Edmonton Real Estate Blog

Although sales were not at record levels in September, they compared favourably with sales levels last year and settled in for the third best September ever. Only sales in September 2006 of 1,844 residential units and last September (1,729) were better than the 1,704 sales pegged last month.

“We have experienced strong sales through the third quarter,” said Charlie Ponde, president of the REALTORS® Association of Edmonton. “At the end of the first quarter YTD sales were down over 21%, and after six months they were up almost 2%. The last three months have had strong buyer demand and year-to-date sales are up 5.3% over the same period last year.”

The strong sales also boosted prices of both single family and condominium properties. Prices dipped slightly in August after showing steady gains all year but bounced back to mid-summer levels in September. The average price of a single family dwelling was $371,947 and condos were priced on average at $245,546 (both up 1.4% over August prices). SFD prices are up over $20,000 from where they were on New Years Day.

Higher prices have not resulted in greater listing activity. 2,564 homes were listed in September resulting in a 66% sales-to-listing ratio as compared to September 2008 with over 3,100 listings and a 55% S/L ratio. The slower listing activity dropped inventory to 6,032 from 6,445 units last month but there is still almost four months of inventory at present sales volumes.

Duplex and row house properties sold on average for $299,964 and the combined Average Residential Price was $327,235 in September; up 2% from September 2008.

“Homes are selling slightly faster than last month and much faster than last year at this time,” said Ponde. “I expect that sales in this market will show continued strength through the fall and early winter.” The average days-on-market was 44 in September; down four days from August.

Highlights of MLS® System activity

¹. Residential includes SFD, condos and duplex/row houses.
². Single Family Dwelling
³. The middle figure in a list of all sales prices

* Average prices indicate market trends only. They do not reflect actual prices, which may vary

Source: Realtors Association of Edmonton

I have to let you all know how excited I am.  I just came back from a 3 day course in Calgary on real estate investing and I have to tell you even for an old dog like myself that has been in this industry since before computers I learned so much.  It is amazing what you didn’t know that you didn’t know!!

Let’s get back to what is happening in the Edmonton Real Estate Market.  As of this morning in Edmonton proper there were 1,936 active single family dwellings listed.  That is almost an 8% drop from last week.  In the last 30 days we have seen 674 single family homes sold in Edmonton proper, which is an increase of 2.4%

Well it doesn’t take a rocet scientist to know that if supply is going down and sales increasing that valuations are probably rising.  As a matter of fact the current listings to sales ratio is down to 2.87:1 in comparison to 3.21:1 last week.

As long as that ratio stays well below the 4:1 needed here in Edmonton for a neutral or balanced market valuations are going to continue to rise.  So if you are a first time buyer you cannot afford to wait till you have more downpayment you need to make the more now.  If you are thinking of buying a more expensive home from your current home again you cannot wait as your next home will go up more in value than your present home.  For those that are downsizing then maybe you want to wait as long as you can, because you will pur more money in your pocket.

Well that is it for me right now.  Keep checking here on the blog when I will be sharing some of what I learned in my course over the weekend, otherwise I hope that you have a terrific week and I will see you here next Monday with the statistics of the week.

To view the complete report with specifics on your region click on the following link: http://www.edmontonhomesforsale.biz/view_special_reports.php

With the worst of the recession over, residential real estate markets in major Canadian centres are poised for growth in the final quarter of 2009, according to a report released today by RE/MAX. 

The RE/MAX Bricks and Mortar Report found the bounce back that began in early Spring has made this recession one of the shortest on record.  Low interest rates, pent-up demand, and improved affordability levels have all played a role in the recovery now well-underway.  Percentage increases in unit sales from January to August 2009 were led by Vancouver, (up a substantial 14 per cent to 23,158), Victoria (up 7.4 per cent to 5,266), Edmonton (up 6.2 per cent to 13,691), Regina (up five per cent to 2,597), Ottawa (up 2.4 per cent to 10,830) and Toronto (up 1.8 per cent to 58,421).  Housing values are already ahead of record-breaking 2008 levels in seven of the 11 markets surveyed, including Newfoundland-Labrador (18.1 per cent year to $203,584), Regina (6.4 per cent to $244,088), Halifax-Dartmouth (3.5 per cent to $239,633), Winnipeg (3.5 per cent to $207,006), Ottawa (3.3 per cent to $301,684), and Toronto (up 0.3 per cent to $385,978).  Nationally, average price hovers at $312,585, up 0.5 per cent over one year ago.

