Jessica Stoner, RE/MAX Real Estate Agent

Find Your Place In Canmore Alberta

December 2020 Market Update

The Canmore market has seen some dramatic shifts in 2020. 

The first Covid lockdown in February 2020  resulted in a sharp decline in sales and a 5% correct in prices.  However, instead of a continued slowdown when things opened up again, we experienced the opposite, with greatly increased buyers demand and inventory to match. 

 

Now in December 2020, in the midst of a 2nd Covid lockdown, we are looking toward 2021 to anticipate the likely market factors that will affect real estate in the new year. 

 

2021 Outlook

 

It is expected that we will see a sharp rise in prices in 2021 and 2022 in Canmore. We are unlikely to see a major correction for many years to come. 

This is due to several factors. 

 

  1. Covid created demand for 2nd homes in recreational areas for vacation homes.  (Alberta’s don’t know when they can travel to United States and are not exactly welcome in BC. Canmore is pretty much the only recreational location in Alberta. It is close to Calgary and the closest town to the ski hills one can buy in. )

 

  1. Covid created demand for 2nd homes in recreational areas for part-time work from home. (It seems some form of work-from-home is here to stay. There has been an influx of buyers buying property in Canmore to spend more time at, as they can spend half of the time here now working from home,  instead of just visiting occasional weekends.) 

 

  1. Cost of lumber and other construction materials have increased about 4X the cost of a year ago. This is not expected to correct for at least a couple of years, and is adding significant costs of new construction in Canmore. As we have low inventory in resales at this time, new home construction is taking up the slack in sales, with expected increasing prices. 

 

  1. Though we had a very active market for most of 2020, it was a balanced market, with enough inventory to satisfy buyers. We are starting to see the inventory dry up, and buyers demand remains high. This will also lead to an increase in price. 

 

  1. Future retirees, who were the dominant driving buyers market prior to Covid, continue to purchase their future retirement homes. This market recognizes the increasing competition in the finite market of Canmore, and buying with more urgency now for their retirement in 3-7 years. 

 

  1. The current buyers are purchasing with genuine use in mind. In past markets, there have been international buyers and speculation investors purchasing for the purpose of buying to flip. We see almost no international buyers nowadays and very few that are buying with speculation in mind.  Almost all buyers now intend to use the homes themselves as a full time home, 2nd home or future retirement home, giving genuine value to the homes and the prices paid

 

  1. Canmore has some new construction slated, but it is limited and there is a finite footprint to what can be built. There are only a handful of new phases that can be built in town before buildout.  

 

 

Overall, almost all factors lead us to believe that the Canmore real estate market will continue to increase in buyers demand and appreciating price point. 

 

Special Zoom Event, Q&A Canmore Real Estate

Special Zoom Event  – April 11, 2020

Canmore Real Estate Q&A

REGISTER
We are hosting another online Zoom Q & A session regarding the Canmore real estate market this Saturday April 11, 10:00 am (MST). You are welcome to ask any questions that will help you better make your real estate decisions.

I’m Jessica Stoner with the Jessica Stoner Real Estate Team in Canmore, Alberta. I’ve been a Realtor in Canmore for 22 years and have been through both up and down markets.

On Saturday, will cover how the Canmore market has behaved over the past couple of weeks and months compared to the same time last year, as well as revisit historical market activity from similar economic interruptions in the past.

Our Mortgage Specialist Greg Foss, with Mortgage Connections will be here again to answer current lending questions.

The market is a moving entity and we want to ensure you have the most up-to-date information at this time.
Feel free to join us this Saturday April 11th, at 10:00am (MST)


FAQ’s During COVID-19 Canmore Real Estate April 2, 2020

Q-Is is still acceptable to list my home or view homes for sale during this time of Covid-19?

A- Yes, Real Estate Services are deemed Essential Services by the Province of Alberta. Purchasing a home or selling ones home is often a necessity for many different reasons, and we continue our services to ensure you can move forward with your real estate needs at this time.

