The prices of new, single family homes in Cow Town are still declining. Alberta real estate continues to take a hit, especially in Calgary where the number of new builds has dropped by about 16% from the same time last year. House prices for new homes in the city have decreased by just over 2% since July of last year and experts are putting the blame on oil prices that have been continuing to fall over the last five years.
One local realtor says 2019 has been the slowest year for real estate Calgary has seen for more than 20 years. Housing starts in Calgary were down due to too many new builds in the recent past -- many of which are still sitting vacant on the market. The chief economist of the Calgary Real Estate Board (CREB) says there is also a glut of homes currently in the resale market which also affects the construction of new, single family homes.
There has been a slight increase in the sales of homes under $500,000 most of which consist of half duplexes, semi-detached homes and apartments. It is definitely a buyer's market since many sellers have had to consistently lower their asking prices to get any activity. On a city that runs on oil and gas, what happens in that industry is bound to have an impact on other areas such as the real estate sector.
Economic conditions have a definite impact on the real estate market. Despite declining prices and the ramifications of a struggling oil sector, real estate deals continue to be inked and need the input of an Alberta lawyer experienced in real estate law. It is especially important to get the help of a lawyer in any prospective real estate dealings when the industry is so unsettled. A lawyer will always have his or her client's best interests at heart whether he or she is a buyer or seller of real estate.