Calgary Housing Market Report , March 1, 2017 – 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 per cent 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 per cent 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 per cent last year to 55 per cent 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.”
Posts tagged with "buying home in Calgary"
What Are The New Mortgage Rules? As of 17th October 2016.
- The government will restrict insurance on mortgages to loans on owner-occupied dwellings with amortization periods less than or equal to 25 years, purchase prices (not loan amounts) of less than $1 million, and for borrowers who meet a minimum credit score standard of 600.
- All insured mortgages in Canada (i.e. any mortgage where the borrower puts less than 20% down OR portfolio insured mortgages – i.e bulk insured loans with MORE than 20% down) will be underwritten using posted rates to qualify borrowers based on their income. For perspective, based on today’s rates, that means a borrower that could qualify for a mortgage at a 5-year fixed rate of 2.29% now will have to qualify – as of the 17th of October – at the qualifying rate of 4.64%.
- Foreign buyers will need to prove that a home they sell is their primary residence to avoid capital gains tax exemption abuse.
For example, if you have an annual household income of $60,000 and all other variables remain the same, the difference between the old rules and the new rules are a $338,000 home vs. a $272,000 home. Your purchasing power just went down by $66,000.
Another example, a home buyer currently qualified to purchase with 10% down for a mortgage of $527,000. After October 17th, this home buyer would qualify for a $420,000 mortgage. This equates to a 20% drop in buying power. (All things being equal in terms of property taxes, income, debts, etc).
Useful Tip: If you’re a homebuyer and you have a pre-approval, then talk to your mortgage broker because the numbers you qualify for probably just changed. It maybe more difficult for Sellers to find a quailifed Buyer, and it may affect property prices in Alberta, we will have to wait and see.
Some of this information was provided by First Foundation, please check out this link for more information.
Looking for a Calgary Infill Home? Calgary Infill homes come in many shapes and sizes and are generally in the inner city communities, such as Altadore, West Hillurst, & Killarney. Infill homes can be new builds or homes that are built in the last 30 years. The advantage of the Infill over the suburbs is the closeness to down town, restaurants, shops, bike paths, walking to work, less commute time, etc. Infill homes range in price from $400k to $2,000,000 plus. This website has all the Infill Homes For Sale in Calgary on MLS®. Please check out this link:http://www.searchcalgaryhomes.ca/search/1406
The term “infill” describes a form of development where a new home is built on an older lot and the old structure is removed. Hence, the existing lot is “filled in” with something new.
One major tax that Jim Prentice was planning went under the RADAR for most Albertan’s.
It was part of the PC Budget and dramatic fee hikes coming to Alberta real estate market.
This was one major over reaction by Prentice and would of hit first time buyers very hard.
The tax will rise six times its current level. (What gave anyone the right to raise them by this amount!)
Here is what it will mean for a buyer who purchases a $500,000 new home this summer.
The average price for a standalone house in Calgary for Buyer who takes out a $400,000 mortgage.
Currently, Buyer pays $150 for New Land Title and $140 for Mortgage Registration. Total of $290.
Proposed PC (Prentice) Budget:
Buyer pays $675 for New Land Title and $555 for Mortgage Registration. Total of $1,230.
This major tax increase was not called for!
Notley (NDP) makes buying a home more affordable by cancelling PC Mortgage Tax hike!
Rachel Notley’s NDP will make homes more affordable for Buyers and families by cancelling the PC plan
to increase Mortgage and Land Title Taxes by 600 percent!
Calgary Housing Inventory Up = More Choice for Buyers
It was about this time last year that Calgary’s hot real estate market was difficult for the average buyer to get into. With multiple offers and low inventory buyers felt the stress and frustration and often put their purchase on hold to wait out the frenzy.
Moving forward to the present, inventory has risen and buyers are being offered more choice. The average buyer is not looking to acquire rental properties and is therefore looking to purchase a home to live in and now with a balanced market coupled with low interest rates is a perfect opportunity for buyers to make a home purchase.
Real estate is typically a long term investment and with any investment it is best not to wait too long on a good deal or it could get snapped up. Short term fluctuations in the market are normal and some may argue that it’s best to get in while you can rather than wait for the market to sky rocket.
Buying a home for your family is something you can hold on to and know that your money is growing in the long term. It’s a place to come home to and create memories in and with Calgary’s balanced market it might be the right time for you.
Please check out this link for mortgage pre-approval:
Please check out: http://www.SearchcalgaryHomes.ca for Calgary Homes For Sale
Or Call Geoff Antrum at 403 608 5682 or Matt Antrum 403 608 5684.
We Educate Our Clients Before They Make A Move!
