ResalesCalgary: Snowing A Seller"s Market?
Calgary, located in the Canadian province of Alberta, is known for more than its terrific ski resorts near Alberta"s Rocky Mountains. Once the host city for the winter Olympics, Calgary is a beautiful city on the banks of the Bow River, the home of progressive technology, oil and forestry companies, as well as great real estate buys.
"Calgary is a very progressive City with close to 900,000 population," says Realtor Elizabeth Chalmers. "There"s a terrific entrepreneurial spirit.
According to local Realtors, Calgary has had a tremendous upsurge in the market, with a particularly brisk business being done in condominiums.
"With the rise in condo buildings it is enabling many more first-time buyers to enter the property market," explains Chalmers. "Interest rates are still low, and I am finding more and more renters are deciding to enter the homeowner market - the figures show that about 35% of renters are seriously considering buying this spring.Calgary has fast become a "condo city" -a condo may be purchased for as low as $90,000 to as high as beyond $1,000,000."
However, warns Chalmers, condominiums have some risk. "With the Condominium Act in the process of changing, future buyers have to be aware of the changes so they don"t "buy a problem," advises Chalmers. "This is why it is highly recommended that a Realtor who is aware of all the changes in the Act - and is familiar with the various condo corporations - is hired by a prospective purchaser.
"More listings are coming on the market which should level out the buyer/seller ratio," she adds. "Inner city neighbourhoods are becoming more popular because of their nearness to downtown - investors are also very active because of the ability to rent them easily."
But even in this idyllic setting, economics are a major concern.
"Gold is up 16+ $, companies that were selling on the TSE at 40 x earnings are dropping their share value by 30%, labour prices are going up," says Realtor Ernie Laprairie, "Lumber is up and in trouble with the US, drywall is up and everything else, just because up is the word. Calgary papers now say that unemployment is rising except in certain sectors.
"The bell curve of supply and demand has reached it peak at 90 homes selling per day. The daily sales will now drop to 45 a day slowly until early January when they will be creeping up again and the next wave happens."
Click here to view current Market Conditions in your location.