed.

Third, you can use the pre-inspection report as a marketing tool by highlighting the positive aspects of the inspection report. This can help to attract more buyers and increase competition for your home.

Finally, a pre-inspection can also save you money in the long run by avoiding unexpected repairs or delays in closing. It’s a smart investment that can pay off in the end.

Overall, a pre-inspection can be a valuable tool for homeowners looking to sell their property. It can help increase the perceived value of your home, speed up the sale, and save you money in the long run. Consider getting a pre-inspection before listing your home to help you get the most money for your property.

Posted in Inside Real Estate
Jan. 27, 2023

Greater Calgary Real Estate is Hiring New Agents!

Revolving DoorDon't Become a Statistic

If you are a new agent, it is in your best interest to learn your trade right now. Not in 1 year, 2 years, or 8 years. The industry is like a revolving door, and the chances of becoming a statistic are high. 

Let's Talk Reality in Realty, Where Have All the Agents Gone?

In the 1990's there were approximatley 3200 licensed agents. When I joined real estate in 1998, Calgary's population was at 819,334. This equals 256 people per agent.Don't Be a Statistic

 

In 2022 the Calgary Real Estate Board has published there are 6970 members. At this time the Calgary metro population is at 1,640,000 in 2023. This equals 235 people per agent (approx). This is probably better for the agents working today but does also shows there are less agents today per capita than there were in 1998. The population has increased faster than the agents have. Where have all of the agents gone? The revolving door is at high speed. 

In the meantime, new agents have been getting licensed almost daily in those years. For many years, our brokerage did not take on newly licensed agents, our concern was they were not trained and the risk and increased management would be too much for the brokerage. 

 

   Training New Agents for a Successful Real         Estate Business

Then we had many, many calls from new agents asking to join and we were disappointed to turn new agents away. The learning curve is steep, the amount of information is overwhelming and if no one is guiding you, you will be lost. This is when we came up with a quality training program hyper focused on building your real estate business from the ground up in 6 months. This has resulted in our new agents being able to create success in their business and avoid using the revolving door many past realtors have used. I don't know of any other brokerage training their agents to succeed in building a successful real estate business. 

 

 

 

Sandra Rafferty | Broker/Owner
Specializing in Real Estate Brokerage,
Residential & Commercial Real Estate

Serving
Calgary & Surrounding Areas Since 1998
P  403-241-7555E sandra@greatercalgaryrealestate.com W  GreaterCalgaryRealEstate.com

 

Posted in Real Estate Career
Jan. 27, 2023

Recession Mixed with Inflation

During a recession, when the economy is contracting and businesses are struggling, there is typically a decrease in demand for real estate, which can lead to a decrease in property prices and rental rates. This is because people tend to have less disposable income during a recession, and may be more hesitant to make large purchases such as buying a house or taking on a long-term lease.

However, when a recession occurs during an inflationary period, where the general price level is rising, the effect on real estate market can be more complex. Inflation can cause home prices to increase, but at the same time, the recession can decrease the overall demand for housing, which can lead to a decrease in property prices and rental rates.

Additionally, high inflation can also make borrowing more expensive, which can make it more difficult for buyers to afford a home. This could lead to a decrease in demand for housing, which can further decrease property prices.It's important to note that real estate markets can be local, and the impact of recession and inflation on real estate can vary depending on the location, the type of property and the stage of the real estate market.

It's also important to consider that the impact of recession and inflation on real estate can be mitigated by government policies such as monetary and fiscal policies that can help stabilize the economy during the recession.

 

Posted in Inside Real Estate
Jan. 27, 2023

What Does Inflation Mean for a Real Estate Market?

Inflation typically means that the overall cost of goods and services in an economy is increasing. In the real estate market, this can lead to higher home prices as the cost of building materials, labor, and other expenses associated with buying and selling homes increases.

Additionally, if inflation is coupled with a strong economy, demand for housing may also increase, further driving up prices. However, it's important to note that inflation alone does not determine real estate prices, it is a complex market that is influenced by various factors.

