Spring has Sprung!
Yay!! Spring (and it feels like summer) has arrived in Alberta. After the long winter, we are loving the warm weather and happy to see everyone out planting flowers, gardens and getting the crops in. Also, on the minds of Albertans, is the upcoming provincial election on May 29th and the results that will have an impact on the prosperity of our province in the coming four years. This is your reminder to get out and vote!
We love to share our clients’ successes and this spring we had an incredible sale in South Calgary – marketing a home by giving Buyers 3 days to view the property before reviewing all competitive offers – in just 3 days we had 45 showings, 12 offers and the property sold unconditional for $86,000 over list price. Congrats!
The market has been HOT, HOT, HOT!!! If you have property to sell, now is the best time to sell. There are more Buyers circling than there are Sellers in all markets. Combine our years of expertise, our market intuition, and our knowledge of residential in Calgary, small towns, and rural property – we can provide a comprehensive evaluation of your property. For a free market evaluation, give us a call – Rees at 403.350.7815 or Kari at 403.803.3299.
Here is the latest from the Calgary Real Estate Board:
Sales activity has behaved as expected through the start of 2023 and slowed by 43 per cent over last year’s all-time record-high performance in the first quarter. The steeper decline in the first quarter was expected, given the surge in sales last year, as purchasers were eager to enter the market ahead of expected rate gains. “While no further rate gains have occurred so far this year, the higher lending rates and limited supply options are contributing to some of the pullbacks in sales,” said CREB® Chief Economist Ann-Marie Lurie. “Nevertheless, despite the decline, sales activity has remained well above pre-pandemic levels thanks to recent gains in migration coupled with a stronger employment market.”
The most notable challenge in the market has been related to supply levels. New listings were expected to ease as higher lending rates would make it more difficult for the move-up buyer. However, the pace of decline in new listings has exceeded expectations. New listings in the first quarter declined by 40 per cent, preventing any significant shift in the supply levels given the relatively strong sales. Months of supply is under two months in the first quarter, conditions continue to favor the seller.
“Some of the fluctuations in price were expected this year, given what happened last year,” said Lurie. “However, price growth to date has been stronger than expected. Given the limited supply currently on the market, we could expect to see some stronger price growth through spring, potentially supporting a modest annual gain in 2023.”
Alberta Land Sales
Springtime in Alberta also delivers the results of the 2022 FCC FARMLAND VALUES REPORT. Here is some excerpts of the Alberta land sales in 2022:
Alberta cultivated farmland values in Alberta increased by 10.0% in 2022, following average increases of 3.6% in 2021 and 6.0% in 2020. With commodity prices remaining strong and supply-managed operations looking for land, the demand for cultivated farmland continued to grow in both the Northern and Central regions (Red Deer to Calgary region). Like other provinces, irrigated land has higher overall value than cultivated land or pastureland. Irrigated land in the Southern region witnessed an increase of 29.9% in 2022, reaching record-high values. This considerable increase was attributed to larger contracts for specialty growers, mainly potatoes, and to land coming for sale near major growers and storage sites.
Overall, pastureland values in Alberta increased by 5.5% in 2022. The Central region experienced an increase in pastureland values at 6.0%. The Southern region saw the lowest increase in pastureland values, with a modest 1.6% growth. However, the Southern region held the highest value per acre in the province.
Smith & Griffith is seeing high demand for rural properties and especially in the acreage market. The trend towards working remotely, raising chickens and growing your own food is strong.
Have you ever considered subdividing but don’t know where to start? Give us a call.
SMITH & GRIFFITH REAL ESTATE TEAM can assist you with all your subdivision process requirements as your Designated Subdivision Agent. We pride ourselves on turning your idea of subdivision into reality as quickly and smoothly as possible. Our extensive list of services includes everything from an initial on-site evaluation of the land parcel and subdivision sizing estimates/drawings to the title completion and the MLS listing of one or more of the land parcels for sale. Call us today for a consultation appointment.
Looking for the Perfect Home or Investment in 2023?
Don’t miss out in this HOT market – If you are planning on BUYING, let’s set up an automatic MLS search email for your buying criteria and you will receive an email from us as soon as new listings hit the market. If you are thinking of LISTING and looking for an honest conversation about the real estate market, our team is here to help. Combined with our years of experience, expertise, market intuition and team approach, we can provide the most comprehensive evaluation of your property. We have the tools and skills to bring you top dollar for your real estate! Give us a call!
Wishing everyone a beautiful spring – here’s hoping for May showers and sunshine!!
Rees and Kari
“Opening Gates To The Country And Doors To The City”