 

Q-Is it safe to list my home?

A– We are working with sellers to determine protocols for the listing of your home, and how to safely have people access your home. 

 

Q-What protocols are in place for a showing?

A- At the minimum, we ask:

Buyers-

-virtual showings to be complete if possible before in person showing

-buyers do not touch anything in home

-buyers and agents travel in separate vehicles

-only agents touch door knobs and light switches if necessary, and nothing else

-children not to accompany parents during showing. (Parents may need to view one at a time, if children are in tow)

-only essential individuals to a transaction to view home. (No family members or other individuals to accompany showings unless necessary) 

-hand sanitizing or washing before and after showings for all parties

-ask buyers if they have symptoms, have traveled in past 2 weeks or been in contact with someone with Covid-19 in past 2 weeks and ask they please delay showing or agree to a virtual showing instead. 

 

Sellers-

-immediately tell us if anyone in the household has symptoms or have traveled in the past 2 weeks. 

-before showings, leave lights on and doors open so less contact with home is necessary

-sanitize as much of the home as possible

-vacate home if possible during showings

Buyers and Sellers may have additional requests for safety protocols and we will do everything we can to accommodate buyers and sellers requests. 

 

Q-Are professionals such as home photographers and home inspectors working during this time? 

A-Some are choosing to decline work now, and others are still providing services, with safety protocols in place. We try to accommodate all service providers requests for safety protocols as best we can. 

 

Q-Are lawyers working this time to close real estate transactions?

A-some lawyers are temporarily declining new business until the social distancing requirement is lifted. Most lawyers continue to work with additional safety protocols in place. Transactions can take longer to complete as lawyers struggle with the legal requirements to meet with their clients in person to sign land transfer documents. The possibility of one party of a transaction requiring self isolation, can delay signing of documents by two weeks. Delays during this time should be anticipated and expected.

 

Q-Is Land Titles offices in Alberta operating during this time?

A-Yes Land Titles offices in Alberta continue to operate. There is a slight delay in processing times, but title transfer operations continue.

 

Q-What happens if a home is tenanted and we can’t evict as per new Provincial statement? 

A-There currently is a moratorium on new evictions issued to tenants due to nonpayment of rent in Alberta until after April 30, 2020. There is no change to the legal enforcement of the end of a lease or Notice to Vacate, legally issued to a tenant for reasons allowed under the Landlord Tenant Act. 

 

Q-What happens if a home I’m buying had someone in self isolation on closing date?

A-This situation is a possibility that all buyers and sellers during this time must be aware of. Every situation will have to be accessed and dealt with on an individual basis. Often buyers and sellers can agree and sign an amendment for a later closing date. All parties have to be aware that this could affect other sales and purchases associated with this transaction as well. Open and frequent communication with all parties, realtors and lawyers is the best way to find a workable solution.

*LIVE ONLINE EVENT*  Saturday March 28 10:00am MST

Question and Answer- Canmore Real Estate

I am inviting you to an online “Canmore Real Estate – Question and Answer Discussion”
This Saturday morning, March 28, 2020 10:00 MST.

You are welcome to ask questions about Canmore real estate, the market, or anything you feel might affect you. Owners, Sellers, Buyers and prospective Buyers are all welcome to take this chance to get some answers that might help determine the best course of action for you at this point in time.

We know these are tough times for everyone. Myself and my team, along with Mortgage Broker Greg Foss, will be answering your questions to the best of our ability.

We’ll share some past stats and patterns regarding real estate sale and prices after other market upsets. (Financial Crisis in 2008, Flooding in 2013, even how SARS affected us in 2003)
Greg can answer questions about the current interest rates, stress tests and mortgage approvals.

I am Jessica Stoner and have been a REALTOR in Canmore for 22 years and have been through markets both up and down. I know there are so many questions right now. I will do my best to answer them, if I can.

Take care, stay healthy and talk to you soon.
Jessica

“In the middle of difficulty lies opportunity”


― Albert Einstein