Calgary Real Estate Market Updates for October 2020. Now if you're looking to buy or sell a home
in Calgary, it's important for you to understand what's happening so you can position yourself
properly and have a step up when it comes to negotiating your offer.
Now I'm gonna go through what had happened in the Calgary Real estate Market in September and at
the end i'm gonna have advice for buyers, sellers and investors so you want to make sure you stick
around for that if you're new to our channel my name is Felix Chan with the LiveInnerCity real
estate team and if you enjoy this video and our other videos you can check them out here
then make sure you subscribe. Okay, let's get started. I'm gonna start with the detached market
then move to townhouse or row housing then semi-detached and then condos and then i'll
share my advice if you're a buyer, seller or investor so for the Calgary real estate detached
market now you'd be surprised that we saw an increase of 28 more in sales over 2019
that equals to 1052 homes this has helped close the gap as our year-to-date numbers are
now only off by eight percent in comparison to the twelve percent from last month in relation to 2019
now as you can see with the weekly sales we are declining so we won't see the same level
of energy in October or even for the rest of the year. Inventory at the end of August was 3077 which
puts us at about 17 and a half percent less than last year. This equals almost 700 detached homes
less on the Calgary Real estate Market which is a sizable difference. Days on Market was up a bit
from August from 46 to 50 but still 9.9 less than the same period of time last year now for pricing
benchmark price year over year has gone up again as it did last month, we are at about 0.91% higher
than the end of September 2019. For the Calgary Real estate Row and Townhouse market, you're gonna
be surprised with this stat. We did see 256 homes sell which was a 47% increase over 2019 and it was
a significant increase from august where we sold 216. Now that is very rare at this time of the
year inventory at the end of August was 956 which puts us at about 4 % less than last year
and as a whole, we've adjusted downward from the end of the month. Days on Market has come down
about 1.9% from last year and we're basically even with last month we're currently sitting at days
on market of 60. Not great news for pricing though as benchmark price year over year is still seeing
the largest decline of all four property types year over year we are down 7% but it is slightly
better than August which was about 8.4%. This is a challenging and confusing market to be in
it's seeing an incredible year over year sales activity and the inventory is reducing nicely
but prices are still adjusting downwards in a significant way i am however optimistic that
if these two things keep happening we're gonna chip away at the net year over year decline but
it could take about six months or so to do. For the Calgary Real Estate Semi-Detached Market.
Semi-Detached homes saw 152 homes sell which is a 21.6% increase over 2019. It was also an
increase from August as well now inventory at the end of September was 549 which was exactly
where we were at at the end of August. Now this number sets this property time to lead the way
in reduced inventory at about 25.9% less than last year. Here is a big win -- We saw another huge decline
in the Day's of Market for this month. It adjusted from 64 in August down now to 54. Benchmark price
year-over-year has declined by about 1.8% and this is equivalent to the same number from last month.
With this bump in sales activity and decreased inventory though we should start to see the
market stabilize. For the Calgary Real Estate Condo market the condo market we did see 242 units sell
which was a 0.8% decrease from 2019 but it's still an increase from August. Now year to date we still
find ourselves 15.9% less in terms of sales at the same time last year and it does remain the
furthest behind from 2019. Inventory at the end of August was 1643 which puts us at 1.3% more than
last year. Now despite the increase in inventory the Days on Market actually declined by 4%.
So it's sitting right now at 67 days. The benchmark price for condos it was basically flat again
only down by 0.36%. Prices have been beaten down for years so I can't really see much more
downside in the short term. Now let's bring all of this together and what this means if
you're a buyer, seller or investor. For buyers -- now interest rates are so low it's like free money.
You can get a 5 year fixed or 5 year variable for under 2%. Listings per
day will continue to drop so you'll start seeing less and less product all the way through February.
If you're in the detached or semi-detached market and you do see something you like
move on it quick because there isn't a lot to choose from and they are selling fast.
Now if you're looking for condos you have lots of choices and given the ample supply you'll probably
have a lot more room to negotiate on price for sellers now the basics of supply and demand show
strength in the detached and semi-detached but you can't get comfortable or overconfident given the
seasonality we're going into. A common myth for pricing your home is that you have to list high
because you have to negotiate well to be honest that method doesn't really work
hasn't worked for the last few years and it's not going to work in this market. The proper
pricing strategy is pricing it right at market and negotiate tight. Now there's two reasons for this
number one if you have a lower price point you can get more eyeballs on your listing
which means there's a higher chance of getting showings the more showings you have the higher
chances of you receiving an offer and number two it's gonna show value to the market so people are
gonna want to see your property for investors now if you have limited capital and you cannot buy a
home then look at condos the flood of condos could present some pretty good opportunity to buy at a
lower cost for example -- I have 1 Beltline condo for sale at $187, 000. You can check it out here
It's affordable it faces a playground and isn't a great location. You can look into buying a single
family home although you probably are not gonna find a great deal and legalize the basement suite
or buy one that already has one so you can use the rental income to qualify for your mortgage
if you want to see what that looks like give me a shout and we can do an assessment
on your financial situation to see what the possibilities are. Now if you're looking for a deal
you're better off to wait until you start seeing stronger motivation this winter and
builders are wanting to sell their inventory from pre-sale condos with built-in property management
to semi-detached with legal suites builders in Calgary are pushing to sell their product given
the uncertainty in Alberta. Since being on YouTube we've had an unexpectedly high amount of investors
reaching out to us and as a result, we'll be coming out with a video in the coming weeks where
we take you through a home that we helped a client buy and convert illegal basement into a
legal basement. If you don't want to miss that make sure you subscribe and hit the notification bell
so you know when that comes out. If you want to buy an investment but you're not really sure where
to start we first have to determine what kind of investor you are are you willing to put in the sweat
equity? Do you want something that's turnkey or are you okay with renovations? Once we know that,
then we have to determine your investment objectives so give us a shout and we can help
build you the roadmap for your investing journey. So this wraps up our Calgary Real Estate Market
Update for October 2020. if you want to see some community highlights and home tours check out
our home tour playlist or our other playlist for real estate tips here or in the description down
below. We hope that this was valuable to you so you can subscribe to our channel and come back
for more real estate tips. We are growing our channel by about 200 subscribers per month and
that's all thanks to you guys. My name is Felix Chan with the LiveInnerCity Real Estate Team,
helping you keep real estate simple. Check out our playlist and we'll see you in a few seconds.