CREB Quarterly Stats - Q3 2023
CREB® unveils Q3 housing market report with special 2024 forecast preview City of Calgary, Nov. 17, 2023 — The Calgary Real Estate ...
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CREB® unveils Q3 housing market report with special 2024 forecast preview City of Calgary, Nov. 17, 2023 — The Calgary Real Estate ...
READ POSTNovember 1, 2023 Price gains continue in Calgary's real estate market as inventory remains low October sales activity slowed over the ...
READ POSTCalgary home sales at record highs in September, yet supply remains a challenge Sales reached another record high in September with ...
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CREB® unveils Q3 housing market report with special 2024 forecast preview
City of Calgary, Nov. 17, 2023 — The Calgary Real Estate Board (CREB®) has released its Q3 2023 housing market report, providing a comprehensive overview of the real estate landscape in the City of Calgary and surrounding areas. The report showcases trends in sales and pricing, offering valuable insights for industry professionals and prospective homebuyers and sellers.
“Sales activity in the Calgary market has followed expectations, with declines earlier in the year offsetting gains in the second half,” said CREB® Chief Economist Ann-Marie Lurie. “Thanks to persistent supply challenges, the market has favoured sellers, resulting in stronger-than-expected price growth. As we move into 2024, we expect to see better supply-demand balances, but given the strong migration levels over the past two years, supply adjustments will take time supporting further price gains.”
Higher interest rates and inflation levels are expected to weigh on consumer spending and business investment, slowing economic growth in 2024. However, thanks to higher commodity prices and migration levels, economic activity in Alberta is expected to outpace national growth levels.
Supply challenges impacted both sales and prices in the Calgary market last year. As we move into 2024, a rise in new listings and an improved number of starts are projected to offer more supply choices; this, along with population gains and a stable employment market, is expected to support stronger sales this year. And as we shift toward more balanced conditions, the pace of price growth is expected to slow from the high levels reported in 2023.
While both sales and prices are expected to rise in 2024, there is considerable risk to the outlook. Shifts in global growth could impact commodity prices and, ultimately, our economic growth, employment, and migration. Migration and employment shifts will influence the path to housing market balance and the rate of price growth experienced in our city.
For the full report, please download CREB®’s Q3 2023 Calgary & Region Quarterly Update Report here.
November 1, 2023
Price gains continue in Calgary's real estate market as inventory remains low
October sales activity slowed over the last month in alignment with typical seasonal patterns. However, with 2,171 sales, levels were 17 per cent higher than last year and amongst the highest levels reported for October. Sales activity has been boosted mainly through gains in apartment condominium sales as consumers seek affordable housing options during this period of high-interest rates.
New listings also improved this month compared to last year, reaching 2,684 units, reflecting the highest October levels reported since 2015. Despite the gain, relatively strong sales prevented any significant shift in inventory levels, which remain over 40 per cent lower than levels traditionally available in October.
“Despite some recent improvements in new listings, supply levels remain challenging in our market,” said CREB® Chief Economist Ann-Marie Lurie. It will take some time to see a shift toward more balanced conditions and ultimately more price stability.”
With a months of supply of one and a half months, we continue to experience upward pressure on home prices. The unadjusted benchmark price in October reached $571,600, a gain over last month and nearly 10 per cent higher than last October.
Both sales and new listings improved over levels reported last October. However, with 1,302 new listings this month and 976 sales, inventory levels slowed over the last month. Inventory levels remain the lowest ever reported for October. Inventory levels have declined for all homes priced below $700,000, leaving conditions exceptionally tight for lower-priced homes. The only area where conditions are not as tight as last year is for homes priced above $1,00,000, where the months-of-supply has risen to 4.3 months.
Persistently tight conditions continue to cause further price gains in the detached market. As of October, the unadjusted benchmark price reached $697,600, a slight increase over last month and 12 per cent higher than last October. Prices trended up over the last month across every district except the South East. Year-to-date benchmark prices have increased the most in the North East and East districts.
New listings in October improved over the low levels reported last year. However, with 235 new listings and 179 sales, the sales to new listings ratio remained relatively high at 76 per cent, preventing any significant change in the inventory levels. Inventory levels are nearly half the levels traditionally seen in October and have not been this low since October 2005.
