RE/MAX Edmonton Real Estate News

In early fall our sister blog at Re/Max North posted the Infill Trend detailing the current influx of residential development in the city. This trend is in response to skyrocketing population growth in Alberta, as well as the rest of Canada.

This issue is far from resolved, according to recent reports by Canadian Real Estate Magazine, stating that within the next 3 decades “Canada will actually need another 4.5 million homes for incoming generations”. Historical predictions were proven inaccurate when baby boomers continued to stay in their residences, rather than an expected mass exodus, causing a previously unforeseen housing shortage.

City Official Peter Ohm Discusses Infill Initiatives. Image Credit: Metro News

The City of Edmonton took initiative when implementing the “Evolving Infill” plan to create more residential space in existing established neighbourhoods. However, with any project there are bumps along the way. The city has recently created a ‘compliance team’, as reported by the Edmonton Journal, to physically inspect infill projects, assuring they are built according to permit guidelines. The inspections are necessary before new tenants can take up residency. According to City Councillor Michael Walters:

“The compliance team is needed to win public support for further infill housing”.

This is necessary based on the public mistrust created when community members felt corners were being cut on projects being rushed to completion.

Edmonton Infill Projects. Image Credit: John Lucas, Edmonton Journal

The Journal reports on the process:

  “the new six-member team will visit all new developments in existing low-density neighbourhoods to ensure the infill house was built according to the development permit approved by the city.”

Issues arose due of the complaint-driven nature of the currents development compliance system, meaning a neighbour or concerned bystander would have to call to report an issue with a project before its investigation. The new compliance team takes a proactive approach to the system, which addresses the public concern over previous rule bending by developers.

If you are looking to develop or become a homeowner CLICK HERE to search for properties currently available.

The EREB has released their latest market report, and the last one we will see for the year.

As 2014 is comes to a close the Edmonton real estate market has slowed only negligibly and remains resilient despite expected seasonal cooling. Market spikes showed some plateauing throughout November, but REALTORS® Association of Edmonton President Greg Steele assures us,

 “The housing market has been very strong and robust this year. We are expecting to see continued growth in housing sales for some time, but at a slower and more stable pace.”

Dropping temperatures in the city aren’t stopping motivated sellers this winter. Image Credit: Hendrik Slegtenhorst

According to MLS figures the average residential sales price for November was $381,371,  showing an increase of over 4% from the previous month, and an almost 10% growth in year-over-year comparisons. Single family dwellings averaged out at $442,884 for November (a 3.76% rise) however condominiums showed a minimal 2% sale price drop to $255,167, which is still a 5.3% price increase from the previous year. Total residential sales are up 11% from November of 2013. 

While sale prices remain strong, inventory saw a decrease as fall came to a close, with 1137 properties sold in November in contrast to 1505 sales in October. Total inventory is down 12%, however the year-over-year decrease is only about 4%. The benefit to this slight drop in supply has been the decrease in total days on market as buyers snap up residential listings. Last year at this time we saw on average 57 days on market, whereas this past November residences were sold in an average of 54 days. Edmonton condominiums, with an average of only 12 days on the market, are exceeding expectations in this category possibly due to the minor drop in prices we have seen recently. 

Steele remains confident in the market as we come into the new year,

“It has been a great year for Real Estate. As we do every year, we expect things to cool off as the temperature drops, but we always have new homes listed and sold over the winter months. People move when life happens, which does not necessarily correlate with warm weather.”

CLICK HERE to search for available properties in the Edmonton area or to connect with a local realtor. 

“We’re looking at the T-Rex of winters.”

That is the catch phrase flying around after Jack Burnett, editor of the Old Farmers Almanac, likened our upcoming season to history’s most savage predator. He must not have realized he was addressing Edmonton’s hardy and unflinching masses, where life carries on, the work never stops, and much to the dismay of youngsters school is always open no matter the weather.

Wintertime in YEG. Credit: Laura Danielle Photography

However, in the face of a long winter that’s predicted to be even colder and snowier than we are accustomed to it’s better to be prepared than to be stubborn. These ten cost effective tips will help save on energy bills, even in a T-Rex winter:

1. Cover your windows with plastic.

Older or inefficient windows cause hot air leaks to the outdoors and will end up costing a bundle. Bubble wrap is even better than regular plastic wrap, because of the added insulation of the air pockets.

