March was a good month for the world of real estate! Calgary is still in recovery mode from the drop in oil prices earlier this year, but conditions have remained relevantly stable and continue to stay in a healthy environment.
The most significant thing that happened in March that you, a potential buyer or seller, need to be aware of is the rise in inventory and the fact that benchmark prices dropped %0.44. Why is this? The more houses there are on the market, the more competition sellers have. If you are looking to buy, this means you have lots of options at reasonable prices. If you are looking to sell, remember that there are a lot of houses on the market right now, so you need to make sure you are offering a fair, competitive asking price.
These conditions are quite the change from last year when prices were high and inventory was low. However, this buyers market is expected to ease in the coming months as the new inventory is absorbed. In April we will likely see a drop in inventory as less homes are put on the market, but this will really help balance the market again.
Remember that the Calgary Real Estate market relies heavily on employment rates. More jobs means more people, and more people means more houses are needed. One of the reasons we have such a thriving market is because Calgary draws in people from all over the world seeking good jobs and community, so the market rarely grows stagnant.
CREB Chief Economist, Ann Marie Lurie, says, “In February, employment figures pointed towards job losses related to the energy sector. While monthly employment gains offset the losses, most of the gains were in the traditionally lower paying industries such as the personal services sector. If this trend continues, it may influence the composition of housing demand.”
What can you do with this information? CREB President Corinne Lyall reports, “In this market, buyers and sellers should be thinking about their short term and long term objectives. This is a challenging economic time and people need to know their long game, so they can make the right real estate choices for today and tomorrow.”
Check out CREB’s website at the following link for more information and to stay informed: http://www.creb.com
Your Real Estate Professional,