Persistently tight conditions have continued to support price growth. In October, the unadjusted benchmark price increased over the last month, reaching $628,700, a year-over-year gain of 13 per cent. Prices trended up over September across most districts, with the most significant monthly gain occurring in the City Centre district. Like the detached sector year-to-date, the highest price growth has happened in the most affordable districts of the North East and East.
The 420 new listings this month were met with 375 sales, keeping the sales-to-new listings ratio high at 89 per cent and preventing a significant shift in inventory levels. Row inventory levels have not been this low since October 2005. At the same time, October sales reached a record high for the month, keeping the months of supply low at one month.
Persistently tight market conditions have supported further gains in prices this month. In October, the unadjusted benchmark price reached $425,200, a monthly gain of over one per cent and nearly 19 per cent higher than last October. Prices have risen across most districts, but this month, the largest monthly gain occurred in the City Centre, which has also seen the lowest year-to-date price growth compared to the other districts.
Record high sales in October were possible thanks to the steep gain in new listings. However, with 727 new listings and 641 sales, the sales to new listings ratio remained high at 88 per cent, and inventories continued to trend down. The decline in inventory levels has been driven mostly by condos priced below $300,000, which now represent only 38 per cent of all inventory, a significant decline compared to the 53 per cent reported last year.
Persistent seller market conditions have driven much of the recent gains in prices. The unadjusted October benchmark price reached $316,600 in October, a monthly gain of over one per cent and a year-over-year increase of 16 per cent. Year-to-date price gains have occurred across every district in the city, with some of the largest gains arising in the lower-priced North East and East districts.
REGIONAL MARKET FACTS
Sales in the city eased in October, contributing to the year-to-date decline of 29 per cent. Much of the decline has been driven by detached home sales. Limited supply choice in the lower price ranges has contributed to some steep drop in home sales priced below $500,000. While Inventory levels have improved over last year's low levels, the growth was driven by homes priced above $500,000.
While adjustments in both sales and inventory levels did cause the months of supply to trend up over the last month, with less than two months of supply, conditions remain tight, supporting further price gains. In October, the benchmark price rose over the last month, reaching $521,400, a year-over-year gain of nearly 10 per cent.
New listings improved over last month's and last year’s levels, likely supporting some of the monthly gains in sales. Nonetheless, year-to-date sales have eased by nearly 22 per cent as sales have eased across all property types. While sales have slowed, levels remain far higher than long-term trends for the town. Despite the monthly improvement in new listings, inventory levels were lower than last year and remain well below long-term trends.
Persistently tight market conditions supported further price growth this month. In October, the unadjusted benchmark price reached $539,900, a monthly gain of over one per cent and a year-over-year increase of seven per cent. Price growth has occurred across all property types, with the largest year-over-year gains occurring in the apartment condominium sector.
The 48 new listings in October were met with 41 sales, keeping the sales-to-new listings ratio high at 85 per cent and preventing any adjustments to the exceptionally low inventory levels. Low inventory levels have likely prevented stronger sales activity, as year-to-date sales have declined by 26 per cent, primarily due to pullbacks in detached activity.
Despite some price adjustments over the last few months, the unadjusted benchmark price rose slightly over September and was over nine per cent higher than last October. Prices have increased across all property types, but the year-over-year gains have been highest for detached and semi-detached homes.
Click here to view the full City of Calgary monthly stats package.
Click here to view the full Calgary region monthly stats package.
As a responsible homeowner, making your property safe for young trick-or-treaters is essential.
Everyone wants an accident-free Halloween in the neighborhood, so these few tips will ensure the local kids have a scary and super-fun night.
Clear paths
Little trick-or-treaters are excited and ususally run from house to house. Tidy up the front yard, removing any garden tools or toys that might be left out to avoid tripping hazards.
Light it up
Turn on your exterior lights, especially if you have illuminated the edges of your garden path.
Flame-free
If you plan to decorate your home, it's a cool idea not to use anything flammable.
Animal Friendly Decor
Avoid using the faux spider web decor. These cobwebs are hard to remove after Halloween and birds often try to use it in nesting material come spring. Although it's cozy, it's actually dangerous as it often tangles around the beaks and feet of both parents and babies in the nest.
Cable danger
If your Halloween installation needs electricity, please tape down extension cords and cables from where trick-or-treaters will walk.
