HOME SECURITY
Move-up Homes Feature
This is not your dad’s system, say experts
Buyers taking the next step, and builders are joining them
DIGITAL DOWNLOW A7
Bill Kirk
2014 CREB® President
A8
A5
FREE july 22 to july 28 2016 issue 06-28 editorial 403-781-1324 advertising 403-263-4940 crebnow@creb.ca
real estate news from industry experts
A TENANTS’ MARKET Apartment sector creating dream scenario for renters, say experts BARB LIVINGSTONE for creb®now
C
algary’s buyers’ market for an increasing inventory of apartment-style condos is also translating into one of the best renters’ market in recent history, according to new statistics from Canada’s housing agency. And an already-rising supply of apartments for rent, due to the city’s economic slump, is expected to jump even further this year. The 30 per cent of apartment condos traditionally bought by investors to offer for rent will combine with new rental-only units being built to push Calgary’s rental vacancy rate to seven per cent by this October, according to Canada Mortgage and Housing Corp. (CMHC). The head of the association representing the residential rental industry, however, says the city’s vacancy rate may already have hit seven per cent – or even higher. That compares to 5.3 per cent in October 2015 and 1.4 per cent in fall 2014. In 2013, the vacancy rate was just one per cent. Richard Cho, senior market analyst in Calgary for CMHC’s Prairie region, said there were 6,196 apartment condominiums already under construction in March this year – almost one-third of which will likely be investor owned and become part of the secondary rental market when completed. In June, that number jumped to 7,225 (with a concentration in the southeast, northwest and the Beltline), with just 237 new apartment condo starts in that month.
CITY OF CALGARY APARTMENT SALES VS. RENTAL VACANCY RATES
4,801
7%
4,056 5.3%
3,228
1.4%
1%
2013 Sales
3,163
2014
2015
2016
FORECAST
Rental vacancy rate
Source: CREB®
RENTALS A3
CITY OF CALGARY
MLS® BENCHMARK PRICE* JUN ‘14 – JUN ‘16
‘HOT’ MARKET CONTENTS NEWS BRIEFS AHEAD: TD
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
FIVE THINGS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A4
$440,400
$439,700
$441,000
$442,800
$445,000
$447,800
$452,800
$454,800
$457,400
$459,300
$459,300
$459,100
$459,300
$457,800
$456,700
$458,900
$460,900
$462,400
$461,700
$462,200
$462,800
$461,900
$460,600
$459,800
Population impact on housing
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JUN14 JUL14 AUG14 SEP14 OCT14 NOV14 DEC14 JAN15 FEB15 MAR15 APR15 MAY15 JUN15 JUL15 AUG15 SEP15 OCT15 NOV15 DEC15 JAN16 FEB16 MAR16 APR16 MAY16 JUN16
$458,000
CREB® STAFF anadian homebuyers should anticipate a “hot summer” as existing homes sales in commodity-driven markets stabilize and others continue to show they still have “room to run,” said TD economist Diana Petramala. In a TD Economics report issued this month, Petramala said while she expects some further softness in housing activity across commoditydependent markets given elevated unemployment rates, the stabilization in housing activity over 2016 suggests the peak-to-trough home price correction may be less severe than originally expected, “or about half of the 10 per cent we had projected before.”
*All statistics based on monthly data compiled by CREB® via MLS® activity. Includes detached, attached and apartment.
MARKET A3
MARKET. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A6 Commercial
WEEKLY FEED. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A6 EVENT LISTING. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A6 DONNA BALZER. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A7 Curb appeal
MORTGAGE RATES. . . . . . . . . . . . . . . . . . . . . . . . . A8 MAP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B1 OPEN HOUSES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B19 @crebnow
CREBNow
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Gizella Davis nmore Silvertip - Ca
$2,485,000 18 BLUE GROUSE RG
SILVERTIP, a small piece of heaven! As soon as you arrive, you know you’re SOMEWHERE SPECIAL Throughout the 3500+ square feet, you’ll appreciate the PURITY OF DESIGN + QUALITY OF FINISHING only found on a custom built home. Vaulted ceilings, floor to ceiling windows + incredible millwork. Careful attention was paid to ensure the connection with your special surroundings. An exceptional property for the discerning buyer. MLS®C4043076
Britannia
$1,450,000 4327 CORONATION DR SW
Wonderful home on a beautiful, TREED lot in the heart of BRITANNIA. 4 bedroom home with numerous UPGRADES including kitchen, bath and flooring. 70’ x 130’ walk out lot with great DEVELOPMENT POTENTIAL and ability for city view in a PRESTIGIOUS community. Excellent location close to shopping, schools, parks and a quick commute to downtown. MLS®C4065627
OPEN HOUSE SAT, JULY 23 1:30 – 4 P.M.
k Windsor Par
A3
403-680-9093 $1,250,000 #207 5555 ELBOW DR SW
IMPECCABLE BUNGALOW backing onto the Calgary Golf and Country Club in the PRIVATE GATED community of Country Club Estates. Entertainment sized living room offers infinite adaptability to any decor or colour scheme. FORM & FUNCTION combine to create a custom kitchen with plenty of room to work, STYLISH cabinets, large island, top of the line appliances. MLS®C4071866
gizella@gizelladavis.com www.gizelladavis.com