tag:blogger.com,1999:blog-175927352011-10-31T09:38:25.675-06:00<b>Please visit <a href="http://edmonton-homes.blogspot.com">our new location </a>for new posts.</b>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.comBlogger1931100tag:blogger.com,1999:blog-17592735.post-19284742368105228382007-12-11T12:17:00.000-07:002007-12-11T12:20:01.729-07:00Here are some of the newer posts at our <a href="http://www.edmontonrealestateblog.com/">new location</a>, just click to read:<br /><br /><ul><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/new-constructio.html">New Construction in Edmonton: Housing Starts Down, New High-rise on the Way</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/so-let-it-be-wr.html">So let it be written; so let it be done.</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/weekly-update-o.html">Weekly Update on the Edmonton Real Estate Market: Dec 1 - 7</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/edmonton-real-e.html">Edmonton Real Estate Price Analysis</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/prices-catch-up.html">Prices Catch up to the Market</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/edmontons-econo.html">Edmonton's Economy Hottest in Canada</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/12/think-inside-th.html">Think Inside the Box</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/11/weekly-update-4.html">Weekly Update on the Edmonton Real Estate Market: Nov. 24 - 30</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/11/more-photos-sel.html">More Photos Sell Homes Faster and For More Money</a></li><li><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/11/my-thoughts-on.html">My Thoughts on the Edmonton Real Estate Market</a><br /></li></ul><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-1928474236810522838?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com18tag:blogger.com,1999:blog-17592735.post-5258810612619905832007-07-28T14:00:00.000-06:002007-07-28T14:02:02.340-06:00Here are some of the newer posts at our new location, just click to read:<br /><br /><div class="module-content"> <ul class="module-list"><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/july-sales-stat.html">July Sales Statistics - What to Expect</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/why-are-there-s.html">Why Are There So Many Homes for Sale in Edmonton? 5 Reasons...</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/designer-guys-c.html">Designer Guys Coming to Edmonton</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/i-am-often-aske.html">Two Reasons to Consider a Team</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/the-true-histor.html">The true history of a listing</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/your-address-on.html">Your Address On The Web</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/condo-developer.html">Condo Developer Antes Up</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/have-you-ever-b.html">Top 5 Reasons to Work With a Realtor When you Build</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/it-still-amazes.html">Average Effort for a Premium Price - It still amazes me!</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/07/relocating-kids.html">Relocating kids </a></li></ul> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-525881061261990583?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com10tag:blogger.com,1999:blog-17592735.post-3038171286006909372007-05-03T09:59:00.000-06:002007-05-03T10:00:58.057-06:00Here are some of the new posts at our new location, just click to read:<br /><br /><div class="module-content"> <ul class="module-list"><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/05/edmonton_area_s.html">Edmonton House Prices Up...A Little</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/05/an_eastern_opin.html">An Eastern Opinion on the Western Housing Boom</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/home_prices_in_.html">Thoughts on the Edmonton Real Estate Market</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/will_we_boom_or.html">Will we boom, or will we bust?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/change_to_mortg.html">Change to Mortgage Insurance Makes Buying a Home More Affordable</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/a_step_towards_.html">A Step Towards Rent Control in Alberta?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/picture_this.html">Picture this</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/real_estate_inv.html">Real Estate Investments or Scams?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/winning_the_bid.html">Winning the bidding war: It's not always about money</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/frustration_gro.html">Frustration grows! Seller's market continues in Edmonton</a></li></ul> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-303817128600690937?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com3tag:blogger.com,1999:blog-17592735.post-27310895989160951002007-04-19T23:16:00.000-06:002007-04-19T23:18:43.220-06:00Here are some of the new posts at our new location, just click to read:<br /><div class="module-content"> <ul class="module-list"><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/fyi_measurement.html">FYI Measurements and Square Footage</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/land_transfer_t.html">Land Transfer Tax Proposed for Edmonton</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/dont_get_stuck_.html">Don't Get Stuck on List Price</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/random_thoughts.html">Random thoughts on the market</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/typical_day_at_.html">Typical Day At Our Office</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/dealing_with_mu.html">Dealing With Multiple Offers</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/first_time_home.html">First Time Home Buyers World Wide Experiences</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/multifamily_uni.html">Multi-Family Units on the Rise in Edmonton</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/hard_to_sell_pr.html">Hard to sell properties in the Edmonton area</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/04/alberta_growth_.html">Alberta Growth Healthier</a></li></ul> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-2731089598916095100?