Sweet treat
If you're in the “treat brigade”, consider giving kids candy in reflective bags. Or offer gifts that are reflective, as these will help drivers see them as they move down your street.
Allergies
Don't include nuts or chocolate with nut content in your stash of treats.
Check the candy
Sometimes treat wrappers aren't properly sealed when coming out of the box. It's a great idea to go through your candy stash to ensure everything is edible. Where wrappers are even slightly opened, discard the candy.
Be blunt
Many folks will use items like swords and wands to help dress the house so it's super-spooky. Please ensure these items are soft, and there's no possible way kids could come to any harm from them.
Brief neighbours
If you're planning a big Halloween party, it's a great idea to let the neighbors know.
Calgary home sales at record highs in September, yet supply remains a challenge
Sales reached another record high in September with 2,441 sales. Despite the year-over-year gains reported over the past four months, year-to-date sales are still nearly 12 per cent lower than last year's levels.
New listings also improved this month compared to last year and relative to sales. This caused the sales-to-new listings ratio to fall to 76 per cent, preventing further monthly declines in inventory levels.
Nonetheless, inventory levels in September remained over 24 per cent lower than levels seen last year and, when measured relative to sales activity, has not changed enough to cause any significant shift in supply and demand balances. As of September, the months of supply has remained relatively low at less than two months.
“Supply has been a challenge in our market as strong inter-provincial migration has elevated housing demand despite higher lending rates,” said CREB® Chief Economist Ann-Marie Lurie. “While new listings are improving, it has not been enough to take us out of sellers’ market conditions.”
In September, the unadjusted residential benchmark price was $570,300, similar to last month and nearly nine per cent higher than last year.
Inventory levels remained at record lows for the month as the sales-to-new listings ratio remained relatively high at 76 per cent. The decline in inventory levels has been driven by homes priced below $700,000, as supply levels show some improvement for homes priced above this level. While detached sales improved over levels reported last year, much of the gains were driven by the higher-priced properties with some supply options. Overall, homes priced below $700,000 continue to struggle with less than one month of supply.
Despite persistently tight market conditions, the unadjusted benchmark price remained relatively stable this month compared to last month, as a monthly price adjustment in the West end of the city offset monthly gains in all other districts. Overall, at a benchmark price of $696,100, prices are still over 11 per cent higher than levels reported last year at this time, with year-over-year gains ranging from a high of 20 per cent in the East district to a low of nine per cent in the City Centre.
September reported a boost in new listings compared to sales activity as the sales-to-new listings ratio dropped below 70 per cent, the first time it has done that since September of last year. The one-month shift supported a monthly increase in inventory levels, but with 295 units available, inventories have not been this low since September 2005.
Following ten consecutive monthly price gains, benchmark prices in September did ease slightly over the last month. However, at a benchmark price of $621,300, prices are still 11 per cent higher than last year’s levels. The monthly pause in price was primarily driven by adjustments in the West and North West districts, which saw the months of supply rise above levels reported last year and last month.
The pullback in monthly sales outpaced the pullback in new listings, causing the sales-to-new listings ratio to fall to 84 per cent. While conditions are still exceptionally tight, it is an improvement over the 90 per cent average reported since April. The shift also prevented any further monthly declines in inventory levels. However, with less than one month of supply, the persistently tight conditions continue to place upward pressure on prices.
The benchmark price in September reached $419,400, a 1.5 per cent monthly gain and 17 per cent higher than levels reported last year. Price gains have occurred across all districts, with the most significant gains occurring in the most affordable districts in the city.
New listings in September were at the highest levels reported for September, contributing to the record-high sales this month. Year-to-date apartment condominium sales reached 6,286 sales, a 25 per cent gain over last year and a record high for the city. Higher lending rates and tight rental market conditions have kept demand for apartment-style products strong. While inventory levels did see a modest gain compared to last month, thanks to a lower sales-to-new-listings ratio, conditions remain exceptionally tight with 1.5 months of supply.
The persistently tight market conditions have continued to drive further price gains. In September, the unadjusted benchmark price reached $312,800, a 1.2 per cent increase over last month and nearly 15 per cent higher than last year.
