Wishing everyone a happy and prosperous 2017.
Just a reminder that I now have a real estate partner, Nathan Weima, to ensure my clients always get prompt and reliable response. Maintaining excellent realty service is my top priority.
If you are looking for a home, condo or vacation property or future retirement residence in Canmore…
The first thing that needs to be said about the Canmore real estate market update, for Jan 2015, is that CANMORE IS NOT CALGARY. The media has made it crystal clear that the Calgary real estate market so far in 2015 has seen the effects of the oil price correction swiftly and firmly.
However, Canmore is a completely different market with it’s own supply and demand and it’s own cause and effect factors, that do not necessarily mirror it’s neighbouring cities.
Is it likely the oil prices will affect our Canmore market in some way? Yes, it likely will and we have already seen a minor reduction in sales volume and stabilization of prices as well. Not to the extent of Calgary or Edmonton, as our the majority of our housing market is not based on the Oil and Gas Industry. However, we do have a percentage of our market who makes their living in this industry. This could be a sign of things to come in Canmore. It could also be a temporary adjustment to the market that will correct itself.
All we can do is look at the stats and use common sense when deciding if the sky is falling. Here is one of my favourite quotes from Warren Buffet.
“Be Fearful When Others Are Greedy and Greedy When Others Are Fearful”
Jessica Stoner-REALTOR with RE/MAX Alpine Realty in Canmore is hosting a Canmore Real Estate Market Update Seminar. Designed to update homeowners and potential purchasers in Canmore to the factors affecting the market value of their home, helping owners decide if it is a good time to sell or hang on, as well as coving what a buyer needs to know if planning on a purchase in Canmore, if it is a good time for buyers, and what inventory and new construction is in the plans.
-Global recession and financial crisis
-Canmore flood 2013
-Three Sisters receivership and subsequent purchase
-Various other factors…
-Buying and Selling activity
-Market correction of prices
-Current sale prices and appreciation of the market
-Who is buying?
-What we can expect in the future
Open House Tour by Bike!
The first Canmore Rolling Real Estate Tour was a great success, so I’m hosting another one, June 28th, 2014. We are meeting once again at The Market Bistro, at 11:00am, with our bikes. We will be viewing several homes and condos in the Three Sisters Mountain Village area of Canmore, in a variety of price ranges. Travel between the homes is by bike, using paths, trails and parks. It is a great way to spend a couple hours in Canmore, learning more about the real estate market, what’s available and discovering new pathways you never knew about! Great fun and everyone is welcome!
July 12, 2013
It has been 23 days since the flood water crashed into Canmore. It is truly amazing what people can accomplish in 23 days. The cleanup and repair of some major infrastructure took mere days, where a more logical guess would have estimated it at weeks. Things are certainly not back to normal for those unfortunate families hit the hardest. But as a Town, we are well on our way to recovery. Most businesses are open and ready for high volume summer business. (Please come to Canmore to hike, bike, golf, dine and all the many things you love Canmore for! It is the best way to show support. We want you here!)
What is happening in the real estate market is still an important and much asked question from owners, buyers and renters, as it affects us all. The answer at this point is quite surprising.
Three weeks after the flood, the Canmore real estate market is strong and very active. It is not what many expected. It was assumed the market sales volume would slow down as we recovered from the flood. It was also assumed that buyers would be shy about buying after such a powerful and damaging display by mother nature, knowing she can get out of our control at times.
However, the buyer’s market has made its intentions clear. Canmore is an ever popular destination and buyers are buying.
Regardless of the flood, after 5 years of market correction in Canmore, it seems we have hit the bottom and are on our way to recovery in the real estate market.
Sales Since Flood
Since the flood on June 20, 2013 to today’s date of July 11, 2013 we have had 24 sales. This is the exact number of sales we had in 2012 for those same dates. It seems there is no flood related slow down at all.
There are currently 272 properties for sale in Canmore at this time. This is very narrow inventory and a drastic change from the depths of the recession felt in Canmore, when we had 400-500 listings on the market at any given time. Lower inventory numbers is healthy for both buyers and sellers. Sellers have less competition which is desirable for them. For buyers, lower inventory sometimes helps in the decision making process. Too much choice leads to indecision and delayed action on the buyers part, leading them to wait. Waiting sometime means higher prices when they are ready to purchase. Less inventory encourages buyers to make decisions more quickly, and therefore allowing buyers to take advantage of the lower prices now.
Are prices going up or down?
From Jan 2013-July 2013 the average sale price of Canmore properties is at $551,000. This is almost exactly the same (Within $2000) as those dates in 2012. However, for 2013, we are seeing a 22% increase in sales volumes of the equivalent time last year.
230 Sales Jan- July 2012
281 Sales Jun- July 2013
Should these higher sales volumes continue, It is likely we will start to see price appreciation across the board in Canmore in the remainder of 2013.
What will happen to the homes backing to Cougar Creek?
There are processes in place to asses the damage and structural integrity of these homes. Many will be repaired likely with backfill replacing some of the lot lost to erosion. Others may not be able to be saved. It is unknown at this point what will happen to these homes and homeowners. The Town of Canmore and the Province of Alberta are working with homeowners to assess the damage at this point.
Will work be done to Cougar Creek to avoid another events such as this?
Again, things are still in the assessment stage. There have been no concrete (no pun intended) plans on the future of Cougar Creek yet.
Over all, the Canmore real estate market is beneficial for both buyers and sellers. It is a fairly balanced market with lots of activity. Please feel free to contact me with any questions you have at any time, or if you are considering buying or selling a Canmore home.
Jessica Stoner -Associate Broker
RE/MAX iREALTY Innovations
(Top of page photo courtesy of Aviva West of letsgoeverywhere)
Starting price for a two-bedroom condominium: $225,000
Alberta’s strengthening economy has bolstered sales of recreational properties in Canmore. After a five-year lull, purchasers are finally making their moves, taking advantage of the thinning selection of single-detached homes and condominiums
available at virtually every price point. Pent-up demand and softer values have contributed to the upswing.
Four hundred and thirty-three homes changed hands between May 2012 and April 2013, a 32 per cent increase over the 328 units reported the 12-month period prior. Average price has remained relatively stable at $550,000 year-over-year, in spite of the uptick. Yet, values are expected to rise in the days and months ahead given the sheer volume of sales. The price of a two-bedroom condominium in Canmore reflects some of that upward pressure already, now starting at $225,000, up from last year’s rock bottom price of $195,000.
Young families and retirees lead the charge for product in Canmore, with single-family homes priced between $500,000 and $1 million and condominiums ranging from $250,000 to $500,000 most sought-after. The most expensive sale so far this year was a 5,000 sq. ft. timber frame retreat, close to the river, with a price tag of $1.925 million.
Builders are demonstrating their confidence in the overall market, with new construction underway in town. From single-detached homes to multi-unit residential (duplex, fourplex), demand now exists across the board. Financing has presented some challenges, with the hotel/condominium sector most impacted by changes to lending policies.
Income-producing properties that are generally part of a rental pool are meeting with resistance from banks and lenders, as they move to mitigate their risk in the market. Purchasers travelling from Calgary, Edmonton, Red Deer, and Fort McMurray represent the lion’s share of activity, although there have been some out-of-province sales.
Demand is fairly evenly distributed, with no specific area experiencing a surge. The north side of town tends to attract younger families with kids, while the full-on mountain resorts—such as the Three Sisters and Silver Tip—are drawing purchasers who seek solitude and scenery. The remainder gravitate toward the downtown core where shops and restaurants are within walking distance.