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1175034586873234102007-03-27T17:29:00.000-06:002007-03-27T17:29:46.936-06:00Here are some of the new posts at our new location, just click to read:<br /><br /><div class="module-content"> <div class="module-content"> <ul class="module-list"><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/edmonton_condo_.html">Edmonton Condo Conversions - Worth Investing?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/alberta_capital.html">Alberta Capital Gains</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/got_questions_a.html">Got Questions About Real Estate? Ask Us!</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/edmonton_real_e_1.html">Edmonton Real Estate prices to go up 30%?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/update_on_u_of_.html">Update on U of A Students Fighting Homelessness</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/u_of_a_students.html">U of A Students Fight Homelessness</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/remax_says_no_p.html">Remax Says "No Price Relief in Sight" for Edmonton Real Estate</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/real_stories_ho.html">Real Stories: How to turn $1300 into $45,000</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/housing_afforda.html">Housing Affordability on the Rise</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/a_question_from.html">A Question From a Reader about Investing in Beaumont</a></li></ul> </div> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-117503458687323410?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1164920314314237692006-11-30T13:57:00.000-07:002007-03-27T17:27:06.973-06:00Here are some of the new posts at our new location, just click to read:<br /><br /><div class="module-content"> <div class="module-content"> <ul class="module-list"><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/edmonton_condo_.html">Edmonton Condo Conversions - Worth Investing?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/alberta_capital.html">Alberta Capital Gains</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/got_questions_a.html">Got Questions About Real Estate? Ask Us!</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/edmonton_real_e_1.html">Edmonton Real Estate prices to go up 30%?</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/update_on_u_of_.html">Update on U of A Students Fighting Homelessness</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/u_of_a_students.html">U of A Students Fight Homelessness</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/remax_says_no_p.html">Remax Says "No Price Relief in Sight" for Edmonton Real Estate</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/real_stories_ho.html">Real Stories: How to turn $1300 into $45,000</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/housing_afforda.html">Housing Affordability on the Rise</a></li><li class="module-list-item"><a href="http://www.edmontonrealestateblog.com/my_weblog/2007/03/a_question_from.html">A Question From a Reader about Investing in Beaumont</a></li></ul> </div> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-116492031431423769?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1160630631121192342006-10-11T23:22:00.000-06:002006-10-11T23:23:51.413-06:00<div class="module-content">Here are some of the new posts at our new location, just click to read: <ul class="module-list"><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/canadians_rush_.html">Canadians rush to U.S.-style exotic mortgages</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/edmonton_taxes_.html">Edmonton Taxes Will go up Less Than House Values</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/edmonton_best_r.html">Edmonton's Best Real Estate blog</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/edmonton_journa.html">Edmonton Journal Feature: House for sale</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/edmonton_real_e_1.html">Edmonton Real Estate Prices Up 46% in One Year</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/edmonton_real_e.html">Edmonton Real Estate Prices and Supply Up</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/albertas_real_e.html">Alberta's Real Estate Industry gets new rules</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/every_quarter_t.html">Canadian MLS Sales to Set New Record in 2006</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/10/downtown_edmont.html">Downtown Edmonton Economic Report</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/another_red_fla.html">Another red flag on Alberta's economy</a></li></ul> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-116063063112119234?