All that being said, then how do rising interest rates affect us?

Jan. 27, 2023

How Do Interest Rates Affect Our Real Estate Market?

Interest rates can have a significant impact on the real estate market. When interest rates are low, it makes borrowing money to purchase a home more affordable, which can increase demand for homes and lead to rising home prices.

On the other hand, when interest rates are high, borrowing money to purchase a home becomes less affordable, which can decrease demand for homes and lead to falling home prices. Additionally, changes in interest rates can also affect the value of existing mortgages and the value of homes. Overall, interest rates play a crucial role in determining the health of the real estate market.

How does  inflation cause rising home prices?

Dec. 7, 2022

Calgary's Market November 2022

Calgary Market November 2022 Infograph

 

NOVEMBER HOUSING MARKET UPDATE from the Calgary Real Estate Board

Dec. 1, 2022

2022 on track to be a record year for sales

Residential sales in the city slowed to 1,648 units, a year-over-year decline of 22 per cent, but 12 per cent above the 10-year average. 

The pullback in sales over the past six months was not enough to erase gains from earlier in the year as year-to-date sales remain nearly 10 per cent above last year’s record high. The year-to-date sales growth has been driven by a surge in both apartment condominium and row sales.

“Easing sales have been driven mostly by declines in the detached sector of the market,” said CREB® Chief Economist Ann-Marie Lurie. “Higher lending rates are impacting purchasers buying power and limited supply choice in the lower price ranges of the detached market is likely causing many purchasers to place buying decisions on hold.”

A decline in sales was met with a pullback in new listings and inventories fell to the lowest level reported in November since 2005. The pullback in both sales and new listings kept the months of supply relatively tight at below two months. The tightest conditions are occurring in the lower-price ranges as supply growth has mostly been driven by gains in the upper-end of the market.

Despite the lower supply levels, prices have trended down from the peak reached in May of this year. Even with the adjustments that have occurred, November benchmark prices continue to remain nearly nine per cent higher than levels reported last year.

 

Detached

Detached sales slowed across every price range this month, contributing to the year-over-year decline of nearly 34 per cent and the year-to-date decline of five per cent. On a year-to-date basis, sales have eased for homes priced under $500,000 as the level of new listings in this price range has dropped by over 36 per cent limiting the options for purchasers looking for affordable product. 

Meanwhile, new listings and supply selection did improve for higher-priced properties creating more balanced conditions in the upper-end of the market. This has different implications on price pressure in the market.

The benchmark price in November slowed to $619,700, down from the high in May of $648,500. While prices have eased over the past several months, they continue to remain nearly 11 per cent higher than levels reported last year.

 

Semi-Detached

The pullback in sales this month was enough to cause the year-to-date sales to ease by nearly one per cent compared to last year. Despite the recent declines, year-to-date sales remain 37 per cent above long-term averages for the city.

Easing sales this month were also met with a pullback in new listings, causing further declines in inventory levels and ensuring market conditions remained relatively tight with a month of supply of two months and a sales-to-new-listings ratio of 100 per cent. 

Unlike the detached sector, the tight conditions prevented any further retraction in prices this month. In November, the benchmark price reached $562,800, slightly higher than last month and nearly 10 per cent higher than last year’s levels.

 

Row

Further declines in new listings likely contributed to the slower sales activity this month as the sales-to-new-listings ratio remained high at 99 per cent. Inventory levels fell to 383 units, making it the lowest level of November inventory recorded since the 2013. This low level of inventory ensured that the months of supply remained below two months.

Despite the persistently tight market conditions, prices trended down this month reaching $358,700. While prices have eased from the June high, they are nearly 14 per cent higher than prices reported last November. The strongest price growth was reported in the North East, North and South East districts where prices have risen by over 18 per cent. 