With 204 new listings and 144 sales, the sales-to-new-listings ratio dropped to 70 per cent, the first time that has happened since 2020. Improved new listings compared to sales helped support a modest monthly gain in inventory levels. However, September inventory levels are still amongst the lowest levels reported since 2005, keeping the months of supply exceptionally low with just over one month.
The persistently tight market conditions have continued to drive further price gains in the city. In September, the unadjusted benchmark price reached $518,000, reflecting a year-over-year increase of over eight per cent. Price gains have occurred across all property types, with the largest year-over-year gains occurring in the apartment condominium sector.
Both sales and new listings eased in September, leaving inventory levels relatively stable this month. While inventories are nearly 40 per cent lower than long-term trends for the month, they are not at the record lows seen. The pullback in sales compared to inventory levels also caused the months of supply to push up above two months, the first time we have seen that since February.
While conditions remain relatively tight, the shift likely prevented further upward pressure on monthly home prices. The unadjusted benchmark price in September was $532,700, slightly lower than last month due to pullbacks in the detached, semi-detached and row sectors. Despite the monthly pause, total residential prices are still over five per cent higher than September 2022 levels.
With 69 new listings and 52 sales, the sales-to-new listings ratio dropped to 75 per cent in September, the lowest ratio seen since August 2022. The gain in new listings relative to sales prevented any further monthly declines in inventory levels. However, with only 70 units available in September, inventory levels are still amongst the lowest reported monthly levels in over 20 years.
The modest adjustment in both inventory and sales did cause the months of supply to rise over last month’s levels. Still, conditions remain relatively tight, especially for semi-detached, row and apartment-style properties. As of September, the unadjusted benchmark price was $580,200, nearly nine per cent higher than last year.
Click here to view the full City of Calgary monthly stats package.
Click here to view the full Calgary region monthly stats package.
Maintaining a garden makes a substantial difference to the value and desirability of your home when the time comes to sell.
Gardens can sway buyers, especially when reducing their short list of desirable properties.
These six tips will prime your garden for next spring and summer.
Trees and shrubs
Only prune after they've dropped their leaves. It will be an excellent opportunity to reshape the plant if it has become a little unruly. Avoid heavy pruning as this may encourage growth just when it should be falling into dormancy for winter.
Fruit Trees
All pip trees, including apples and pears, should be pruned right now. Try to cut into the trees to open up the centers to improve the amount of air and sunlight that can penetrate. Remove dead and diseased branches.
Lavender
A wonderful shrub that's everyone's favorite. But it's so easy to kill it when pruning. Only cut the new growth. Never cut it back to the wood. If you're too brutal with lavender, it will not survive.
Roses
A light prune is ideal at this time of year for hybrid tea roses. Again, look for dead or diseased canes. Remove canes that have grown in the wrong direction and will limit sunlight penetrating the plant.
Perennials
Wait until these have died back before getting out your secateurs. Resist the temptation to cut them back too hard, but it is an excellent opportunity to reshape the appearance of many of your flowerbeds.
Evergreens
A light pruning will be ideal for evergreens, and you should remove dead and damaged branches. If you want to cut hard, wait until spring so they have a chance to bounce back in the warmer weather.
Remember that the City Of Calgary encourages composting your yard waste:
Put all yard waste into your green cart for composting, including:
Fill your green cart first. If your green cart is full:
In many real estate advertisements you see the claim “close to good schools”, but does the proximity to education centers really affect a property's value?
The adage “location, location, location” is well known and refers to how a property's value benefits or suffers from the surrounding neighborhood.
Families looking to buy often prioritize the proximity to schools and the ease of access to transport systems.
Naturally, sellers want to put a premium on such benefits.
Research from the National Bureau of Economic Research has recently linked property value to schools in a study: Using Market Valuation to Assess Public School Spending.
It claims that for every dollar spent on a local public school, the value of a home goes up $20.
If you assume that funding is the determining factor of a good school, then property prices benefit from having well-financed education facilities nearby.
A 2016 study by property site realtor.com claimed property values were on average higher in top-performing school districts than the median real estate price. It used Duke University as an example, noting homes achieved an average of 52c per square foot more than homes outside the area.
While there is no dispute about the impact of location on value, quantifying that benefit is not a perfect science. Each buyer will see different benefits to the location of a home.
These are some of the essential local amenities that today's buyers want nearby. When you decide to sell, ensure you maximize every location benefit you offer.
