Edmonton Real Estate Blog

At the mid-point of the year, the REALTORS® Association of Edmonton is confident that the local real estate market has regained stability. The 9,741 sales of residential properties sold through the Multiple Listing Service® in the first six months surpassed the six month year-to-date figure for last year (9,567) and residential sales in June set a new record for the month. Residential sales in June totalled 2,552 units which surpassed the 2007 record of 2,203 units sold and was the third best month for unit sales in MLS® System history.  

“Buyer confidence, especially among first time buyers, was evident in Edmonton despite lingering economic concerns in other markets,” said Charlie Ponde, president of the REALTORS® Association of Edmonton. “When mortgage rates looked like they might start to rise, many potential buyers locked in lower mortgage rates and then went searching for a qualifying home.”

Listing activity slowed slightly from last month (down 0.03%) with 3,179 residential listings. The strong sales drove the sales to listing ratio to 80% from 68% last month. Prices continue to climb with one month increases of 0.6% for single family dwellings and 1% increases for condominiums. The average* SFD sold for $369,859 in June as compared to $367,672 in May or $351,870 on January 1. Condominiums sold for $247,071 on average in June; up from $244,734 in May and $234,286 at the start of the year. At the end of 2008 Q2, SFDs sold for $381,384 and condos sold for $262,365.

“Last year prices fell from the high point in March. This year prices have just continued to climb,” said Ponde. “Prices typically decline slightly in the second half of the year but the drop, if it occurs, will not be precipitous.”

The average days on market was 60 days or more early in the year but dropped to 49 in June; another indicator of buyer enthusiasm. At the end of June there were 6,785 residential properties active on the MLS® System (2.65 month supply at current sales volumes) which offers a wide range of choice for those eager buyers.

Highlights of MLS® 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: The Realtors Association of Edmonton

When getting your home ready to sell, you need to look at your house in a new way. Think of your house as a product about to go on the market where it is probably competing with brand new housing. It needs to show well-which means clutter-free and well kept.

Today’s homebuyers lead busy lives and may not be interested in taking on major repairs or improvements upon moving in. You need to make your house a 10.

Fix It First

If you need to make improvements to your home, do the work before it goes on the market. Potential buyers are not interested in hearing about your good intentions to look after defects before a transfer of ownership takes place. Even if fix-up work is underway, buyers may not be able to visualize what your home will look like when the work is finished. They will just remember it being in a state of disrepair.

Check Your House’s Curb Appeal

How does your house look from the street? That is where prospective buyers will be when they first see your home; and, that is where they will form that all-important first impression. Stand at the curb in front of your house and note what you see.

 Remove any clutter in your yard.

 Repair cracked or uneven driveway or walkway surfaces.

 If your lawn has bald spots, apply some top dressing and re-seed. Prune trees and shrubs of dead wood. Weed and mulch flower beds, if you have them. If it is the right time of year, consider buying some flower-filled planters to enhance the eye appeal of your property. Make sure your lawn is mowed regularly. Ensure composter area is tidy.

 Are your windows and walls clean?

 Does your front door need paint?

 Ensure your eaves and downspouts are clear of debris and in good repair.

 Are your backyard deck and walkways clean? If not, use a power washer and do any necessary painting, staining, or sealing.

 If you have a swimming pool, are the deck and pool clean (when in season)?

 Do all outside lights work? Replace any burned out bulbs, and clean fixtures of dirt and cobwebs.

 Is there a shed? Does it look presentable?

 Do windows and exterior doors need recaulking? Even at 6-7 years of age, the caulking may be dried out and in need of replacement.

 Do you have decorative wooden poles on the porch? Is the wood at the bottom in good condition? Overall, does it need a new coat of paint?

 If you have a gate, is it well oiled?

When you have completed the curb appeal inspection, carefully check the rest of your home’s exterior.

Tomorrow is Part 2 of a 3 Part Series

 Article written by: CMHC

Weekly rate minder provided by: Souchita Rattanarasy Dominion Lending Centres Optimum 780-932-2225. Apply online : www.dlconline.com

The trend continue in the Edmonton real estate market with a strong market in at the entry level (under $350,000) demand.  This segment of the market is what is the driving force and ultimately will continue to drive valuations up.

