Government of Canada Announces New Guidelines Affecting Mortgage Qualifying Guidelines
The Government of Canada has announced some changes to the guidelines affecting mortgage insurance that can have a significant impact on homebuyers and how much they can borrow for a mortgage loan. With these changes going into effect on October 17th, those who are thinking about purchasing a home may want to get the homebuying process started before the new changes go into effect if they hope to increase the housing options that are available to them for purchase.
Understanding Mortgage Insurance
According to Canadian federal statutes, mortgage lenders are required to purchase mortgage default insurance for homebuyers who do not make a down payment that is at least 20 percent of the property purchase price. Also referred to as high loan-to-value or high-ratio insurance, this coverage protects the lender if the homebuyer defaults on the loan. Providing...
The Calgary housing market was almost like a tale of two cities during the month of August, with the detached housing market having a much different outcome than the higher-density segments. Nonetheless, sales activity was down overall within the Calgary housing market, with total sales reaching just 1,567 for the month.
Benchmark Prices Show a More Complete Picture
Overall, sales for detached homes fell during the month of August within the Calgary housing market. The number of new listings also declined, thereby stopping the inventory from reaching its previous highs. In turn, this has limited the downward pressure placed on housing pricing within the market. The picture wasn’t quite the same within the attached and apartment sectors, however, with both having recorded inventory levels near...
The most recent CREB report has found that sales activity continues to decline in the City of Calgary. Just as the city has continued to struggle in all economic aspects, so has its housing market. This condition has only been further exacerbated by the declining net migration levels within the city.
Slowing Housing Sales
According to the CREB report, housing sales activity in Calgary reached a total of 1,741 units during the month of July. This represents a 12.6 percent decrease when compared to the same time last year, making it the 20th consecutive month in which the city has experienced a drop in year-over-year sales. As the number of unemployed workers within the city continues to grow, the net migration continues to fall and job loss continues to be a problem, the overall state of the housing market has also continued to weaken.
Despite optimism related to recent oi price gains, the Calgary real estate market - housing inventory was once again on the rise during the month of May.
New Listings Combined with Slowed Sales Lead to an Increase in Housing Inventory
As new listings climbed and sales slowed to just 1,923 units, The Calgary Real Esttae Market inventory was once again on the rise. Unfortunately, due to a weakness in the labour market, demand for Calgary housing also remained weak during the month of May. While most of the focus had previously been on the oil industry, job loss is now starting to spread into other sectors. Meanwhile, wages are falling and unemployment levels remain high in Calgary. As such, housing inventory supplies are on the rise as well as supplies within the new home, rental and resale markets.
According to the latest Calgary Real Estate Board report, inventory levels in Calgary increased by 14 percent in May when compared to the previous month, reaching a total of 6,148...
The Calgary real estate market remains in a buyers market into April as we head into May. The average price of a detached home increased slightly from March.
Calgary Real Estate Market Absorption Rates and Inventory Levels
The Calgary real estate market imbalance in the residential resale Calgary housing market continued to have an impact on citywide prices in April. Meanwhile, as new listings increased, year-over-year sales fell and resulted in inventory gains within all sectors of the market. All of these factors have combined together to create a decline in benchmark prices...
Selling a House in Calgary - Even in a Buyers Market
Are you selling Calgary home in a buyers market? In a buyers market there is usually an oversupply of homes and less buyers. Sellers need to understand that they CAN sell their home in a buyer's market if the home appeals to the buyers more than the others. Here are some tips on how to sell a home in a buyers the Calgary real estate market:
1. Make repairs - In a buyers market buyers are especially critical of the homes they are viewing. Most are already scared to buy and worried about potential falling prices and the last thing most buyers want to do is spend more money on a home after they have moved in. ....
Calgary Real Estate Market Statistics for March 2016
Calgary House Market Continues Decline
As economic conditions continue to be less than desirable in, the Calgary real estate market has also continued to be negatively impacted. Not only have Calgary house prices fallen, but inventory levels are also on the rise.
Calgary Housing Market Graph - March 2016
Examining the Calgary Economy
During the month of March, the Calgary labor market did not experience any improvement. In fact, provincial unemployment rates are the highest they have been since the early 1990s. In February, Calgary’s unemployment...
Due to slow sales and an elevated housing inventory, prices continued to fall within the Calgary housing market in February. With the state of the current economic environment, consumer confidence and housing demand have both been negatively impacted.
Unemployment Continues to Affect the Calgary Housing Market
Over the past eight months, unemployment rates have continued to rise in Calgary. As such, unemployment rates have reached higher levels than they reached during the previous recession. Unfortunately, these conditions are expected to continue over the next several months, which means unemployment is likely to continue to have a negative impact on the Calgary housing market.
During the month of February, sales within the Calgary market reached 1,127 units. This represents a 6.63 percent drop when compared to the previous year. These figures are also 37 percent lower than the long-term averages for the month of February. Furthermore, the number of new listings in Calgary is also declining,...
Picking up where things ended last year, the Calgary housing market has pushed further into becoming a buyers’ market in January. While a number of factors are contributing to the current market trend, troubles within the energy sector continue to be the biggest factor leading to the change in market conditions.
The Energy Market Impacts Sales
With prices recently sliding within the energy market, uncertainty within the energy sector continues to grow. Troubles within the energy sector have led to a soft labor market, which has placed additional stress on the local economy as well as the housing market. Namely, a dwindling labor market has resulted in less demand for housing in Calgary, resulting in only 763 units sold during the month of January. These figures are 13 percent below the previous year and 43 percent below long-term averages. Not surprisingly, new listings also fell in January, which posted a 16 percent drop. Nonetheless, the number of new listings put on the market still outpaced the number...
2015: Taking a Look Back at the Calgary Housing Market
Looking back on 2015, the impact of low oil prices on Calgary’s economy and housing market is clear to see. Not only did the market struggle in terms of sales, but prices have been falling as inventory has increased.
Getting Off to a Rough Start
During the first quarter of 2015, buyers took on a “wait and see” approach as they watched the market and how it would be affected by the oil industry. As a result, the market started to see a decrease in sales activity. When coupled with an increase in new listings activity, inventory began to slowly increase while prices dropped when compared to the final quarter of 2014. On average, the first quarter saw months of supply hit 4.16 during the first quarter.
While the start of 2015 was a bit shaky for the Calgary housing market, the next two quarters...