Good news! Across Alberta, real estate sales activities picked up this Spring! The Alberta Election results have had a big impact on the optimism in Alberta. The west side of the province led the charge with an increase of 17.9% in sales year over year for the month of May. Other hot spots in the province included the South-Central areas and the Calgary region.
Residential Market:
The majority of sales in residential markets are happening in the lower price range. It is likely due to the decreasing rental vacancy rates which in turn is pushing tenants into the market. This trend has been developing over the past year, which is great news for residential real estate. As the first-time home buyer market picks up, so will the “move-up” markets. Many buyers in today’s markets are also selling, so having a more active starter market will ignite the “move-up” buyer market.
With the uptick in sales activity, and the lower volume of new listings hitting the market we are seeing more balanced markets return to many areas which in turn help to further stabilize home prices. While MLS sales are up, they remain 10% below longer-term trends. This sales growth is primarily driven by homes priced under $500,000, according to the CREB board. “While sales activity remains low based on historical activity for May, the easing prices have brought some people back to market, while also preventing others from listing their homes,” said CREB’s chief economist Ann-Marie Lurie. “This has started to push the market towards more balanced conditions. If this trend continues, it could limit some of the downward pressure on prices.”
It’s a Buyer’s Market and the rest of 2019 looks like a great time to buy. It’s that time-honoured principle of “buy low, sell high.” Let the Smith & Griffith Real Estate Team with CIR Realty know what you’re looking for and we’ll sort through the inventory to make finding your ideal property a whole lot easier.
Agricultural Market:
The agricultural land market continues to be red hot despite China blocking shipments and cutting off new imports of our highest margin cash crop –canola! The market continues to be strong in the face of escalating tariff and trade wars popping up between our largest trading partner, the United States and several other countries. The shortage of land available in most areas has forced buyers to make quick decisions in order to secure land for investment or expansion of current operations.
According to Farm Credit Canada, Alberta’s farmland value appreciation remains strong averaging around 7% across the province. Southern Alberta irrigated land appreciated the most at over 10%, while Central Alberta saw more modest gains in the 5-6% range. If you’re planning on BUYING land, get on our FIRST CALL BUYERS LIST to avoid the disappointment of missing out on new listings as they come to market. If you’re SELLING, talk to us about maximizing the dollars in your pocket by using our marketing experience and tools to reach competitive land buyers that would otherwise be unaware of your land for sale. Landowners risk leaving substantial dollars on the table by only approaching neighbors, renters, or friends because it is difficult to establish the true market value of your land without exposing it to the greater buyer market.
When you’re looking for an honest conversation about the real estate market, our team is here to help. We work hard to give you our best interpretation of the current state of the real estate market. Combined with our years of expertise and market intuition, we can provide the most comprehensive evaluation/comparative market analysis of your property available today! For a Free Market Evaluation, give the Smith & Griffith Real Estate Team with CIR Realty a call – Rees at 403.350.7815 or Kari at 403.803.3299.
Whether you are considering buying or selling or know someone who is, we would appreciate the opportunity to show you how efficient and enjoyable working with a great real estate team can be. Your referrals of family and friends are always appreciated
(and we’ll make it worth your while).
Wishing everyone a sunny, relaxing summer! Whatever your plans are for this summer – we hope that you find some time to slow down during the sunny days in Alberta and take in the warm nights with good food, laughter, family and friends. Rees & Kari