Welcome! Today. I'm going to start by sharing some news articles with you.
People always ask, "how do I get more ahead financially?" Some will say,
"how do I increase my income?" While others will say,
" how do I stretch the dollars that I have?" And both of them are right?
But this first article is about the latter. We've been sharing with you.
The increase in interprovincial migration for several months now.
And in this article,
there's more data supporting this fact in our team has personally helped a ton
of people from out of town, buy homes in Calgary, Alberta.
Now Alberta has relative housing affordability draws a lot of tensions from
those who live in expensive cities, but now can work remotely.
Now here's a big tip for you during a mortgage approval phase.
It's important for your job letter to say that your company is allowing you to
work from home and from a different city like Calgary.
And if you're thinking about making a move like this,
please reach out to us at our email and our in-house mortgage expert.
Felix Chan, we'll be able to help you from out of province.
Buyers from Toronto and Vancouver to perception is that Calgary's real estate
market is on sale.
This article mentions the RCA affordability index and the cost of homeownership
in Vancouver is about 78% of household income.
And 68% in Toronto in contrast in Calgary,
the cost of ownership is only 37% of household income.
Now there's a report by Oxford economics and it ranks Calgary as the 10th,
most affordable city in north America.
Whereas Toronto and Vancouver were one of the least affordable. Affordability
is a leading driver for all of our town buyers right now.
And the city's relative affordability is due to the multi-year downturn in the
oil and gas industry. Now we got to check out this second article,
which shares with us that oil prices are currently soaring along with other
commodities, and they can provide a significant boost to Calgary's real estate.
According to BMO, senior economist, Douglas Porter.
Calgary real estate prices recently started climbing,
but still lagging national price growth.
And the real estate prices historically have a positive correlation with oil
prices.
The oil industry is one of the biggest drivers of the local economy representing
almost 25% of Alberta's gross domestic product or GDP.
When we look at Calgary's MLS house price index,
we saw an annual price growth of 11% in may,
which is a substantial amount of growth despite the recent oil price boom,
when compared to the national home price growth of 23% of the same period
prices in Calgary have yet declined. Okay.
Last month we reported about the new mortgage stress test.
This came into effect on June 1st,
which affected the average Canadian home buying power I'm here today,
give you the Calgary real estate market update for July, 2021.
Without further ado, let's get right into it.
So welcome back to the channel. If you're new here. My name is Jasben Lai,
a Calgary realtor from the LiveInnerCity real estate team.
And I'm here to answer for you the age old question of "How is the real estate
market right now?".
All right, let's talk about sales. First, June, 2021,
sales are up by 65.3% or just over 2,900 sold homes
when compared to last June.
The sales are down compared to the month before May, 2021,
by 2.3, 4%. As you can see from this graph,
this is a record high for June,
and it indicates that the housing market is showing some signs of letting up.
Now, if you check out this graph, which breaks down sales for each price range,
all price ranges with the exception of.
The under $100,000 saw increases even the high end luxury
market.
Of the $1 million and beyond.
Let's talk about inventory early in the spring buyers did not have plenty of
choices,
but recent improvements in supply are providing more options for them.
It is taking time for supply to catch up with the demand in the market.
New listings in June totalled 4,135,
which is the second-highest ever reported for June. Now,
each property type had different inventory levels.
So detached went down by 0.4%. Semi-detached down by 7.6%. Row Townhouses
were up by 14% and apartments were up by 26%. Now,
here are the key highlights for detached homes.
There are modest improvements in inventory levels and strong sales have kept the
detached market firmly in the sellers market condition.
For semi detached homes with 592 units in
inventory in June levels have trended up from the start of the year. Price.
Detached saw a 13% bump. Row and townhouses
saw a 9% increase.
Semi-detached was up by 11% and apartments has seen
a 5% increase. Now the key highlights for price are row townhomes
in June citywide road town home prices totaled.
$299,300.
Which was 1% higher than May,
2021 and 9% higher than last year's levels.
Prices have increased across all districts. Now,
if you're looking for a great townhouse,
we have a new listing and you can check it out here or we'll leave a link for
you.
Semi-detached persistent sellers market conditions have caused benchmark prices
to trend up reaching a $427,000 in
June.
The gains occurred across all districts and did you know some of the best cash
flowing investment properties are semi-detached.
These are the ones that you can rent up and down.
Do you want to learn more how to get that sweet,
sweet cash flow into your portfolio? Well,
check out our other investment videos?
We'll leave links in the description below.
Tightness in districts with less than two months of supply
has also resulted in the highest year over year price gains. However,
the inner city has not experienced the same tight conditions and is the only
district where detached prices have yet to recover to previous highs.
Here's the summary. Sales
to new listing ratio was overall 70%. And for detached homes,
it was 76%. For semi-detached 63%. For row townhouses,
67% and apartments were 59%.
Remember if the ratio is a hundred percent or one-to-one,
this means that we are selling as much as we are putting out new listings months
of supply for detach, we saw 1.79,
which is still a sellers market for semi-detached 2.44 for road
townhouses, 2.68 and apartments remained a bit higher in a buyer's market at
4.44 months.
Here are the key highlights for detached homes with the sales to new listing
ratio of 76% and months of supply of below two months,
benchmark home prices continue to rise the unadjusted detached
benchmark price,
totaled $537,200 in June.
That was 1% higher than last month and 13% higher than
last year's levels.
Now here's some special market advice about the condo market.
We don't often talk about it, but here it is.
Recent price gains have encouraged more people to sell their condos this year.
This has caused new listings in overall inventories to increase
relative to the previous year.
Relative affordability has supported sales totals that have improved from the
exceptionally low levels recorded over the previous six years.
Strong sales brought months of supply down and was consistent with
balanced market conditions. And this supported price recovery in the market.
Prices have trended up over the first half of this year and have risen across
all districts.
The district that saw the most significant price gain was the west district.
Still prices remain nearly 15% below previous highs.
Hopefully I was able to give you a good understanding of what is happening today
in the Calgary real estate market. We are very grateful for every like,
share and subscription that you guys give us.
So thank you for your continued support. Are you viewing this from another city?
We'd love to hear where you're watching from.
So put that in the comment section below.
My name is Jasben Lai with LiveInnerCity real estate team,
helping you keep real estate simple. See you guys next time.