 The strength of the residential housing sector cross-country has taken many economists and housing analysts by surprise once again.  In terms of its impact on the resale market, by historical standards, this recession was one of the mildest.  The resilience of bricks and mortar has been demonstrated time and again.  While there may still be some challenges down the road, the worst is definitely behind us in the housing industry.

 The recovery of Canada’s resale housing markets speaks to the tremendous value Canadians place on the importance of owning a home.  The number of Canadians overall who own a home has increased since 1981 from 62.1 per cent to 68.4 per cent, with some markets posting even higher homeownership rates — Calgary (74.1), St. John’s (71.5), and Regina (70.1).  Significant gains have also been made over the same period in markets such as Ottawa, where levels rose from 51.4 per cent to 66.7 per cent, and Toronto, where levels rose from 57.3 to 67.6 per cent.

 Public sentiment can perhaps best be illustrated by a recent Angus Reid Omnibus Survey* that asked the question “In which do you feel more comfortable investing your money?  The stock market or real estate.”  Out of 1,000 respondents from coast-to-coast, 77 per cent chose real estate. The results of the RE/MAX Bricks and Mortar Report are clearly representative of this national dynamic at work.

 Markets are heating up across the country as purchasers take advantage of affordable prices and rock bottom interest rates.  Those who missed the boat in years past have found that sitting on the sidelines can be a costly move.  Prices are on the upswing and inventory levels are tightening, so the push toward homeownership is expected to continue throughout the Fall and possibly into early 2010.

 Over the past thirty years, the Canadian residential real estate market has experienced three major downturns – 1981, 1989, and 2008.  While there have also been regional fluctuations throughout the years, return on investment over this period has been substantial, with Vancouver, Victoria, Toronto, Regina and Ottawa leading the country in terms of price appreciation.

The overall stability of real estate as an investment has also played a role. Markets like Halifax-Dartmouth, Regina, Ottawa, Winnipeg and London have provided steady returns (especially in recent years), with minimal fluctuation.

 * The Angus Reid Omnibus Survey was conducted on September 15, 2009 and yields a margin of error of +3.1 per cent, 19 times out of 20.

I guess we can be happy with the thought that the market seems to be stabilizing.  My concern is with the market stabilizing it will not take much for the market to go either way up or down depending on what might be in the news that week…

As of this morning there were 2,098 active single family homes on the market in Edmonton proper.  Again a relatively consistent number with what we have seen in the last few weeks.  The number that is somewhat worrisome is the number of sales.  In the last 30 days there were 658 single family homes sold.  That is a number that is has been declining of the last few weeks.

With the current listings and sales that give us a listings/sales ratio of 3.2:1.  That is a slight increase over last week.  So as this number continues to increase that would be an indicator that the market is softening.  

I am hoping that is just a seasonal softening of the market which normal.  On a brighter side of the homes that did sell the average days on market are 38.

This is also an indicator that if a property has been on the market longer than that it is properly over-priced.  Even in today’s market the very best deals are selling in the first 3 days of them hitting the market.

So in order to get the best deal if you are thinking about buying would be to contact Kate at 780-634-8151 so she can set up a search that will allow you to receive the homes that would match your criteria the moment they are listed and you can take advantage to view this deals before they are sold to another buyer.

Open House in North Edmonton!!

Sunday September 27 1-4pm

**17805 – 99 Street**

Opportunity for retired living! 45+ Adult community.  This 3 bedroom 2.5 bathroom bungalow is in the quiet location of Amberwood Castlebrook in the Elsinore community.  You will enjoy the remaining days of summer on the fully covered deck.  The fully finished basement provides lots of room as well as a beautiful gas fireplace in the family room that gives it character and a little extra heat on those chilly nights that are sure to come.  Main floor laundry means never again carrying pesky laundry baskets up and down stairs.  The double attached oversized garage is heated and insulated providing hassle free preperation for winter driving (think not having to clear off your car in blistering cold temperatures or waiting for your car to heat up) and also features hot and cold water taps.  Newer stove and fridge (1 year old) and new linoleum provide assurance of easy upkeep. 

This won’t last! 

1130 Sq Ft                                                 Bungalow Townhouse

3 Bedrooms                                             2.5 Bathrooms

$339,900

For more pictures view at www.FindMyHouse.ca

Call Serge or Kate at (780) 634-8151

Just Listed in South-West Edmonton!!