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1157948702709824172006-09-10T22:22:00.000-06:002006-09-10T22:25:02.960-06:00<div class="module-content">Here are some of the new posts at our new location, just click to read:<br /> <ul class="module-list"><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/scotiabank_bets.html">Scotiabank Bets on Edmonton</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/waiting_for_the.html">Waiting for the bubble to burst</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/edmontons_housi.html">Edmonton's "Housing Bubble"</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/alberta_to_rais.html">Alberta to Raise Minimum wage</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/city_to_cut_spe.html">City to cut spending</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/edmonton_housin.html">Edmonton Housing Prices Continue Upward Climb</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/ralph_in_review.html">Ralph in Review</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/western_canada_.html">Western Canada Housing Bubble an Exaggeration</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/09/a_condo_with_ro.html">A Condo With Room for Your Horse!</a></li><li class="module-list-item"><a href="http://edmonton-homes.typepad.com/my_weblog/2006/08/td_warns_of_pot.html">TD Warns of Potential Housing Bubble in Western Canada</a></li></ul> </div><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115794870270982417?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1157152711616597322006-09-01T17:14:00.000-06:002006-09-01T17:18:32.036-06:00At Coldwell Banker Johnston we usually help our clients move, but today we've moved ourselves... the new - and soon to be greatly improved - Edmonton Real Estate Blog resides at <a href="http://edmonton-homes.typepad.com/">http://edmonton-homes.typepad.com/</a><br /><br />If you subscribe to our feed there is no need to change anything. Thanks to everyone who has visited us here at Blogspot and helped necessitate the change to a more powerful blogging solution.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115715271161659732?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1157058297791033292006-08-31T14:50:00.000-06:002006-08-31T15:04:58.353-06:00Everyone knows property prices have gone through the roof in Calgary in Vancouver, and they are at new record-setting levels in Edmonton every month. TD Economics now says there is potential for a bubble in western Canada. The important thing to note is that they state that in Edmonton "affordability remains surprisingly good."<br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.thkelly.net/Housing-Bubble.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.thkelly.net/Housing-Bubble.jpg" alt="" border="0" /></a><span style="font-weight: bold;">TD warns of potential for housing problems in West</span><br />By Ottawa Business Journal Staff<br />Thu, Aug 31, 2006 1:00 PM EST<br /><br />Housing activity in Central and Atlantic Canada has cooled down without prompting a price correction, but select cities in Western Canada are "flashing warning signs" that suggest the recent pace of price gains has been unsustainable.<br /><br />That's the conclusion of TD Economics latest "Housing Bubble Watch" report.<br /><br />"Canada's real estate markets appear to be in good shape and market conditions are becoming more balanced. Key exceptions are Vancouver, Calgary and Edmonton," says TD's deputy chief economist, Craig Alexander.<br /><br />"The recent dramatic price gains in Calgary and Vancouver are unsustainable over the long-term, and both cities are vulnerable to significant moderation. Edmonton is also experiencing explosive price growth, but affordability remains surprisingly good."<br /><br />While sales of existing homes are poised to set another record, Mr. Alexander cautions that regional developments are distorting the national story. Resale home prices rose 12.9 percent in the second quarter of 2006 from a year earlier, but excluding Alberta and British Columbia, the average rise in resale prices across the other provinces was a more moderate 7.3 percent. Alberta is responsible for almost half of the gain in the national average of new home prices.<br /><br />"The dominant trends in housing markets outside of the West have been weaker unit sales, greater new listings and more moderate price growth - all of which point to more balanced market conditions and declining real estate risks."<br /><br />In Ottawa, Mr. Alexander notes the pace of resale home prices has slowed, dropping from a 6.2 percent year-over-year increase in April to 1.4 percent in July. This can be partly explained, he says, by an increase in new home construction, which has put a damper on price growth.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115705829779103329?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com9tag:blogger.com,1999:blog-17592735.post-1156784135318742332006-08-28T10:40:00.000-06:002006-08-28T11:36:29.436-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://images.publicradio.org/content/2005/11/11/getty_20051111_cashing_out_2.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://images.publicradio.org/content/2005/11/11/getty_20051111_cashing_out_2.jpg" alt="" border="0" /></a><span style="font-size:85%;">The most interesting bit of info in this article, is that the average home in Edmonton (not greater Edmonton) now costs over $318,000. Especially when 5 years ago only 6% of homes in Edmonton sold for over $300,000. So what does it all mean? Has the cost of housing inflated in Edmonton too quickly - will it deflate just as fast? Or have the prices here just caught up to the rest of the country, and the booming economy? In my opinion we're just catching up - it is still cheaper to buy a home here than in Montreal, and what's so great about their economy? The biggest problem is not the cost of housing (yet) but that there is nowhere to house all the people that are needed to fill all the jobs we have to offer. Don't get me wrong - we can't continue to sustain the kind of growth our real estate market is seeing, it has got to slow down. I just don't see any bubbles bursting....yet. We'll see what August's stats show in a few days.