2. Add a door sweep to all exterior doors.

Not only do they keep heat in but they keep the wet and damp out. They can be easily installed and Home Depot sells a variety of styles, most for less than $10.

3. Reverse Ceiling fan directions.

As we all learned in science class heat rises. There’s no use paying for the furnace to warm your whole house just for all that heat to settle up in the rafters.  Changing fan direction recirculates the warm air pumped out by your furnace and pushes it down into the living spaces.

4. Move furniture away from your vents.

Does it get any easier than that? Move armchair 6 inches to left for the winter, stay warm, save a bundle.

 5. Put a fan near your older radiator.

Radiators are great for creating heat, but not so great at circulating it. A nearby fan facing an opportune direction will help properly distribute all that warmth you’re paying for.

6. Close off any rooms you don’t use.

Storage room of needless items? Guest bedroom with no guests? Close the door, close the vent, close the window. Done. You’ll wonder why you bothered heating all that unused space in the first place.

7. Make use of that decorative fireplace. 

That hipster focal point that came with house is more than just a mantle for vintage books and busts of Beethoven…light that baby up! It’s completely free to use, just don’t forget to chop a few logs over the fall (your biceps could probably use the workout anyways).

 8. Open south and west facing curtains during the day.

Instead of paying for all that heat, why not use the sun. It not only provides free light, but free heat. Opening south and west window coverings in the day will allow your house to absorb as much warmth as possible, while closing them at night traps that heat in.

9. Insultate your water heater.

For about $30 you can buy a water heater insulation blanket and install it yourself in a jiffy. Here are 2 and a half minutes of helpful installation instructions:

10. Clean your gutters.

It’s high up and seems like worst job in the world but ice dams are a disaster.  Cold rain and snow combine with debris and can form ice dams that clog. This will lead to leaks inside the home. Leaks and cold weather are never a good thing. Scratch that. Leaks anytime ever are never a good thing.

These tips are relatively cost  and time efficient, meaning you should be able to get it all done on a day off and on a budget. Don’t forget there’s still time to get your house sold or a new house bought before the cold hits harder! CLICK HERE to search for properties in the area of your choosing. 

The following graph provides a 16 year overview of residential sale prices in the city of Edmonton. This October was the first time prices have rivalled the peak recorded in 2007. The average price 7 years ago was $426, 028 and that has now been surpassed by just over $23,000 for a total average price of $449, 157 for a single family home.

CLICK HERE to speak to an agent about sales trends in your area and to discuss buying or selling a home

As has been the trend this year, the market is remaining strong well into the usual cooling off period of sales. The autumn season tends to slow transactions but a look at year-over-year residential average sales figures are still showing an 8.5% increase from the fall months of 2013.

There has been a slight dip from the exceptionally strong summer numbers that had carried well into September. This decrease can be seen in the sale quantities and prices of single family dwellings, which showed a 2.3% decrease in average sale price from $436, 870 to $426, 848. Additionally the the number of single family homes sold dropped by about 12% over the month.

Market sales remain strong into the fall in Edmonton. Photo Credit: Edmonton Journal

Due to historic trends of decreasing prices in the fall, these stronger numbers are not necessarily meeting consumer expectations for affordable homes. REALTORS® Association of Edmonton president Greg Steele explains some issues with supply and demand these coming months:

“We have seen a lot of action this year in houses under $400,000. People may need to adjust their expectations when looking at houses in this range. There is a big demand for properties at this price point and with a light inventory, you may need to wait a bit longer to find the right house for you.”

Interestingly enough, there is a another face to the consumer market, those creating a stronger than usual demand for homes above the million dollar price point. Around 2% of sales this September fell in that exceptionally high bracket, and while this number may seem small, it has veritably skyrocketed since this time last year when those homes made up  only one quarter of 1% of sales.

For buyers looking for more affordable options, the coming months prove promising. On average condos remain practically priced, averaging about $260, 491 per sale, filling an important gap in a market for investors and first time home buyers with less to spend. Condo prices increased just less than 10% from this time last year, and in the face of autumn predications, have actually increased 2.6% in month-over-month analyses.

Buyers of all interests and price ranges can remain positive as there are certainly no shortages of properties on the market, creating a myriad of buying options. 2049 residential properties were listed in October; a significant increase when contrasted with the 1668 homes sold at this time last year. Of those 2049 listed, a whopping 1525 have already been reported sold.