Showhome quality Kimberly built 2 storey that outshines the competition!  Bright open floor plan with too many upgrades to mention.  Massive kitchen with lots of maple cabinets, beautiful granite counters, a big kitchen island, and stainless steel upgraded appliances.  Large bonus room features bright big windows, an enourmous vaulted ceiling, and hidden surround sound wiring.  All bedrooms are on the 2nd floor and are a fair size with lots of closet space.  Master bedroom has a large walk-in closet and a 5pce ensuite to die for.  Laundry is on 2nd floor with sink.  Hunter Douglas Silhouette Blinds (+$9,000) throughout the home are elegant and sophisticated.  Professionally landscaped from and back yard ($20,000) with stone patio and gas hookup for BBQ beautifully accent the maintenance-free deck and veranda with frosted glass panels and railings to seal the deal.  Must be seen!

2217 Sq Ft                                                 2 Storey

3 Bedrooms                                             2.5 Bathrooms

$579,900

For more pictures view at www.FindMyHouse.ca

Call Serge or Kate at (780) 634-8151

Wow is all I can say about last week.  I was really busy all week listing, showing and selling homes.  However the statistics would be a little different then what I experienced last week.

One of the things that I did notice last week was the number of homes that were taken off the market where their listing contracts had expired.  Even with the new listings coming to the market I noticed that the amount of listings available is down with 2, 095 single family dwellings available for sale in Edmonton proper.

In the last 30 days there were 678 single family dwellings sold in Edmonton proper.  Also a drop from the previous few weeks.  With the listings and sales we are experiencing that would give us a listing to sales ratio of 3.1:1 which to me indicates that the market values are starting to stabilize.

The next few weeks are going to be critical to determine is we area going to remain stable or if we are going to see a decline in house valuations.  It is apparent to see that the local and global economies are still not recovering to the levels and that is making people concerned and hesitant in moving forward with large purchases such as home.

There has been some strengthening in Alberta’s resale market, said Lai Sing Louie, regional economist for CMHC in Calgary. “We’re expecting that the second half (of the year) will be much stronger than the first half,” he said. Most markets in Alberta have turned into balanced ones, added Louie. In the first quarter, they were generally buyers’ markets. Louie said low mortgage rates have been a big factor in spurring residential sales. “Affordability has improved quite significantly,” he said. “We’ve also seen some government incentives to encourage first-time homebuyers and that’s helped. And I also believe that people who have been waiting to see how the markets move finally have the confidence now to go into the marketplace and buy.”
2010 average price forecast for Alberta $343,200.

Source: Calgary Herald – Friday, August, 28 2009

Just Listed in North-West Edmonton!!

First time home owner? This house is for you!  Have peace of mind knowing your children are attending the elementry school across the street or the Catholic school around the corner.  Entertain downstairs in the family room with wet bar!  The bright open kitchen gives you lots of room to cook at the same time as providing the feature of an eat-in kitchen.  Keep cool upstairs in the bright living room with the ceiling fan, or enjoy the sun either on the front balcony or back deck.  Your kids will play in safety in your fenced front and back yard. 

896 Sq Ft                                                 Bungalow

2 + 1 Bedrooms                                             1.5 Bathrooms

$244,900

For more pictures view at www.FindMyHouse.ca

Call Serge or Kate at (780) 634-8151

Just Listed South-East Edmonton!!

First time home owner? This family home is for you!  Located in a quiet cul-de-sac this 3 bedroom 2.5 bathroom home has lots of character.  Renovations and upgrades include: new lighting and plumbing fixtures, interior and exterior paint, linoleum flooring, shingles on the house and garage, and the renovated deck.  Enjoy the remaining days of summer in your shaded fenced yard, relaxing on your deck.  Throw dinner parties everyone will enjoy with your dining area that has an elegant chandelier and great natural lighting.  Cozy up on those cold night in the family room in front of the wood burning fireplace.  There is also another fireplace loacted in the master bedroom for those romantic evenings.  The basement is waiting for your creative touch and already has roughed in double plumbing to help you get a head start.  The heated double detached garage makes winter driving preperation a breeze.  Seller is also interested in selling furniture in the house. 

1581 Sq Ft                                                 2 Storey

3 Bedrooms                                             2.5 Bathrooms

$342,900

For more pictures view at www.FindMyHouse.ca

Call Serge or Kate at (780) 634-8151