<br /><span style="font-weight: bold;"><br />Skyrocketing house prices create own problems</span><br />Paula Simons, The Edmonton Journal<br />Published: Saturday, August 26, 2006<br /><br />Saturday morning breakfast. We're sitting at the kitchen table, reading the paper. My husband's snagged the front section. My daughter has the colour comics. I've got the real estate ads.<br /><br />Not that we're in the market, thank God. I just have a half-giddy, half-morbid fascination with housing prices.<br /><br />This morning, I almost choke on my Cheerios. A house four blocks away from us has just listed for $539,000.<br /><br />"Five hundred and thirty-nine thousand dollars!" I hoot, gobsmacked at the hubris. "Are they crazy?"<br /><br />Ours, to put it mildly, is not a half-a-million dollar neighbourhood. Or at least, it didn't used to be. After the last eight weeks, who can tell?<br /><br />It's been that kind of a summer. Everyone, it seems, has a story. Friends of mine in Parkview are dumbfounded when the severely modest 1950s bungalow up the road from them sells for $450,000, in the blink of an eye. One of my relatives, a widowed senior, bought a pleasant condominium less than a year ago. The other day, one of her neighbours walks up, unsolicited, and offers to buy it from her for 40 per cent more than she paid for it last fall.<br /><br />Around here, a house listing for $1,000,000 used to be big news. Right now, there are 12 houses with asking prices of more than a million on the local MLS listings -- with two listed at over $2 million.<br /><br />Of course, in cities like Vancouver and Toronto -- or even Calgary and Fort McMurray -- prices like this are nothing new.<br /><br />The market in Edmonton has been depressed for years. Part of what we're seeing now is long-overdue catch-up.<br /><br />But much of it is being driven by an overheated economy -- and a certain sense of consumer hysteria. Yes, there are more people moving to Edmonton. But there is also a new sense out there of what people are willing to pay. As a community, we've crossed a psychological barrier. Prices that would have seemed ridiculous six months ago suddenly seem reasonable today.<br /><br />Five years ago, says Madeline Sarafinchen of the Edmonton Real Estate Board, only about six per cent of the houses in Edmonton were selling for more than $300,000.<br /><br />Last month, $303,304 was the average price for a single-family home in the greater Edmonton area, which includes places like St. Albert, Redwater and Calmar. That was up more than 35 per cent from July of last year.<br /><br />Prices are trending up again in August. So far, the average selling price in metro Edmonton is $304,900. In Edmonton proper, things are trending even higher. The average selling price in the city itself right now is $318,942.<br /><br />For those looking to buy a house for under $250,000 or $200,000, the competition is ferocious. Sarafinchen says it's not uncommon for sellers to get six or eight competing offers, for buyers to bid higher than the list price in an effort to get the house.<br /><br />Looking for a new house in a new burb? Finding a builder, or even a building lot, isn't easy. In some cases, indeed, builders are handing customers back their deposits, because they can't deliver a new home -- or at least not at the agreed-upon price.<br /><br />"Most of the builders are at capacity. Everyone's at capacity. Developers have released all the land they're capable of releasing," says Sarafinchen.<br /><br />"New home builders don't have a lot of standing inventory, and most of it is priced over $300,000," agrees Richard Goatcher, a senior analyst with Canada Mortgage and Housing Corporation. "Of course, they're building as fast as they can. We've got record levels of single-family house construction. But builders are totally backed up with orders."<br /><br />In a perfect, balanced real estate market, Goatcher says, there should be a "sales-to-active-list ratio" of 30 per cent. Of all the houses listed in a month, that means 30 per cent sell within 30 days.<br /><br />Right now, he says, the sales-to-active-list ratio is closer to 100 per cent -- which means that pretty much every house that lists in a month sells in a month. And that, he says, can lead to panic buying, frantic bidding that pushes houses above list price.<br /><br />The result? Some buyers end up bidding more, and assuming more debt than they can comfortably handle. Or they end up making unconditional offers on houses and get stuck with lemons that require major, unexpected repairs. Or they end up priced out of the market altogether.<br /><br />"This situation is not sustainable," he says. "These accelerated markets sow the seeds of their own destruction. We should start to see a dropoff in sales."<br /><br />Then, he stops himself and chuckles: "Mind you, I've been saying that for months and it hasn't happened."<br /><br />South of the border, housing prices in key markets are dropping, along with consumer confidence. Not here. Not yet.<br /><br />But our superheated economy creates its own problems. Our job market is as hot as our housing market. We need more workers -- from doctors to drywallers -- to move here. But we don't have other housing -- affordable or luxury -- to meet demand.<br /><br />We've now reached the part of the column where I'm supposed to come up with some smart, glib solution. I haven't got one. There's no short-term government initiative to solve this dilemma, at least not much faster than the market can itself. (To be sure, the national energy program "fixed" our last boom, but that's not a model I'd favour.) The bittersweet truth is that these prices may be the new normal. After Edmonton's years of languishing in the real-estate backwaters, it may take us all a while to adjust.