Energy prices influencing choices in Calgary housing market

Jordan Meloches and his fiancée Ashley Hopkins didn't hesitate when they recently purchased a condominium in the northeast community of SkyView Ranch.

In fact, while many Calgarians were dissuaded from entering the resale housing market in January by lingering low oil prices, the couple said the current economic climate was the farthest thing from their minds.

"The market to us now really wasn't a concern. We bought in SkyView, which is still developing, so I think our value will only increase as the land out there develops," said Meloches, who cited the condo's proximity to their work and future potential as a rental property as factors when settling on a decision.

CREB's monthly stats show Calgary sales in January total 880 units, below typical activity
Low oil prices throughout January, combined with a shifting outlook in the energy sector, caused unease for consumers. As a result, monthly housing sales activity fell to levels not seen in five years.

"Economic conditions this year are expected to be weaker than original estimates provided in December 2014," said CREB® chief economist Ann-Marie Lurie.

Will add 'consistency' to housing stock numbers

Seeking to provide consumers and industry experts with a better picture of Calgary's housing market, CREB has altered some of the categories in its monthly housing report.

Prior to the changes, which will appear on the January housing update, the city's housing stock was separated into three categories: single-family, condominium apartment and condominium townhouse.

Yearly records set as monthly sales see slight decline

It was a record setting year for Calgary's condominium apartment and townhouse sectors, as sales reached new annual highs despite year-over-year residential sales declines of 7.5 per cent in December.

Single family sales totaled 708 units in December, a year-over-year decline of 8.3 per cent. Meanwhile, total condominium sales also declined by six per cent over the same time frame, but overall activity remained consistent with long-term averages.

Improving inventories help ease price growth pressure

Calgary's residential resale housing market posted relatively strong November activity reaching 1,782 units, a three per cent increase over the previous year, and nearly 13 per cent above long term averages.

"Relative to other major centres, economic growth in Calgary remains one of the strongest in the country," said CREB® chief economist Ann-Marie Lurie. "Employment opportunities and relatively higher wages have encouraged people to move here, supporting the demand growth in our housing sector."

Meanwhile, new listings growth continues to outpace the gains in sales, supporting a 22 per cent year-over-year rise in November inventories to 3,849 units. While inventories have recorded significant gains, they remain below long-term averages for the month.

Calgary's condo sectors continue to set the pace for the city's residential resale housing market, which recorded 2,148 sales in September, nearly 12 per cent higher than the same period last year.

"September's sales growth was stronger than expected, due largely to a surge in condominium apartment and townhouse sales," said CREB® chief economist Ann-Marie Lurie, who credits Calgary's strong economy and fewer options in the lower-priced single-family market behind the continued demand.

Strong gains in Calgary's condominium apartment and townhouse sectors sparked a 3.4 per cent year-over-year growth in residential resale housing sales activity for August.

A total of 2,267 units exchanged hands in the city during the month, compared to 2,192 during the same period in 2013. The condominium apartment and townhouse sectors saw the biggest gains, increasing by nearly 14 and 20 per cent, respectively, for total monthly sales of 790 units.

Growth in new listings outpace sales growth in July, supporting double-digit inventory gains

Residential sales in Calgary this month totaled 2,336 units, a record level for July activity, according to CREB®'s latest stats.

However, year-over-year sales growth in the city slowed to 3.18 per cent.

June brings rise in number of homes sold and listed

Normally associated with a rise in the mercury, the arrival of summer also provided a boost to Calgary's housing market this June.

Driven by continued strong demand amongst buyers, residential sales totaled 2,670 units in June, a 16 per cent increase over last year and 18 per cent above the 10-year average.

Residential sales for last month, highest ever recorded in Calgary

Calgary's residential housing market continued its upward surge last month with a record-setting May that saw a 16 per cent increase in sales.

A combined 2,948 single- and multi-family homes switched hands last month, compared with 2,535 in May 2013. This year's total represents the most sales in May in Calgary's history.