Calgary Real Estate Market Snapshot Feb 1, 2015

February 2nd, 2015

Stay ahead of the curve by following our Monthly Market Snapshot of the Calgary Real Estate Market. This shows what’s really happening in the Calgary Real Estate Market. The market is driven by supply and demand so here we show the inventory (supply) and sales (demand) and the effect on the price of Calgary Real Estate. A simple way to keep up to date and ahead of most!

Below are the details along with a few comments, all numbers were taken from the Calgary Real Estate Boards Stats package for Realtors.

Want to see stats specific to your Community? Register for our Market Report at http://www.calgaryareasolds.com/

Find out what your Neighbor’s home sold for – Register for our Market Report at http://www.calgaryareasolds.com/

 

Calgary Real Estate Stats have changed.

The Calgary Real Estate Board just changed the operating system for Realtors and with that the Monthly Stats categories have changed as well. Here is the categories.

Old Categories New Categories What’s changed
Single Family Home Detached Does not include attached homes
Condo Townhouse Attached Now includes Attached Homes
Condo Apartment Apartment Condos No Change

 

What this means is simply that attached homes are now taken out of the Single family category and lumped in with the townhouse category. There are a few other classification changes but they are very small and won’t show in the stats. This will affect a few of the numbers below.

 

Oil Prices and the impact on the Calgary Real Estate Market.

I am certainly not going to predict the future here as I am not an expert in the Oil Industry. What I find interesting is that in what I have been reading there seems to be two sides

  • Optimists are predicting that we will be back to at least the 60 – 70 dollar oil by mid year
  • The pessimists are saying that we will be low forever or years anyway

 

My Stats summary below will show you the facts of what has happened to date and some short term predictions. Please note that the market shifted very fast and when oil prices rebound the market can shift very quickly in the other direction. The big question is when? And if you have the answer to that please share it with me.

 

Now onto the Stats Market Snapshot

 

Calgary Listing Inventory:  Yes, Listings are up substantially this month. While January we usually see an increase from December,  this number is very large. With the uncertainty around the oil prices many people that would have listed in spring jumped into the market early.

 

Inventory Dec 2014 Jan 2015 Change
Detached 1496 2359 +863
Attached 315 950 +635
Apartment 745 1117 +372
Total City of Calgary 2883 4426 +1543

 

Calgary Sales:

Typically sales in January increase over December however this is not the case this year.

If I compare sales numbers to last January (which was a strong month) we are down about 37% in total sales.

Sales Dec 2014 Jan 2015 Change % Change
Detached 607 535 -72 -11.8%
Attached 252 190 -60 -23.8%
Apartment 223 155 -68 -30.4%
Total City of Calgary 1082 880 -202 -18.7%

 

 

Calgary Real Estate Sales Prices:

Although we have seen a large increase in inventory and a large decrease in sales, the prices have changed very little so far.

Sales Prices Dec 2014 Benchmark Price Jan 2015 Benchmark Price Change
Detached 518,600 518,600 0
Attached 350,000 341,850 -8,150
Apartment 300,400 298,700 -1,700
Total City of Calgary 459,500 459,100 -400

 

Sales Prices “Year to Date”

Year to date prices – Same as above as were in first month.

Sales Prices Dec 31, 2014 Benchmark Price Jan 2015 Benchmark Price Change

$

% Change
Detached 518,600 518,600 0 0
Attached 350,000 341,850 -8,150 -2.3%
Apartment 300,400 298,700 -1,700 -.6%
Total City of Calgary 459,500 459,100 -400 -.09%

  

 

 

Absorption Rate (Months of Inventory)  (the inventory divided by the number of sales in the last month). What does this mean you might ask?

Buyer’s Market >4.0 Drives prices down
Balanced Market Between 2.8 to 4.0 Prices typically remain stable
Seller’s Market <2.8 Drives prices up

 

*** Absorption Rate:

The absorption rate increased substantially for all categories. While last month we were still in a seller’s market we have clearly moved to a buyer’s market. What this would typically mean is that until things change we are seeing a high supply and weak demand which will put downward pressure on pricing as buyer’s in this market can typically negotiate better prices.

 

Absorption Rate Dec 2014 Jan 2015 Change
Detached 2.46 4.41 +1.95
Attached 1.25 5.0 +3.75
Apartment 3.34 7.21 +2.16
Total City of Calgary 2.66 5.03 +2.37

 

**Please note that these numbers do change on a community basis and more so for towns. If you would like to find stats on your community just let me know. If you have any questions about this summary, the attached stats package or any Real Estate questions please feel free to contact us.

10 Reasons to Use an Agent

February 2nd, 2015

10 Reasons to use a Realtor

Open Houses

January 30th, 2015

We’ve got some great properties that we will be hosting open houses at this weekend. View them below then come check them out in person! Locations and time of these open houses can be found here.

 

Wednesday’s Joke

January 28th, 2015

Baby Realtor

Why Winter is The Best Time To Buy

January 26th, 2015

Buying in the winter

We Couldn’t Have Done it Without You

January 22nd, 2015

We’re honored to have been named one of the top producing teams in CIR Realty this year! We couldn’t have done it without the support of our clients and families. A big thank you to everyone! Top Producers

Prime Reduction

January 22nd, 2015

A great article about the reduction of the overnight rate by the Bank of Canada and what it could mean for you

Bob's Forcast 2

Open Houses

January 19th, 2015

There’s a new feature on our website – exclusively for open houses! Check it out here

Open House - Sad Puppy

CREB’s 2015 Market Forecast

January 15th, 2015

Yesterday was CREB’s economic outlook for 2015 taking a look at all things housing and economy for the year to come. Here’s a brief summary of CREB’s forecast for the upcoming year! For more information you can visit their website creb.com.

 

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Your Home at a glance

January 2nd, 2015

Have you ever driven up to a restaurant and your first impression was
disappointing? Perhaps the windows looked dark and gloomy, the façade
was worn and unattractive or for some other reason it just didn’t look like a
tempting place to eat.
It could still be a fantastic restaurant – a real gem. But, your first impression
has soured your anticipation. If you still walk through the front door, it will
likely be with the expectation of being disappointed.
This scenario often plays out in the real estate market as well.
A buyer drives up to a home for sale and quickly forms an impression based
on what he sees “from the curb”. That’s why you’ll hear real estate experts
talk about the importance of “curb appeal”. It’s one of the most important
selling points of a property.
If you plan to put your home on the market, you obviously want your home
to look as attractive as possible from the street. Fortunately, there are many
simple things you can do to improve curb appeal.
For example, you can trim shrubs and hedges, plant flowers, clean the
walkway and driveway, paint the front door and garage door, and clean the
exteriors of the windows. All these projects are relatively easy and
inexpensive. Yet, each can make a dramatic improvement to how your
home looks at first glance.
Don’t be like the great restaurant that’s hidden behind an unkept façade.
Make sure your curb appeal reflects the overall value of your property.
Looking for more advice on selling your home quickly and for the best price?
Call today