 

Apartment Condominium

Despite a pullback in new listings this month, apartment condominium sales continued to rise, and inventories fell to the lowest November levels seen since 2013. This caused further tightening in market conditions as the sales-to-new-listings ratio pushed above 100 per cent and a months of supply dropped to two months. 

Recent tightening in the market has put a pause on price adjustments for apartment condominiums. In November, prices remained relatively stable at $277,000 compared to last month. While prices have reported a year-over-year gain of nearly 10 per cent, prices are still below their previous highs set back in 2014.

 

REGIONAL MARKET FACTS

Airdrie

November sales eased mostly due to the significant pullback in detached sales. While sales this month are down over last year’s record levels, overall activity is still far stronger than long-term trends and year-to-date sales are still on pace to reach a new record high.

New listings did improve over the previous year, thanks to gains in row, semi and apartment style product. While the growth in new listings did cause November inventories to rise over last year’s low levels, inventory levels remain nearly 40 per cent below long-term trends in the area.

Despite persistently tight conditions, benchmark prices continue to trend down from the record high level reported in April of this year. Despite some adjustments, prices remained over 13 per cent higher than last year’s levels. 

 

Cochrane

Further declines in November sales contributed to the six per cent year-to-date decline in sales. However, with 1,091 sales so far this year, this is still 69 per cent above long-term trends for the town. 

Meanwhile, new listings have remained relatively low compared to sales, preventing a more significant shift in inventory levels. In November, inventory levels did rise above the low levels seen last year, but remained 35 per cent below longer term trends for the area.

Following significant gains reported earlier in the year, benchmark prices continue to trend down in November. However, the adjustments did not erase previous gains as the benchmark price remained over 12 per cent higher than levels reported last year.

 

Okotoks

Both sales and new listings eased in November preventing any significant change to inventory levels. While inventory levels are higher than last year, they remain 54 per cent below long-term trends for the area. Overall year-to-date sales activity has improved over last year and are 41 per cent higher than long-term trends. 

As conditions have remained relatively tight this month, we saw a reversal of some of the price adjustments recorded over the previous two months. The benchmark price in November reached $549,100, a two per cent gain compared to last month, and a year-over-year gain of nearly 16 per cent.

Nov. 26, 2022

Housing Taxes and Benefits for 2023

Housing and Taxes

Housing  Starting January 1, 2023. Government of Canada 

 

Anti Flipping Tax  - Crack down on house flipping by ensuring that profits from properties held for less than 12 months are fully taxed, starting in 2023, with certain exceptions for unexpected life events (e.g. death, divorce). This measure will ensure that investors who flip homes pay their fair share, and play a role in lowering housing prices for Canadians.

 

Speculation Tax - down on speculation that contributes to higher home prices by applying the Goods and Services Tax/Harmonized Sales Tax (GST/HST) to all assignment sales of newly constructed or substantially renovated residential housing, effective May 7, 2022. An assignment sale is when a house is resold before it has even been constructed or lived in.

 

Vacant Home Tax - A 1 per cent annual vacant home tax on foreign-owned underused housing, to help free up homes for Canadians to live in, make the housing market more affordable for Canadians, and to ensure that foreign, non-resident owners of Canadian housing pay their fair share of Canadian tax.

 

Foreign Buyers Ban - A two-year ban on foreign purchases of Canadian houses, effective January 1, 2023, to ensure that houses are used as homes for Canadians to live in—and not used as financial assets for foreign investors. The government recently consulted on regulations that will be brought forward prior to January 1, 2023, to implement the final details of the ban.

 

Benefits for Buyers in 2023:

Help Canadians save on closing costs by doubling the First-Time Home Buyers’ Tax Credit to provide up to $1,500 in direct support to home buyers, starting in 2022, to offset the increasing closing costs involved in buying a home.

Introduce a new, refundable Multigenerational Home Renovation Tax Credit, to provide up to $7,500 in support for constructing a secondary suite for a family member who is a senior or an adult with a disability, starting January 1, 2023.