It is apparent the strong market Edmonton has been experiencing will hold into the winter months. If you are interested in selling your property, or receiving information on available properties for sale, CLICK HERE.

The Real Estate Commission of Alberta (RECA) has introduced a new document into the arsenal of Alberta real estate agents. The ‘Written Service Agreement’ acts equally to protect buyers and agents alike as they enter into their business relationship. A similar representation form already exists to protect sellers, but this new contract will now work on the part of the buyers and not just those listing homes.

Greg Steele, president of the Realtors Association of Edmonton, explained the new implementation in a CTV interview with Daryl McIntyre. The interview is posted here on the CTV website. Steele explains the decision by RECA to implement this non-voluntary document in an effort to protect all parties involved in real estate transactions. As a means of addressing previous issues with ambiguity and questions about transactions and provided services, RECA created the Written Service Agreement to clarify the process.

Greg Steele explains the new Written Service Agreement to the public. Image Credit: CTV news

Explained Steele in the interview,

“It outlines who’s representing who, for what services,  what fees you are going to get for that service, where you’re going to look, how long you’re going to look. It’s pretty simple.”

It is important to note, this implementation in no way affects changes to commission or other service fees it only serves to regulate existing structures. The recently introduced form has become mandatory and all clients and agents require the documentation to enter into a relationship. Steele also explained that there is no minimum or maximum time limit on the form, indicating the services could be for as little as one day, or over multiple years.

If you are interested in Edmonton and area properties, or to list your home, CLICK HERE to research real estate agents in your community.

For many this Halloween holiday season will be their first in a house. With sales rates at an all time high this summer, many buyers made the leap from condo or apartment to a home of their own. This means the opportunity to participate in the festivities by decorating, party hosting, or the time honoured tradition of handing out candy.

For seasoned veterens with a backlog of decorations this task may not loom so large on the horizon, but it can be daunting for the rookies with no idea where to start. These links to the cutest and kitschiest party and decorating tips will leave you with a spooktacular house this Halloween without haunting your bank account:

1. Ping Pong Ball Ghost Lights 

This is seriously easy and inexpensive. Ping Pong balls sell for $3 at Canadian Tire. And you probably already have Christmas lights and a sharpie lying around somewhere right?

2. Severed Finger Party Invitation

Gory, yet strangely artistic, Martha Stewart would never lead you astray. This simple project will make everyone want to RSVP to your holiday event.

3. Haunted House Silhouettes

One of the easiest, and most inexpensive ways to haunt up your house with no artistic skill required! Additionally, this website provides more scary and unique free printable silhouettes to add to this project!

4. Crisp Candy-Corn Treats

This recipe is a win-win. Let’s face it, nobody really likes candy corn, so why not make it into a delicious childhood favourite.

5. Wall Spiderweb

As the instructions insist, all TWO items for this project can be bought at the dollar store, but you would never guess this adorable decor was made on a budget.

666. Glowing Eyes

If you’ve been earth conscious this year and saved up all your old cardboard paper rolls this project can be done in a snap.

7. Bloody Shirley Temples

This party cocktail is simple to make, provides the sugar rush that Halloween is all about, and is alcohol-free for the kiddies.

There’s still time to start looking for a home before the mini-monsters come knocking, CLICK HERE to look for available properties in the area of your choice!

It is a common expectation for real estate sales to boom in the spring and summer and to then see buyers and sellers retreat for the autumn and winter months. Though certain years have proven to this to be occasionally true, September sales figures show the Edmonton region remaining very strong as it enters the fall season. According to REALTORS® Association of Edmonton president Greg Steele:

“There is a false idea out there that people only buy houses in the spring and summer. People buy and sell their houses when the time is right for them. Consulting with your local REALTOR® is the best way to see if the time is right for you.”

Expectations should remain high as we move towards the winter sales season. There is no reason to believe the economy within the industry will weaken anytime soon, based on recent statistics provided by the EREB. Averages appear to have remained the same, or even increased in some circumstances. Days on market have remained stable (at 49 days on average) carrying over from August to September, while prices, listings, and sales are all up when compared with September of last year.

For pricing details, click the following sales chart to expand:

Changes in the price of various residence styles showed negligible differences, with single family dwellings dropping a mere 0.4%, while duplex and row houses increased 0.3%. Sales of single family dwellings increased from August to September showing almost a 5% increase in total number sold.

