Economic trends and real estate laws can have a big impact on closing rates and housing prices. In Calgary, Alberta, a real estate agent shares that the residential real estate market has changed a great deal in the past few years. As sales in the region dropped 18 percent from last year, experts point to a few reasons and share some advice for sellers.
While there has been a decrease in sales compared to last year, the prices for detached and single family homes remain about the same in Calgary. Condominiums are selling for 3 percent less due to an oversupply. Experts say that with these trends, home sellers should put in extra effort when presenting a home for sale. This includes staging a house well, ensuring it is advertised as being for sale, and pricing it realistically.
There are several factors that may be impacting residential real estate sales. One of these is the new lending regulations introduced in 2018, which require lenders to use stricter criteria for mortgage approval. Rising interest rates also may be influencing peoples' ability to buy homes. Finally, the harsh winter may be keeping buyers from going out to open houses around town.
Weather, regulations and basic supply and demand can all influence residential real estate markets in Alberta. It is a good idea for buyers and sellers alike to keep up-to-date on the latest pricing and selling figures in the area. Remaining aware of real estate laws is also vital in this market. For this reason, retaining lawyer with experience in real estate matters is important to have when buying or selling a home.
Source: Calgary - CBC News, "'Be really realistic,' advises real estate agent as Calgary sales drop 18%", Rachel Ward, March 5, 2018