Alberta Looks Promising For Potential Home Buyers
Re/Max released their Canadian Home-buying Trends Survey for 2013-2014 just this past Tuesday. It looked at a number of prospective homebuyers that are considering getting into the homeownership market within the next two years. Almost 20 percent of those in that category were single, another 42 percent couples with families making up 38 percent.
The report also found that roughly 22 percent were first time homebuyers, 32 percent were pursuing their second home and the remaining 47 percent had already made multiple purchases.
Elton Ash, who is Re/Max’s Western Canada executive vice-president, noted that real estate buyers are more savvy and financially prudent than in times past. The state of the world economy, along with tougher financing rules for mortgages here at home, has created a more conservative outlook. Most Canadians are avoiding, or at least minimizing the excesses of the past.
Looking at Alberta, the survey discovered that these prospective home buyers factored into specific age demographics. Roughly 18 percent were people that were 55 and older, 40 percent were in the 18 to 34 year old bracket and 42 percent were between 35 and 54 years old. Some 50 percent of buyers were looking at urban properties, 24 percent were leaning towards the suburban and 10 percent preferred a rural lifestyle.
Most buyers, 58 percent, were looking at properties priced at between $250,000 and $500,000. Nearly 25 percent were looking for properties under the $250,000 mark and 17 percent were interested homes priced between $500,000 and $1 million. Nearly 32 percent of Alberta buyers were shelling out down payments of 30 percent. Ash noted that buyers are in a better financial position due to the recent equity gains, allowing homebuyers to up their down payment levels.
Also noted in the survey, for Alberta, is that nearly 50 percent of residents think their home values will increase, while 34 percent believe they will stay at the same level. Some seven percent believe housing values will decrease. Nationwide, residents remain positive about Canada’s housing market and its future. This attitude was the norm across the country and within all age demographics.
Looking at sales so far this year, from January 1st through the 21st, the Calgary Real Estate Board reported 681 sales through the MLS® system. That is an increase of 6.24 percent over the same time period in 2012. The average price point came in at $430,861 per home, an increase of 12.84 percent over that same time period.