</span><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115678413531874233?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com2tag:blogger.com,1999:blog-17592735.post-1156738135344593502006-08-27T22:01:00.000-06:002006-08-27T22:11:30.036-06:00This article from the Globe and Mail outlines all the reasons that the Canadian real estate market is still going strong, and won't see the same kind of downturn as in the US. They do suggest that with the kind of price increases we've seen in Calgary and Edmonton a local cooling may be in order, but at the same time says that housing is here is so affordable relative to the rest of the country that we could just keep on trucking. A closer look at the economy in Alberta shows that it will be some time before there is any price correction here.<br /><br /><span style="font-weight: bold;">Why our housing market is better insulated</span><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.foreverflying.com/patriot20-house1lg.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.foreverflying.com/patriot20-house1lg.jpg" alt="" border="0" /></a>Canadian real estate may be cooling, but it's not crashing, ROB CARRICK writes, and we positively shine compared with slumping U.S. sales and prices<br /><br />ROB CARRICK<br /><br />The Massachusetts real estate market is just the thing to cure any smugness Canadians might have about how much their homes have gained in value.<br /><br />A blast of negative news about the U.S. housing market was released this week, including a report that Massachusetts home sales continued a slide in July that began last fall. But while prices held their own previously, they posted a 3.5-per-cent decline last month that was the worst setback in 13 years.<br /><br />Sean Rooney, an agent at Boston's First Choice Realty, said sellers are getting frustrated. "They've seen people selling over the past year or so and getting that high price," he said. "Now, they're not getting the prices they're looking for."<br /><br />Are Canadian homeowners heading for the same kind of shock about the value of their properties? It's hard to generalize about our housing market because of differences between hot and not-so-hot markets, but the answer on the whole seems to be no, if you judge by some key indicators.<br /><br />Before looking at them in detail, it's worth pointing out that the real estate market is important not just to homeowners who like to play the trivia game called What's My House Worth? The housing sector has a significant impact on the economy, both through construction and the sale of related goods and services. Also, many people have been borrowing against the increased value of their homes to finance renovations and other expenditures. If housing prices contract, that could dampen consumer spending.<br /><br /><span style="font-weight: bold;">The U.S.</span><br /><br /><span style="font-weight: bold;">Retail housing activity</span><br /><br />Sales of existing homes in the United States fell sharply last month -- by 11.2 per cent from July, 2005. If you took this seasonally adjusted level of sales and extrapolated it over a full year, you'd end up with sales of about 6.3 million, which would be the weakest level since early 2004. Weakness is pervasive across the entire U.S. market. Figures from the National Association of Realtors shows that year-over-year regional sales declines ranged from 7 per cent on the low side in the South to 18 per cent in the West. Over all, the U.S. market is down about 12 per cent from its peak annualized sales level of 7.2 million homes reached last September.<br /><br /><span style="font-weight: bold;">Retail housing prices</span><br /><br />Median housing prices held firm in the U.S. market in July, rising 0.9 per cent versus the level of a year earlier. But variations among regions and cities undermine the positive story told by the national numbers. Once you get past a 3.2-per-cent price gain in the South, you find small declines in the Northeast, Midwest and West. The Northeast, where you'll find Massachusetts, had the worst regional decline at 2.1 per cent.<br /><br /><span style="font-weight: bold;">Housing starts & building permits</span><br /><br />Construction of new homes in the United States declined 2.5 per cent in July from June levels -- the lowest point in two years and the fifth decline in the past six months. Building permits, an advance indicator of future housing construction, fell 6.5 per cent to the lowest level since September, 1999. Evidence of a sagging new home market was seen this week in the 19-per-cent decline in third-quarter profit reported by Toll Brothers Inc., a major U.S. builder of luxury homes. Pulte Homes Inc., the second-largest U.S. builder, recently reported a 29-per-cent drop in new orders.<br /><br /><span style="font-weight: bold;">Hottest & coldest markets</span><br /><br />There's only a scattering of hot residential real estate markets, and on the whole they don't match up to Canada's busiest cities. By U.S. standards, Canada's weakest markets don't look half bad. The U.S. region with the most strength is the South, where housing prices in such places as Baton Rouge, La., and the Florida cities of Orlando, Ocala and Tampa-St. Petersburg-Clearwater have all risen between 17 and 27 per cent over the first half of 2006. A census of cold markets would have to include places like Danville, Ill., down 11.2 per cent in the first six months of the year; Dover, Del., off 8 per cent; and Massachusetts.