2019 has passed us by, and another year of real estate is behind us. Moving into 2020, the markets are set to change once more in Calgary, and we’re going to take a look at what you should expect in the coming year. Whether you’re a buyer or seller, this article will show you what’s coming, and how to handle it. We’ll also look at why the market is expected to change. Keep reading to learn more about the Calgary realty market in 2020.
Price Decline
Last year’s market saw a price decline of about 3.4%, and it’s expected that the market will experience yet another drop this year. However, it will only be to the tune of about 0.7% according to CBC.
The market has recovered some from last year’s drop, and it looks like an increase in job growth and a shift in mortgage rates are helping to stall the price drop a bit. Obviously, that 0.7% figure doesn’t apply to houses of every type, as certain markets will fluctuate more than others.
According to the same article, you can expect detached homes to drop in price by about 0.5%, with attached homes falling in somewhere around 1.1%. Condos will likely experience a drop of about 0.8%, according to the real estate board. It’s important to remember that while these figures are based on current information and previous trends, they’re not set in stone; anything can happen on the real estate market as the year progresses.
More Sales Overall
While prices may have declined last year, unfortunately, the sales didn’t. Last year, sales reached about 16,365, a minor increase from the previous year. 2020 looks more promising. The CREB is predicting the possibility of a growth of 2.24% in overall sales on the market. This means good things for both buyers and sellers, as more people will be looking to buy and there will be a greater abundance of purchasable homes on the market. If you’re looking to buy your dream home, 2020 might just be the time to do it!
Last year, there was a focus on homes priced under $500,000, and it’s expected that this year will be similar. The higher-priced properties didn’t seem to fare as well on the open market as their more affordable counterparts.
Population Growth is Helping Calgary Realty
As the city of Calgary continues to grow, we’re going to see more homes becoming available and an increase in sales on the market. Calgary has plenty to offer the modern family! It’s also a great spot for first-time buyers.
Migration is expected to also grow this year, hopefully increasing the number of sales and the health of the market. In 2019, the city saw an excellent 1.45% growth in population, and this year is expected to yield the same, if not greater results.
Growth on All Fronts
We’ve covered migration, homes for sale, and overall sales numbers, but what about the economy at large? Believe it or not, the economy has actually been growing steadily and will continue into 2020.
A better economy means more competitive rates, better prices, and more families that are able to afford to buy houses. 2020’s economic growth is predicted to be even higher than the previous two years, so we can expect to see some new buyers on the market looking for their first home.
Availability in the Calgary Realty Market
The availability of good listings may decline this year, as it has in the previous year. With fewer people putting their homes up for sale, the demand is higher and the supply continues to drop. This is the perfect time to get into the seller’s market, as buyers are looking for qualified homes in a market that doesn’t necessarily have the supply to meet their demands.
The Take-Away
Overall, it looks as though the health of the Calgary market in 2020 is assured with steady market growth. There’s plenty of overall economic growth in the region and the city’s growing. With more people moving to Calgary, we’ll see the demand increase while the supply drops, making it a seller-friendly market.