Sales volumes of detached homes slowed vs last year. However, comparing to the 5 years average pre-covid, sales volumes are still up for this time of year. For the first 2 weeks of August, which is typically slower time of year, the following puts into perspective our local real estate market health; Calgary - Up 7.6% over 5 year average pre-covid levels. Okotoks is up 19%, Foothills County (all communities) up 40%, Rural Acreages up 46%. So, even though interest rates have risen, inventory has increased, and there is much media attention on price corrections, our region is staying relatively strong.
Looking at some economic data, see attached, I believe we will see some softening in the short term as the data impacts our local Real Estate market pricing, inventory levels will increase, some sellers may believe the sky is falling, but the reality is that long term interest rates are predicted to come down next year, building costs will come down, consumer confidence will pick back up. Alberta is poised for growth. Hold on to your hat. It will be a bit of a bumpy ride over the next few months, but it should settle down into a more balanced real estate market by spring 2023. Here’s hoping!