Essentials
Folks want to be near some of the most fundamental public services such as schools, universities, hospitals, transport systems and shopping centers.
Lifestyle
Sellers can place a premium on their property for amenities that make life fun, such as parks, cafes, restaurants, cinemas and theaters.
Safety
Low crime rates, well-maintained neighborhoods and a strong community are seen as highly desirable by buyers, especially families and senior buyers.
Nature
If you have great views, either of surf crashing onto the beach or rolling hills, you'll be able to demand a premium.
Jobs
Being close to centers of employment, or a CBD, is a significant tick-in-the-box for buyers who dread wasting hours every day on a long commute. Areas with strong employment growth play well, too.
History
Many folks love living in areas of cultural significance because these areas are so unique. Where you can, emphasize this benefit of “unique living”.
Future
Savvy sellers will also investigate the future plans for their neighborhood and emphasize these benefits. Additional infrastructure, such as a new hospital or train station, will bolster local prices.
Home-hunting can be a deeply frustrating experience if you approach the challenge without a plan.
As America confronts a shortage of homes for sale with sellers waiting out the recent spate of mortgage cost rises, you've got to be on your game as a buyer.
Finding the right property, negotiating successfully or being able to pick yourself back up when you miss out has never been more important.
These tried-and-tested methods have enabled buyers to find their dream homes in the toughest markets.
Be efficient
The first rule is to conserve your energy. Be selective about the properties you wish to view. You'll exhaust yourself if you try to walk through every house, apartment, duplex or condo that catches your eye.
Drive-by viewing
Before committing yourself to spending time inspecting an apartment or house, do a quick drive-by. Check out the exterior and get a first impression of the general maintenance of the property.
Quick spin
Then, take a spin around the neighborhood to see if this is the type of area for you. Avoid wasting time making an inspection to then decide you don't like the area. Do it the other way around.
Limit inspections
Admittedly, this is a tough goal to set, especially as we're seeing fewer properties on the market than usual, a situation that's bound to change in the next few months. However, try to limit yourself to eight to 10 properties. So, choose carefully.
Prioritize preferences
Selecting the homes to walk through will be easier if you have a clear idea of what you want. The attitude, “I'll know it when I see it”, is fine but it will take up your time. Only inspect a property if you like the price, location, condition and floorplan.
With all the excitement of purchasing your first property, you can be excused for feeling a little intimidated by the prospect of furnishing it to complete your dream of home ownership.
Naturally, you want everything to be perfect.
Whether an apartment or house, this is your sanctuary. It's where you'll find respite from the pressures of daily life and invite friends and families over for social occasions.
So, choosing the right furniture is not a small deal.
It's easy to be overwhelmed by the array of styles, such as Scandinavian, rustic, coastal or even minimalist. Or you just want to choose furniture you love, and ignore the principles of a particular style. These tips will help.
Find inspiration
Go online and devour the wide range of home-styling magazines to find your perfect approach. Creating a mood board to capture furniture and layouts you love works a treat.
Color question
Choosing furniture isn't just about size and comfort. Color is a significant factor. Decide on your color scheme before hitting the furniture shops. Consider the color of the walls and your flooring before deciding how to proceed.
Measure up
You should measure each of your rooms. One of the biggest mistakes to make is purchasing furniture that is too large for the intended room or living area. Mapping out your home will ensure you don't make this error.
Stay focused
Pick your preferred styles and then research the approaches you can take within each style. If you adopt a scatter-gun approach, you'll likely end up with a mess of options.
Energy flow
Your furniture will create a kind of “energy”. It's a great idea to use your mapping approach to decide the size of the furnishings and where they should be positioned. You want to ensure each room has a simple but efficient traffic flow.
Eastern promise
Feng shui is the Chinese art of creating positive energy in your home. Its principles make a lot of sense. You may find it worthwhile checking out Feng shui and how it might help you.
The bottom line
It's common to gravitate towards furniture that we “absolutely must have” but is probably beyond our spending limit. It's fun to dream, but you need to keep your feet on the ground. Make a budget for each room to help pay attention to the dollars.
CREB® unveils Q3 housing market report with special 2024 forecast preview City of Calgary, Nov. 17, 2023 ...
November 1, 2023 Price gains continue in Calgary's real estate market as inventory remains low October ...