Low Interest Rates Give Calgary’s Housing Market an Added Boost and Calgary Renters more choice to buy.
With the Bank of Canada lowering its prime lending rate, major banks are starting to follow suit and pass the savings onto consumers, making buying a home more affordable.
While January and February are typically slower months on the market there are definitely still buyers out there who are now able to make their purchase. Check out Jencor’s current rates below to see how much you can save.
Please check out this link for mortgage pre-approval:
|JENCOR’S CURRENT RATES*|
5 YR fixed rate MORTgage
Posted Rate: 4.94%
4 YR fixed rate MORTgage
Posted Rate: 4.54%
3 YR fixed rate MORTgage
Posted Rate: 3.75%
2 YR fixed rate MORTgage
Posted Rate: 3.04%
|2.69%||1 YR fixed rate MORTgage
Posted Rate: 3.14%
5 Yr Variable Rate Mortgage
Posted Rate: 3.00%
CREB® 2015 Forecast for City of Calgary
Breaking into Calgary Real Estate Market in Late 2014. What Do Buyers Need to Know?
World Oil Prices are beginning to slow the market and CREB (Calgary Real Estate Board) has indicated (Dec 10, 2014) that we are moving into a Balanced market where house prices will stabilize in 2015.
Please check out the Chart (see below) for “Average Sold Price” in Calgary.
Possible predictions for 2015 house prices in Calgary:
Oil price recovers to $100 a barrel: house prices will probably continue to rise, like 2014.
Oil price stabilizes at $70 a barrel: house prices will probably remain flat.
Oil price drops to $40 a barrel: house prices will probably decline.
CREB® is going to make a 2015 Calgary Housing Market Forecast in mid January 2015 for the up coming year. So we will provide a more accurate predictions once the CREB® 2015 Forecast is available.
Check out our website at www.searchcalgaryhomes.ca
Matt Antrum & Geoff Antrum have a new listing this week. Call us at 403 608 5684 for more information.
Here is the Listing Link for : #1108 788 12 Av SW Calgary
Great value in the award winning building of Xenex on 12th located in Calgary`s downtown beltline. Spectacular, panoramic views of the downtown skyline, this executive 1 bedroom, 1 bathroom, sought after corner unit has all the high end finishing’s: Granite counters throughout, SS appliances, 9ft ceilings, central air conditioning, in suite laundry, built-in computer station, floor to ceiling windows & custom blinds throughout, and a spacious layout. Tons of storage both in suite and a separate storage locker. Anyone with a large truck or SUV will appreciate the oversized titled parking stall. Each unit equipped with separate utility meters for electricity, heat, and water. Xenex is in a fantastic location, easy walking to all amenities, C-train, shopping, restaurants, entertainment and the downtown core.
Check out our website at : www.searchcalgaryhomes.ca
Breaking into Calgary Housing Market in 2014. What Do Buyers Need to Know
Calgary Homes & Condos are selling more rapidly than 2009 to 2012.
It’s a Calgary Seller’s market in 2014, similar story as 2013.
Housing Inventory is down: less number of homes for Buyers to choose from.
So good quality homes that are priced right will not be on the market for very long. A matter of days in a few key areas of Calgary. There can be multiple Offers and homes can sell at List price. Buyers who keep waiting for a home to drop in price can be disappointed since it could easily sell if it’s close to market value. This is where Buyers need a REALTOR® to guide them on price and market value. Buyers can get caught up in the hype and over pay. So speak to your REALTOR® about market value for community you are buying in. Ask your REALTOR® what is the Average Drop Price for Calgary community you are planning to buy in.
Calgary Buyers who procrastinate & are indecisive will miss out! If you see a home or condo that stands out from the crowd and looks like great value, don’t wait. The 2014 market is fast and many buyers will be looking at the same property, for the same reasons. A REALTOR® can help Buyers make an informed decision in a fast market that is in the interest of the Buyer.
Calgary Market Conditions 2013 2014 (Forecast)
- Seller’s Market Yes Yes
- Single Family Home Price Gain 7.8% 3.8%
- Net Migration to Calgary 19,000 15,000
- Rental Vacancy Rate 1.0% 1.2%
- Calgary GDP 3.4% 3.7%
- USA GDP 1.6% 2.5%
(Data taken from CREB 2014 Economic Outlook & Regional Housing Forecast)
Please check out our website at www.searchcalgaryhomes.ca
Geoff Antrum REALTOR® at CIR REALTY 403 608 5682
Matt Antrum REALTOR® at CIR REALTY 403 608 5684
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The trademarks REALTOR®, REALTORS®, MLS®, are controlled by The Canadian Real Estate Association (CREA). Used under license.