(March 19, 2015
There are many opinions on what the future may hold for the Calgary housing market. Some economists are predicting a recession while others are predicting stable pricing or modest gains. With all the chatter and reports from the media, how does one navigate the current economic landscape and make an educated decision on whether to sell today or wait until tomorrow.
For 2015, some economists are predicting as much as a 15% price decrease, while others are predicting a modest 2% increase in prices year over year. A leading Canadian economist, David Madani says, "A rise in new listings combined with a plunge in sales in January suggest that house prices in Calgary will fall by close to 15%." On the flip side, the Calgary Real Estate Boards (CREB) chief economist Ann-Marie Lurie is predicting a modest 1.58% increase.
2014's housing benchmark price was $449,267. The benchmark price is the price of the typical home based on the value consumers assign to various attributes. Based on the benchmark price and CREB's forecast, you could potentially gain $7,098 in value this year. Based on the benchmark price and David Madani's prediction, you could stand to lose $67,390 this year. Because there are so many economic influences, it is very difficult for economists to predict the future of housing in Calgary precisely, even in stable markets. Realistically we can expect the results to be between slow growth and extreme decreases.
The current market has experienced a 2.09% decrease to the average price year over year. If you are thinking of selling your home this year, take advantage of the spring market for the best opportunity to sell your home for the most money.
Properly priced and well-marketed homes are still selling in today's Calgary market. Call me today to see the odds of selling your home.