Edmonton Real Estate Blog

Could A Real Estate Slowdown Actually Help Investors?

While we’re becoming accustomed to the stories about slower home sales and declining property prices, it doesn’t all have to mean bad news. If you are an investor thinking about getting into the property game, these very things that are making some people nervous could actually give you a leg up on your venture. There are ways that the downturn can really work for you.

Property is Less Expensive

Property prices across Canada are dropping. If you have your own capital or a way to finance your purchase, this may be the time to act. First-time homebuyers may be put off by the downturn, particularly if they must use conventional financing. But, look beyond the media hype and you might find a silver lining, favoring investors.

Rental Market is Stronger

Some potential home-buyers are choosing until the market stops dropping and instead are staying in the rental market. That’s good for you if you are buying rental property. Currently...

Alberta’s Housing Market Most Affordable in Canada According to RBC Report

While much of Canada is seeing a slow down in the resale housing market, Alberta is enjoying a steady uptick. The Alberta powerhouse had a promising third quarter, according to a study by RBC Economic Research. The firm looks at the affordability of homes in markets across Canada and features the results in its Housing Trends and Affordability Report.  

Affordability is calculated by taking the amount of before tax household income and then subtracting the amount it takes to own and maintain a home to find the left over, or otherwise disposable income. Edmonton and Calgary saw the best numbers in Canada and the best numbers in the two-storey home category since 2009. Even better, the city’s condo market also saw the best numbers since 2005.

The first part of 2012 in particular saw an increase in resales, which made the real estate market in Alberta tighten up. When inventory decreases, prices tend to increase and that is most likely going to be the case in this...

CREA Report Analyses Real Estate Performance in October of 2012

The Canadian Real Estate Association, or CREA for short, just released its figures on home sales for this past October. The numbers show little change in average price and sales activity nationwide. MLS System sales only decreased by 0.1 percent from this past September, but the sales numbers were less than those found in the first half of 2012. But not all of the markets were created equal. Greater Toronto and Greater Vancouver saw October 2012 sales improve over sales from the previous month. Still, the sales numbers were lower than in the first six months of this year.

Looking at a year over year comparison, sales this October were 0.8 percent lower than in October of 2011. But, in 2/3 of the markets surveyed, sales were higher this October than last. Calgary was the strongest, while Greater Montreal, Greater Vancouver and Greater Toronto saw their sales lower in October 2012 than the same month last year. Alberta and Saskatchewan markets were picking up speed and taking the sales...

Edmonton’s Established City Core Neighbourhoods Need New Residents

Edmonton is filled with lovely old neighbourhoods with big houses on large lots and lots of nostalgic character. The thing is, those neighbourhoods are in danger of fading away if new families don’t move in. But property prices in the city core are much higher than in the outskirts, prompting developers to build more new homes on the fringes of the city.

The key to getting new families into the city core is to build more affordable single family homes in that core. That would mean a change in not only the zoning, but the mindset of current residents. Though the city is taking its time in changing bylaws in its more established neighbourhoods, there has been some movement on the affordable housing front.

Some neighborhoods allow duplexes, which paves the way for homeowners or builders to take one large lot and divide it into two, putting a narrow, but tall, single family home on each half. This is a good beginning, but more could be done. Suggestions include allowing...