The start to the year has been a busy one with the sales activity across Alberta hitting levels that we have not seen in over a decade! With an uptick of 43.6% compared to January 2020, climbing to a total of 4,045 sales across the Province. This was experienced across all price ranges, from under $200,000 to over $1,000,000+.
Some of the hottest markets in the Province year over year for January were Canmore (+220%), Brooks (+66.7%), Red Deer (+43.5%), Calgary (+40.7%), and Airdrie (+39.2%). While other markets in Cochrane, Crowsnest, Lethbridge and Camrose all continue to outperform years past as well. The real surprise was in Fort Mcmurray where sales jumped but were primarily in the lower price ranges. The coolest markets for the month were Grande Prairie, Rocky Mountain House and Sundre but each of these markets had consistent numbers compared to years past in their areas..
With the unemployment rate dropping in Alberta to 10.7%, and disposable income savings continuing to remain strong at 14.6% through the last quarter of 2020, combined with low interest rates there is no signs of slowing down in the near future (pending any unpredictable World events). With the first time home buyers markets doing well in most areas, it has opened up the markets in the price point above and the full property ladder is in effect in most area across the Province.
As always, there are many variations and conditions within each market that help determine what is happening in each “micro” market. Understanding these variances are critical in proper pricing to achieve the best results for our clients.
|CIR’s overall start to the year has been a busy one, in fact, the third busiest in company history! Given that showings are up +59% over December, and +45% over January 2019’s showings, we don’t anticipate a slow down any time soon.|
|Calgary’s months of supply of inventory has lowered to 3.06 months after seeing a 40% increase in sales year over year, and a decline in inventory by 20%. This big push in December brought sales just under -1% less transactions ytd than 2019. The market conditions are shaping up for more competitive conditions in 2021.|
|Airdrie hit a new record for the number of transactions in the month of December! With inventory continuing to decline combined with record sales, it continues to lower the months of supply on the market. With teh bulk of the sales activity in the $300,000 to $500,000 price range, it is proving to be an ideal move up market.|
-Steve Phillips, CIR Realty