Inventory levels remain extremely low for new and resale homes in all product classes. For a city of 1.4 million people we need more supply if we wish to grow and have a prosperous economy. Builders are full steam ahead and until supply starts to meet demand, prices will continue to rise. To put things into perspective, in Feb 2022 1,546 detached resale homes sold in Calgary under $800,000. In Feb 2024, only 677 sold because there are only 300 to 375 for sale at a given time.
I predict a very tough spring for buyers searching for a home as multiple offers are common place with over 65% of the homes priced under $800,000 selling for list price or higher. It is common for a property to have 4-30 offers on it. It’s buyer beware as often it is not possible to have a home inspection condition let alone a finance condition in competing offer situations. if the list price seems like an amazing deal, beware. It is very important for buyers and sellers to have expert real estate advice to help navigate these crazy times.
For people looking to move up from their current digs, or perhaps create a multi generational property, there is good value opportunities available. In Calgary there are 157 homes priced over $1.4 mil and only 37 sold in Feb. There were zero sales above $2mil. 69% of the homes priced between $1mil and 1.4mil sold for under list price so some great value opportunities are available in this price range as well. You definitely get so much more for your money in this price range. It’s a great time to cash out on your existing home if it’s priced under $800,000 and do a move up as the upper market has some good room to grow in value over time.
I’m always available to chat real estate, be it to buy, sell, invest or renovate.
