Well, that wraps it up for 2023! Wishing you a wonderful and blessed New Year, filled with health, happiness, and prosperity in 2024!
Thank you to all my clients this past year, I wouldn't be here without your support and trust.
Lets take a look at the performance of the Calgary real estate market over the last year (helpful to look at annual performance for an idea of the longer term trend).
Key fact: The average price for a home in Calgary has appreciated by at >8% since last year (which considers properties across all ages and conditions) and we're a squeeze into lower priced product such as condos and townhomes due to affordability.
More details in CREB's official released figures this week:
Looking ahead, we wonder what could be in store for 2024? There's no crystal ball, but here are the fundamental facts:
• Steepest Canadian Immigration Growth of NPR: Canadian immigration of non-permanent residences surpassed half a million in 2023, part of the steepest single-year rise in at least 50 years – Statistics Canada
• Record Inter-Provincial Migration to Alberta: Alberta saw inter-provincial migration of 45,194 individuals between Q1-Q3 2023 (+103% change from 2022) – Province of Alberta
• Continued Labour Shortage to Build Homes: By 2032, an estimated hiring requirement will exceed 299,000 of construction / trade labour, with nearly 245,000 of planned retirements – BuildForce Canada
• Potential Rate Cut in 2024: Economists are expecting BoC rate cuts in 2024 as a result of a slowing Canadian economy, to help stimulate growth again – TD Financial
• High Absorption in Calgary: It's clear that the Calgary market continues to demonstrate HIGH demand - the absorption rate (Sales-to-New-Listings Ratio above), remains at or close to 100% across all property types which means for every new listing, there is a sale, with no build up of inventory – CREB
Those are the facts, and these components are likely to drive an insane spring market, depending on what the inventory looks like. These factors are likely to also drive home prices up further, if indeed the BoC eventually cuts interest rates – this will supercharge the Calgary market.
My advice: if you're thinking about getting into the market, best to ACT NOW. Get the team you need to advise you appropriately (realtor, mortgage broker, lawyer, etc.) to ensure you have a smooth process and the best advice ahead of the craziness.
Have a wonderful start to the year, and lets help you achieve you home ownership goals this year!