<br /><br /><span style="font-weight: bold;">Canada</span><br /><br /><span style="font-weight: bold;">Retail housing activity</span><br /><br />Resale activity fell in July, but by just 2.8 per cent on a seasonally adjusted basis. "It's a bit of a cooling off," said Craig Alexander, a Toronto-Dominion Bank economist who has been tracking Canada's residential real estate market for more than a year through a series of reports called Housing Bubble Watch. "The U.S. housing market is having a correction, the Canadian housing market is cooling." While the U.S. market has been in decline for months, Canada remains strong. The Canadian Real Estate Association has predicted total sales of 488,160 for 2006, which would be a 1-per-cent increase from last year and a sixth successive year of record gains. Next year, the association predicts a 3.3-per-cent decline, moderate in comparison to what's happening in the United States. In Canada, 11 of 25 markets actually reported flat or higher sales in July, and only four reported sales that were much worse than the average decline. Vancouver had the worst decline at 26.9 per cent.<br /><br /><span style="font-weight: bold;">Retail housing prices</span><br /><br />The national average price increase here in Canada was 10 per cent, which looks great next to the inflation rate last month of 2.4 per cent. Regionally, west is best in the real estate market and east is least. "You're getting dramatic price gains in Alberta, remarkably strong gains in B.C., quite solid to strong in the rest of the West, and very modest growth in the rest of the country," Mr. Alexander said. Where Canada and the U.S. differ on pricing is in the fact that price declines were widespread south of the border last month, while prices fell in only two Canadian cities. Windsor, Ont., was down 2.9 per cent and Thunder Bay, Ont., fell 1.4 per cent.<br /><br /><span style="font-weight: bold;">Housing starts & building permits</span><br /><br />The most recent report on Canadian building permits is for June and it shows a slight drop of 1.4 per cent from the May level for residential construction. Housing starts in July were pretty much even with June, which suggests a total of about 236,500 new homes projected over the entire year. That's extremely elevated," TD's Mr. Alexander said. "Based on population and immigration, it should be around 175,000. Anything over 200,000 is really, really strong." Another sign of Canada's relative strength against the U.S. is that the federal Canada Mortgage and Housing Corp. has twice had to revise its forecast for new home construction upward. The reason: lots of activity in the West, particularly Alberta, and nothing dramatic in other parts of the country.<br /><br /><span style="font-weight: bold;">Hottest &amp; coldest markets</span><br /><br />Calgary blows away just about any city in the United States right now. In July alone, prices surged 44.3 per cent from the same month last year. Edmonton, the second-ranked market by price increases, gained 33 per cent while Vancouver jumped 18.6 per cent. Huge increases such as these suggest a future correction like the U.S. market seems to be facing, but Mr. Alexander said the Vancouver market is the only one where high house prices have seriously crimped housing affordability. "Quite frankly, affordability in Calgary and Edmonton is not terrible," he said. House price gains of 40 per cent are absurd, but if you look at Calgary, its affordability is cheaper than it is in Montreal." Canada's coldest markets are probably Windsor and Thunder Bay, Ont.<br /><br />When the doctors and the renovators are buying investments properties to speculate, then you know the market is out of touch. I haven't heard too much about that happening here in Canada.<br /><br />FRANK CLAYTON, PRESIDENT<br /><br />CLAYTON RESEARCH<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115673813534459350?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1156696738596922812006-08-27T10:38:00.000-06:002006-08-28T20:16:42.813-06:00Many times as a real estate agent I've been told by prospective buyers "we're going to build." This is a desire I completely understand, however I've often had mixed emotions about this. In certain cases I've been convinced that is the best alternative for my clients due to their needs and their ability to pay and understand the building process. In many cases though - especially with young couples building their first home - I've had some reservations. Take for example that they really don't have a good reference point for what they want and how that will work for them over time, especially when it comes to materials and layout. When I bring forward this reservation most young couples look blankly at me and then hurt and then that's about the last time I hear from them until they go to sell. This is where most of them realize they need a professional to assist them with all the intracasies involved, the least of which is colour choices ect.<br /><br />The reality is the very helpful sales person in the showhome is the employee of the builder and for that reason they owe you no fiduciary duties. This means they owe you no loyalty, full disclosure or confidentiality (among others). In the greater Edmonton area there are approximately 32 builders who will pay your agent's fee so that you are represented. Many buyers however feel that this means they would pay more. This is incorrect. The agreement outlines that the buyer will pay the same price even if they didn't use an agent (in fact I believe the buyer receives so much beneift that even if they agent's fee was added to the price they would still receive benefits outweighing those fees).