Out of 2291 residences listed over the month, 1568 of those were reported sold. Steele commented that “we normally see a decrease in sales and average price when fall arrives. The strong market we saw in August continued on into September with surprisingly little to no changes in prices.”

Into our fall season interested buyers are continuing to snap up houses as quickly as they are listed while sellers continue to list their homes in record numbers. Click Here to view recent listings in your neighbourhood, or find an agent to help sell your home this October. 

Edmonton’s real estate market is holding strong as it comes into fall, however a rising market also means  larger price tags on residential and commercial properties. Current and prospective homebuyers can take comfort in their investments however, as statistics are showing the Edmonton market to be one of the most affordable in Alberta.

A recent article posted by Global Edmonton targeting the competitive nature of the Calgary and Edmonton real estate markets uses sales figures to show Edmonton in a clear win situation when comparing affordable housing prices. Additionally the Calgary Herald has made mention of record high prices in the large southern Alberta city.

Residences in Edmonton are Readily Available to Home Buyers. Image Credit: Global Edmonton

Calgary has seen a 10.48 % increase since the same time last year, nearly double the national average. When comparing 11 major centres across the country, the sales figures increase was about 5.33% on average, according to the MLS Home Price Index. Additionally price growth percentage in Calgary has increased 25% over the past 3 years, while nationally that number is hovering around 12.5%.

Economist Leslie Preston (TD Bank) explains the situation down south:

“Existing home prices . . . are on track to outstrip income growth for a second straight year in 2014, which adds to concerns about an already-overpriced market. Affordability, even at low interest rates, has become an obstacle in many markets.”

Global News reports that coming in to winter the average home price in Calgary will be approximately $99,000 higher than that of Edmonton, and about $103,000 in the new year. According to Edmonton’s Chief Economist John Rose:

“When you look at housing affordability issues, Edmonton is actually – among Canada’s major metropolitan areas – one of the most affordable in terms of housing. You have to bear in mind that incomes in Edmonton are about 20 per cent above the national average.”

The affordability and availability of housing in Edmonton can account for the latest population influx in the area, and the strong economic upturn, especially in the real estate industry. Click Here to search for properties for sale in the Edmonton area.

It’s that time of year again.

With heads hung low, our young’uns are dragging their feet back for yet another year of schooling. For those of us with not-so-young’uns this might mean experiencing their first year of collage; some in a new city, or just a new part of the city trying to live life on their own. This is why the surrounding residential areas of the University of Alberta have become so desirable.

Aerial view of campus and surrounding neighbourhood. Image credit: University of Alberta

There are many tiers of residence options from condominiums to large family homes. Residences can be bought with the short-term goal of housing a son or daughter for the duration of their studies, and then flipping the investment for profit. It can be lived in by the family into the foreseeable future. Or any of these lucrative properties can be held on to, and rented out year after year for the throng of passing students always looking for temporary housing. The turnover of renters, and neighbourhood desirably  makes it equally easy to rent, sell, or live in the area.

This student turnover explains the high mobility of residents in the neighbourhood of Stratchcona. According to municipal census statistics, about 30% of residents had lived at the same address for 5 years or more, with 7 out of ten having moved within 3 years or less.

Row Housing near campus. Image Credit: University of Alberta

The area of residences near the University is considered to by part of the larger Edmonton neighbourhood, Strathcona. This historic area is quite old by Edmonton standards, around 15% of residences were built before 1946 and just over half were built in the 60’s and 70’s. This explains the eclectic architectural vibe of the neighbourhood and provides a wide array of housing options for interested potential residents. Around 44% of area homes are low rise apartment buildings, ideal for thrifty first years on campus. Approximately 24% of the area is comprised of single family dwellings, beautiful homes for the family or a comfortable, spacious retirement.

Saskatchewan Drive walking trail. Image Credit: University of Alberta

The University area’s desirability also has to do with it’s ample amenities. Designed as a neighbourhood for students with limited to access to their own transportation, almost every necessity is in walking distance, including grocery, restaurants, laundry, Edmonton’s popular Whyte Avenue district, multiple theatres, and of course all the buildings on campus. As well,  the University’s transit centre is a main hub for bus and LRT services to all access all parts of the city.

Click here to view properties in the University area.