As of this morning there were 2,250 single family homes listed in Edmonton proper.  In the previous 30 days there were 993 sales.  That would give us a listing to sales ratio of 2.27:1 well below the 4:1 ratio we need in Edmonton for a stable or neutral market.

With the trend being what it is I expect to see valuations to start to increase initially in the lower price ranges and eventually transfer to to higher price ranges as these people who sold in the lower price ranges start to look and buy in the higher price ranges.

New Home, Previously Owned or Build Your Own?

When thinking about the kind of home you want, the first thing you should consider is whether you want a previously owned home (often called a resale) or a new home. Here are some characteristics that may help you decide:

New Home

• Modern design. A new home has an up-to-date design that takes into account the latest trends, materials and features.
• Personalized choices. You may be able to upgrade or choose certain items such as siding, flooring, cabinets, plumbing and electrical fixtures.
• Up-to-date with the latest codes/standards. The latest building codes, electrical and energy-efficiency standards will be applied.
• Maintenance costs. Lower maintenance costs because everything is new and many items are covered by a warranty. You should still set aside money every year for future maintenance costs.
• Builder warranty. This is a warranty that may be provided by the builder of the home. Be sure to check all the conditions of the warranty. A homebuilder’s warranty can be important if a major system such as plumbing or heating breaks down.
• New Home Warranty programs. Generally new home warranty programs are provided by provincial and territorial governments, but there are private new home warranty programs. These warranty programs are not available in Nunavut and the Northwest Territories. Check with your real estate agent or lawyer/notary to find out what the new home warranty program in your province or territory covers.
• Neighbourhood amenities such as schools, shopping malls and other services may not be complete for years.
• Taxes such as the Goods and Services Tax (GST) (or, in certain provinces, the Harmonized Sales Tax (HST)) will apply. However, you may qualify for a rebate of part of the GST or HST on homes that cost less than $450,000. For more information about the GST New Housing Rebate program, visit the Canada Revenue Agency website at www.cra-arc.gc.ca
• Extra costs. You may have to pay extra if you want to add a fireplace, plant trees and sod, or pave your driveway. Make sure you know exactly what’s included in the price of your home.

Resale Home

• You can see what you are buying. Easy access to services. Probably established in a neighbourhood with schools, shopping malls and other services.
• Landscaping is usually done and fencing installed. Previously owned homes may have extras like fireplaces or finished basements or swimming pools.
• No GST/HST. You don’t have to pay the GST/HST unless the house has been renovated substantially, and then the taxes are applied as if it were a new house.
• Possible redecorating and renovations. You may need to redecorate, renovate or do major repairs such as replacing the furnace, roof, windows or doors.

Building Your Own Home

Some people prefer the challenge and flexibility of building their own home. On one hand, you make all the decisions about size, design, location, quality of material, level of energy-efficiency and so on. However, you should expect to invest lots of time and energy.

Article written by: Canada Mortgage and Housing Corporation

Weekly rate minder provided by: Souchita Rattanarasy Dominion Lending Centres Optimum 780-932-2225. Apply online : www.dlconline.com

The Edmonton real estate market continues to improve.  Currently there are 2,017 single family homes listed on MLS in Edmonton proper.  That is a drop from last week and is supporting the fact that there is a shortage of good quality listings.

In the past 30 days there were 884 sales.  Not the 1,000 sales that I would be looking for to happen in a normal market but with current inventory level is still a good number.

With those numbers that gives us a listing to sales ratio of 2.28:1.  Again a drop in the listing to sales ratio indicating that we are going to see continued upward pressure on valuations.

Buyers beware waiting to buy, and get into the market before prices go up any further.

Weekly rate minder provided by: Souchita Rattanarasy Dominion Lending Centres Optimum 780-932-2225. Apply online : www.dlconline.com

Great starter home in a family-oriented neighborhoud.  This home features all the bedrooms on the upper level.  The master bedroom has a walk-through closet and a door to the 4pce bath. The upstairs bathroom has a modern sink and vanity, as well as a linen closet. The kitchen has lots if cupboard and counter space.  The backyard is fenced and features a firepit and storage shed. Cement pad in the back for parking.  Close to schools, shopping, and public transportation.

