This week, Royal LePage released their House Price Survey results, which showed many encouraging trends for real estate in Canada and Calgary. For instance, 2017 saw strong growth in the housing sector and looking forward in 2018, condos will be the ultimate choice for affordability.
“To prospective homeowners in our largest cities, condominiums represent the last bastion of affordability,” said Phil Soper, president and CEO, Royal LePage. “This is especially true for first-time buyers whose purchasing power has been reduced by tightening mortgage regulations.” c
For the last couple of years, the condo market has been saturated, due to an influx of inventory. While this hasn't been overly favourable to condo sellers (though pricing is always key), it has given homebuyers a big hand up. The inventory has forced condo prices down, making for a buyers' market in that segment—a trend that will continue into 2018.
Following its economic woes in 2016, Alberta’s economy grew briskly in 2017, leading some to speculate that it was out-pacing all provinces in terms of growth. With oil prices surpassing the US$60 per barrel mark, production has ramped up along with an overall uptick in economic activity since 2016’s wildfires. Further to the energy sector rebound, Alberta is also seeing growth in manufacturing, retail sales, exports and residential construction, all of which are rebounding from 2016 levels. In the fourth quarter, Calgary saw an aggregate home price increase of 4.4 per cent year-over-year to $479,352, while the aggregate price of a home in Edmonton rose 2.3 per cent to $386,532. [Royal LePage]