Here is 2015 Real Estate Market Outlook for Calgary from Remax®
A city-wide Civic Census showed that in April 2014, Calgary saw the migration of approximately 28,000 people to the area in the past 12 months, an increase of about 1,800 compared to the previous year. Migration has significantly impacted the real estate market fueling Calgary’s consistent strong performance over the past few years. However, in the fall of 2014, the housing market started to show a shift from a seller’s market to a more balanced market, likely due to a decrease in oil prices.
The price adjustment in the energy industry should likely have an impact on the 2015 Calgary housing market. While it is still expected to see a slight increase in price, it is anticipated to be less active as potential buyers wait to see if lower oil prices result in more favourable house prices. However, RE/MAX expects 2015 to be a balanced market, creating a more level playing field for buyers and sellers. A combination of oil prices and dollar value should have the greatest impact on Calgary’s housing market in 2015. One advantage is that most oil industry corporations are being paid in the American dollar, thereby lessening the current effect of the low Canadian dollar. Calgary is projected to see a four percent increase in unit sales and a more modest three per cent increase in average residential sale price increasing to $497,500.
Buyers who are looking to move up are likely to drive demand in Calgary’s real estate market in 2015. Also, the low vacancy rate for rentals has made potential tenants look at purchasing sooner than they anticipated. Condominiums and townhouses are expected to represent a growing share of the active marketplace, as long as they are priced competitively. With increasing house prices, condominiums and townhouses are an affordable way to purchase real estate in the city. The city’s growth is prompting optimism for its housing market in 2015. Today, the population is close to 1,195,000, and growing. There is a mild concern as to how the city will keep up with such growth, as new infrastructure will be required. Despite this need, it is anticipated that Calgary’s real estate market should continue to flourish throughout 2015.
Please contact us with any questions on the outlook or if you would like more detailed information.