<br /><br />The following story in the Edmonton Sun outlines one of the dangers of self representation. Using an agent may not have prevented this problem but a knowledgeable agent could have precautioned their buyers about the contract they were signing as well as given options of other builders ect. As a buyer you certainly want to be aware of your limited rights when dealing with the builders lawyer and agent as well. Nothing beats being represented by somebody who is trained and has your best interests in mind.<br /><br />Sun, August 27, 2006<br /><span style="font-weight: bold;">Couple lose chance at dream home</span><br />Developer returns deposit after project stalled over permits<br /><br />By FRANK LANDRY, EDMONTON SUN<br /><br />Alana and Brian Halliwell worry they may never get to live in their dream home.<br /><br />The Edmonton couple signed an "affordable" purchase agreement with Reid-Built Homes Ltd. in January to have the house built on Blackmoor Close in Stony Plain.<br /><br />They also put down a $4,000 deposit.<br /><br />Six months later, the developer cancelled the $287,000 agreement and returned the downpayment.<br /><br />Now the Halliwells, along with 12 other families, are preparing to launch a lawsuit against Reid-Built Homes over the mess.<br /><br />"We're in our 40s. This was our one kick at the can," Alana, 42, said. "This was going to be our dream home.<br /><br />"To be honest, we don't think we can afford to build now."<br /><br />Shane Parker, lawyer for Reid-Built Homes, said his client did nothing illegal.<br /><br />That's because under the Alberta New Home Warranty Program, a developer is able to opt out of an agreement if certain criteria cannot be met within 60 days.<br /><br />In this case, the company was unable to obtain the necessary building permits. Stony Plain would not issue the documents until the lots were serviced, and that work is still ongoing, Parker said.<br /><br />"Other municipalities are more flexible, but there's certainly nothing improper about what the town of Stony Plain has done," Parker said.<br /><br />"It's the municipality that sets the rules; builders have to follow those rules."<br /><br />According to Edmonton's Real Estate Weekly, the average single family home in this city now costs $303,304.<br /><br />Since January, the average new home price has increased by an average of 10%, said Re/Max realtor Terry Paranych.<br /><br />Alana, who speaks for everyone involved in the lawsuit, said all 13 properties were purchased between November 2005 and May of this year.<br /><br />She said a short letter was sent later citing the cancellation clause, and deposit cheques were returned.<br /><br />However, Alana said she's received no written explanation why Reid-Built backed out of the deal.<br /><br />Alana said two members of her group tried purchasing their properties twice, only to have the deals fall through on both occasions.<br /><br />"How many times does the agreement need to be signed for it to be valid?" she said. "How many times are we expected to purchase the same lots and homes?"<br /><br />Alana said she and Brian will continue to live in their west-end home, at least for the time being.<br /><br />Parker declined to say whether Reid-Built Homes sold the properties too early.<br /><br />"Hindsight is 20-20," he said. "It's a matter of builder acting in good faith with an understanding of when lots would be available. That didn't happen."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115669673859692281?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com3tag:blogger.com,1999:blog-17592735.post-1156695902964132462006-08-27T10:20:00.000-06:002006-08-27T10:25:37.976-06:00Interesting article from the Journal about how much property Albertans are buying up in BC. One thing is missing for me - a stat showing how many recreational properties were sold to people from BC.... it would be interesting to compare.<br /><br /><span style="font-weight: bold;">Albertans find home away from home in B.C.</span><br />Shawn Ohler, CanWest News Service; Edmonton Journal<br />Published: Sunday, August 27, 2006<br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.strike-the-root.com/52/herman/lake%20okanagan.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.strike-the-root.com/52/herman/lake%20okanagan.jpg" alt="" border="0" /></a>EDMONTON -- Cash-flush Albertans are taking advantage of their province's recent oil boom by snatching secondary properties from their westerly neighbours at unprecedented rates, according to a real estate research firm.<br /><br />Albertans have purchased 2,219 properties in B.C. worth more than $650 million in the first six months of 2006, ahead of the 2005 pace, and drastically more than buyers from elsewhere in Canada and the United States, according to Landcor's recently released property sales report.<br /><br />Ontario, in comparison, ranks second with 381 properties worth more than $200 million, followed by California (188 properties, nearly $82 million) and Washington state (98 properties, more than $47 million).<br /><br />Landcor president Rudy Nielsen, a veteran B.C. landman now hawking acreages on the northern tip of the Queen Charlotte Islands, said Alberta's appetite overshadows all others.<br /><br />"Ten years ago, the Germans came in to buy a lot of recreational land. If you look at what Germany's buying and what England's buying and what Alberta's buying it's Alberta. We've become the playground for Alberta money," he said.<br /><br />Edmonton businessman Jay Champigny owns a 2,350-square-foot house on a 7,000-square-foot lot worth $1.75 million in the relatively undeveloped Pender Harbour on B.C.'s Sunshine Coast, but he's never actually seen it.<br /><br />"I've seen pictures, but I've never been there," said Champigny. "I bought it sight unseen. But I know B.C. and I know property, and the feedback I got from people I trust said Pender Harbour is it."