Warren Shouldice

Cell: 403-461-8103 |

December Real Estate Update

Welcome to December! The last month of a year many of us would rather forget. Yes, 2020's been a bit of a train wreck, but at least there's some light at the end of the tunnel. I know I'm certainly looking forward to the new year. Whatever your hopes and plans are for 2021, I wish you nothing but good health, happiness and success!

 

Market Update:


For the sixth month in a row, sales in the Calgary market recorded a year-over-year gain. Sales growth over the past several months has been the strongest seen in the past five years, but the activity has not been strong enough to offset the pullbacks from the spring. Year-to-date sales remain over three per cent lower than last year's levels.

New listings continue to slow, reducing inventory in the market. On a year-to-date basis, new listings have eased by nearly ten per cent and are at the lowest level recorded since 2001. This has reduced the oversupply that has been impacting the market for nearly five years.


"The gains in sales in the latter part of this year have been a bit surprising considering the job losses and unemployment rate in our city," said CREB® chief economist Ann-Marie Lurie. "However, it is important to note that the shift to more balanced conditions has been mostly driven by the reduction of supply."


Tighter conditions in the housing market have contributed to some of the recent gains in benchmark prices. As of November, the benchmark price was $423,600. This is nearly two per cent higher than last year's levels.


However, conditions vary depending on price range. There is not a lot of supply for affordable homes in each product type because of high demand. This is likely causing differing price trends in the lower end of the market versus the higher end.

 

Quick Stats:

 

 

Nov. 2019

Nov. 2020

Y/Y% change

Detached

     

Total sales

703

883

25.60%

Inventory

3,002

2,244

-25.25%

Months of supply*

4.27

2.54

-40.49%

Benchmark price**

$478,200

$492,000

2.89%

       

Semi-Detached

     

Total sales

101

152

50.50%

Inventory

661

452

-31.62%

Months of supply*

6.54

2.97

-54.56%

Benchmark price**

$390,000

$395,100

1.31%

       

Row

     

Total sales

154

191

24.03%

Inventory

890

822

-7.64%

Months of supply*

5.78

4.30

-25.53%

Benchmark price**

$280,900

$282,200

0.46%

       

Apartment

     

Total sales

188

211

12.23%

Inventory

1,431

1,510

5.52%

Months of supply*

7.61

7.16

-5.98%

Benchmark price**

$248,100

$245,400

-1.09%


*Months of supply: The ratio between inventory and sales which represents the current pace of sales and how long it would take to clear existing inventory.

**Benchmark price: The monthly price of the typical home based on its attributes, providing the best measure of price trends.


Avoiding the #1 Cause of Seller Stress


Do you know what causes the most common source of stress when selling your home? Is it scheduling buyer viewings? Is it the length of time it takes for your property to sell? Is it an offer that falls through? Those things can, indeed, cause some worry! But, the number one source of stress is actually simple to avoid. It’s not understanding the process. 


Even if you’re no stranger to moving, you should review the process involved in selling your current home before you list it. If you don’t, you might end up exposing yourself to anxiety that could have been easily avoided. Say, for example, you’re concerned that your home has been listed for too long. It’s been a week and no good offers have come in. Well, if you knew, in advance, how long a home like yours typically takes to sell, then you probably would know not to worry.

It’s important that you start the process by understanding what to expect. What happens when your home is first listed? How are buyers scheduled to see your property? What happens when an offer comes in? That’s why we will always review the selling process before you list and make sure all your questions are answered.

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Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.