 

Tax-Free First Home Savings Account (FHSA) (sometime in 2023, more to come)

 If you contribute $8,000 per year to buy a home, it’s the equivalent of the government offering you a non-taxable gift. 

Unlike the HBP, you don’t need to pay back the amount, even if the withdrawals are not used on a down payment for a home. However, those withdrawals will be taxable. 

Posted in Inside Real Estate
July 22, 2022

Mountain Views at 215 Rocky Vista Circle NW

For more information, please go to 215 Rocky Vista Circle NW, Calgary Alberta

Why settle for a some mountain views when you can enjoy an expansive, panoramic experience from all 3 levels of this updated townhome – even while seated comfortably! The breath-taking views begin from the moment you open your front door, extend through the living and dining areas – as well as from your kitchen! Imagine the joy of meal preparation and entertaining with the Rocky Mountains as your backdrop! 1746sqft on 3 levels of living.

With easy to care for luxury vinyl plank flooring through the open concept main floor, the newly renovated kitchen boasts beautifully veined quartz countertops and an island ideal for extra seating. All appliances are stainless steel, including a brand new glass-top stove featuring a built in air fryer. Ample cabinets and a pantry closet insure everything you need is at your fingertips! The deck off the eating area is perfect for enjoying your morning coffee, or an end of the day beverage while drinking in the peaceful mountain views, the calming water features, and watching the world go by!

Freshly painted top to bottom – including trim and baseboards - all three levels are filled with natural light. The upper level boasts 3 bedrooms and 2 full bathrooms. The huge master bedroom allows you to enjoy the incredible mountain views from the large windows, features a 3 piece master ensuite with shower, a walk in closet with space for a king size bed as well as a lounge area. The fully finished large walkout basement is bright, and perfect for a home theatre, family room or office with patio doors to the concrete patio, large windows showing off the awesome mountain views, and a finished large laundry room. Parking is easy – a single attached garage, 2 spots on the driveway and handy additional visitor parking.

All within 800 meters of the Rocky Ridge C-Train Station and 350 meters to some local shops and restaurants, 1.9km to Royal Oak School grades K-3 and 2.1km to William D. Pratt School grades 4-9. This complex is part of the HOA of The Lakes of Rocky Ridge. The Lake Club facility a block walk away includes a Games Room, Theatre, Fitness Centre, Activity Room and Tennis Courts for all to enjoy. Immediate possession and move in ready this home is waiting for you!

July 22, 2022

Top 15 Renovations

There are many reasons we decide to renovate, whether for the highest return on your investment, personal enjoyment or to maintain and/or increase the value of your home. The appraisal institute of Canada has published the best considerations for Home Owners. 

The Top 5 Renovations for the Highest Return on your Investment (ROI)

When looking to increase your ROI, try and always keep in mind you should only renovate to the keep in line with your area. Some overspend on beautiful renovations with the intention of selling, but then find out the area will not give them the return they hoped for. 

  • Kitchen 
  • Bathroom
  • Repainting Interior / Exterior - try and keep the colours with the trends of the local area
  • Updating decor - lighting and plumbing fixtures, countertops, replacing worn flooring (vinyl or carpets) or refinishing your hardwood floors.
  • Decluttering - think of your home like a builder does, make it somewhat sparse like a showhome!

 

The Top 5 Renovations you can do for the Highest Enjoyment

  • Basement Finishing
  • Garages
  • Sun Rooms / Additions
  • Decks / Fences
  • Landscaping

 

The Top 5 Renovations you can do to Maintain Value

  • Replacing the roof
  • Updating the heating / cooling system
  • Replacing windows and doors
  • Updating electrical (panel, wiring, sockets, fixtures)
  • Repairing structural defects

Renovate for Success

1. Understand Why you are Renovating

2. Think about your personal needs and wants

3.  Hire the right professionals

4. If thinking of selling, consider calling your real estate professional or an appraiser

 

Posted in Inside Real Estate