1014 sq ft                                                      3 Level Split

3 Bedrooms                                                2 Bathrooms

Price: $269,900

Call Serge today for more information (780) 995-6520

Source: TD Insurance

A guide to deterring robbers.

Statistics Canada reports that of 230,000 break-ins across the country in 2007, about 60% (almost 140,000) were residential. While the installation of alarm systems and motion detectors have contributed to a steady reduction in home break-ins in recent years, alone they may not deter a determined thief. They should be combined with other measures that help keep burglars from finding your home an attractive target.

 Make your home less vulnerable by following these tips.

 Outside the home

You want your home to appear impenetrable. If it looks difficult to break into, chances are a burglar will move on to another target.

• Keep shrubs and bushes well trimmed and away from your doorways. This helps eliminate possible hiding places for intruders.
• Make sure that yard work tools are not left out. They can be used by an intruder to break into your home.
• Consider installing lights or motion detectors around the exterior of your house.
• Never hide extra keys outdoors, especially in obvious places such as door ledges, mailboxes or under the mat.
• Home alarm systems or dogs that bark at strangers are great deterrents for burglars, as are signs like “beware of the dog” and home alarm stickers placed on your doors and windows.
• Do not put a sign with your family name on the outside of your house. A thief could look up your number in the phone book and call to see if anybody’s home.
• If you go out, never leave a note on your door indicating when you will be back.

 Doors and windows

These are the main entry points of your home. Make sure they are secure and difficult to get through.

• Always lock your doors and windows. A surprising number of robberies occur through unlocked doors or windows. An open window seen from the street can seem like an invitation to enter your home. And don’t forget to lock your garage door.
• Exterior doors should be of a strong, solid material and equipped with high-quality locks.
• Secondary locks on doors and windows act as an added deterrent.
• Always change the locks when you move to a new home or if you lose your keys.
• Install security bars on your basement windows.
• Sliding doors should be secured with a stick or metal bar. The stationary door pane should also be secured; otherwise it can be easily lifted off the track. Use an auxiliary lock or door pins hooked into the frame.

 Protecting valuable items

If a burglar can spot valuable items from the street, it’s like an invitation to come in.

• Never leave valuables in places where they can be seen through a door or window. Consider placing items like expensive jewellery or stock certificates in a safety deposit box. Or invest in a fireproof safe for your home.
• Engrave your drivers’ license number on your valuables. And keep an inventory stored in a safe place.

 When you’re away from home

Your goal when you are away on vacation should be to make it look like someone is still living in your home.

• Use timers on your lights, stereos and televisions. The lights and noise will give the impression that someone is home. Setting lights to go on and off at irregular intervals makes it look like someone is moving through the rooms of the house, as they would be if you were home.
• Cancel your newspaper and ask a neighbour or friend to pick up your mail.
• Hire someone to cut your grass or shovel the snow. Ask a neighbour to leave a bag of their garbage out at your house on pick-up day.
• Leave a car in the driveway. If you take your car on vacation, ask a neighbour to park in your driveway.
• Turn down the ringer on your telephone. Do not change your phone message to say you are away.
• Turn off your computer and disconnect it from the Internet. Make it difficult to access any personal information you may have on your hard drive.
• Make sure you let your neighbours know if you’re planning to be away, even if it’s just for the weekend. That way, they can keep an eye out for any unusual activity around your home.
• Before leaving, do a complete check of your home to verify that everything is secure.

 Always be aware and prepared

Know what to watch and listen for, and be smart when talking to strangers.

• Make sure trusted neighbours and friends have a way to reach you, in case they notice something strange happening around your home.
• Report suspicious activities in your neighbourhood such as unknown persons hanging around, slow moving vehicles circling the block, unusual noises or unfamiliar parked cars.
• Do not allow strangers into your home. If someone knocks on your door and says they are hurt or need help, keep your door locked and call the police for them.
• When replying to calls from strangers, such as people who say they are telemarketers or conducting a survey, never mention when you are planning to be away. Likewise, do not discuss travel plans in public places where you don’t know who may be listening.