This past Wednesday the Calgary Real Estate Board (CREB) hosted their annual forecast breakfast. Expert presentations were offered. A big takeaway was the 2012 outlook. If you are interested in reviewing the statistics behind the press releases and headlines, then have a read.
The last week has been very busy in the marketplace so this is a great indication for the momentum building for the year.
Another statistic you will soon see in the media is the MLS House Pricing Index (HPI). Coming to Calgary in February, this index is intended to clear up the misinterpretation that often accompanies 'average price'. As average prices can be skewed by the composition of sales, it does not reflect price trends based on the type and features that a home provides. For example, one luxury home sale in a community can raise the 'average price', however that doesn't mean other homes have increased in value.
The MLS® HPI is calculated using a sophisticated statistical model that estimates home prices based on their quantitative and qualitative feature. More information will be available as this new metric is made available and I am curious to see how it is understood and adopted.
At the end of the day, if you want to understand the market and the value of your home, give me a call. You don't need to understand statistical models or the economic forecast, that's where I help out. If you want to understand the numbers that are behind the 30 second tv spot then enjoy the read.
Even on a day like today, with -30 windchills, I am showing properties to prospective buyers. You have to think they are serious buyers. I mean, who else is out in this weather?
This is also the time of year that many Calgarians take the opportunity to fly to somewhere warm for a week or 2 or 10. If you have your home on the market, then you have to stay accessible. If you don't want an offer to ruin your holiday than take your home off the market. If you do keep your home on the market than make sure someone is taking care of your home and welcoming us inside.
If I show your home tonight to my buyers and you leave the lights on for me, I appreciate it. Hopefully I bring you an offer.
I hope you enjoyed a wonderful holiday, a very Merry Christmas and are looking forward to a great year in 2012.
The year has started out quickly with the recent upturn in activity resulting in various predictions about the future of the market. The number of listings has reduced significantly over the holidays but is stabilizing in a general sense as well. The number of sales has increased last year especially towards the latter half of the year. Prices remain relatively consistent with last year but it also depends where you are in the city. I personally feel that sales and prices will slowly start to increase this year as long as international economic forces don't once again put a lid on our enthusiasm.
One item of note in the shift of buyers expectations over the last while. As new home builders have added more features and upgrades to their packages to new buyers, some buyers have begun to expect more from resale homes such as hardwood floors, granite counters, updated fixtures, cabinet styles, etc. If you are in an area competing with new construction, it is these upgrades as well as price that are pushing the market. As a result, some neighbourhoods may see the price shift quite differently. Other items such as finished garages or installed audio systems may sway buyers. It is not about price per square foot as buyers are looking to compare builders, quality of construction, features, finishes and upgrades.
Another big change is in the works this year with new rules issued from the Calgary Real Estate Board regarding inspections and the communication of pending sales.
If you are considering a sale or looking for a new home, give me a call to get started as this year is going to look different than what we have been used to.
Some numbers of note from the CREB press release:
View the full statistics package released from CREB.
As always, feel free to give me a call and I am happy to assist with the purchase or sale of a home.
When it comes to purchasing or selling a home, some fundamental rules have just changed.
1. If you have purchased a home recently, the Inspection Schedule you previously saw has been revised. The schedule now removes any connection of dollar amounts to an inspection conditions. In simple terms it means that if the buyer is not satisfied with the condition, they do not waive and the sale does not complete. Any deposit will be returned to the buyer in this case. If other arrangements were negotiated in the purchase, they have to be clearly stated in the contract.
2. Sellers now have the choice to not post that a sale is pending on MLS so conditional/pending sales can remain marketed as active listings. Buyers may then be looking at homes that are conditionally sold without knowing it until they write an offer. Sellers may also receive additional inquiries and offers once a home is conditionally sold. This change is new to the Calgary market and it is not yet clear how it will be adopted.
There have been a number of changes to the rules and standard practices over the last couple of years. I'd be happy to answer your questions so that you are best prepared to make your move.