<br /><br />Often, Nielsen said, Albertans aren't content to stop at single properties, and Champigny is proof. Before securing the Pender Harbour unit, Champigny bought a vacation home in Vernon, B.C.'s, Outback resort, and is about to nab a third at Lakestone, between Kelowna, B.C., and Vernon.<br /><br />"I'm spending money now because it may not be affordable 10 years from now, and I'm quite happy to spend my six, seven weeks a year out at those properties," said Champigny, who expects Vancouver's 2010 Winter Olympics will boost the value of his Pender Harbour property to $3.5 million-plus.<br /><br />Courtenay, B.C., online entrepreneur Sharleen K. Whiteside lists lakeside and coastal properties at WaterfrontWest.com, and draws 200 hits a day from Albertans despite never advertising in that province.<br /><br />"Everywhere you go in Courtenay or Comox (B.C.), you see Alberta licence plates. Since Westjet started flying into Comox (from Calgary and Edmonton), it's boomed," said Whiteside.<br /><br />James Askew, who sells and markets the Outback properties, said Albertans have become a dominant player in all areas of B.C. waterfront property since 2003.<br /><br />When Askew sold a 54-home project in Kelowna, 35 per cent of his buyers were from Calgary, 25 per cent from Edmonton. One-third of his units on the Sunshine Coast and Ucluelet, B.C., on Vancouver Island, went to Albertans, and of 2,000 people interested in a just-announced beachfront condo in Osoyoos, B.C., half are from this province.<br /><br />"The economy there is incredible. And, yes, you have places like Pigeon Lake (Alta.) and Sylvan Lake (Alta.), but because there's not many of them, everyone's descending on them in the summer, fighting for land. It's easy to get there, but they're small lakes," he said.<br /><br />"Those people look to B.C., and they soon learn they can choose from Vancouver Island, the Gulf Islands, the Vancouver coastline, the Okanagan lakes, the Kootenays, the Columbia Valley. Both provinces are lucky in certain ways, that's for sure."<br /><br />sohler@thejournal.canwest.com<br /><br />Edmonton Journal<br /><br />FACTBOX: Out-of-province boom<br /><br />The top four out-of-province buyers of B.C. recreational real estate, from January 2006 to June 2006:<br /><br />--Alberta: 2,219 properties worth $651,864,336<br /><br />--Ontario: 381 properties worth $200,643,238<br /><br />--California: 188 properties worth $81,914,279<br /><br />--Washington state: 98 properties worth $47,469,459<br /><br />--Source: Landcor Property Sales Report, 2006 Q1/Q2 update<br />© CanWest News Service 2006<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115669590296413246?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com20tag:blogger.com,1999:blog-17592735.post-1156528918805853242006-08-25T12:01:00.000-06:002006-08-25T15:22:34.126-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://jamieson.edmonton-homes.ca/"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/Listing/718145/Photo/11-Gallery.img?_Version=632915133537300000" alt="" border="0" /></a>These hot new properties were listed by us today in Edmonton. Don't wait to long - they won't last.<br /><br />West Edmonton, 4lvl split with 1871 square feet on 3 levels. 4th level is mostly developed. Park like back yard, 3 full baths, 5 bedrooms and within walking distance of one of Edmonton's most popular schools. More info on this spectacular west Edmonton property can be found here. <a href="http://jamiesonplace.edmoton-homes.ca">http://jamiesonplace.edmoton-homes.ca</a><br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://saddleback.edmonton-homes.ca/"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/HtmlText/1735019/Photo/42-Original.img?_Version=632919605950300000" alt="" border="0" /></a><br />South Edmonton, Immaculate 2 bedroom condo (2nd bedroom converted to a den and could be easily reconverted). Ideally located close to the university of Alberta this property has had numerous upgrades and won't last at $169,800.00 More details can be found at <a href="http://saddleback.edmonton-homes.ca">http://saddleback.edmonton-homes.ca </a><br /><br /><br /><br /><br />North Edmonton, 1571 sqrft Bi level, with nanny suite down.<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca/Shared/Cache/Listing/726487/Photo/8-Gallery.img?_Version=632920558243500000"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/Listing/726487/Photo/8-Gallery.img?_Version=632920558243500000" alt="" border="0" /></a> There has been too many upgrades to mention here. All this gorgeous home needs is some paint, some updated floor coverings and this diamond will really really sparkle. If you want exceptional value check this property out and don't forget to ask us about the secret room. $339,800.00 More details at <a href="http://castledowns.edmonton-homes.ca/">h</a><a href="http://castledowns.edmonton-homes.ca/">ttp://castledowns.edmonton-homes.ca</a><br /><br /><br /><br />Coming soon. Central Edmonton, Updated bungalow, 35,000 spent on updating the suite last year alone. Newer kitchen, double garage, 3 bedrooms up, 2 bedrooms down and a bargin at $239,900. Stay tuned for more details.<br /><br />To learn more about these or any other properties contact us at <a href="mailto:listings@teamjohnston.com">listings@teamjohnston.com</a> or for more information on how we work to sell our Edmonton and area properties for more.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115652891880585324?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1156398141065275232006-08-23T23:30:00.000-06:002006-08-23T23:42:21.500-06:00Ok so we have posted similar articles to this in the past. However this is hot of the press from the Edmonton Journal and you can find this story every where in Edmonton right now. CBC ran a insightful documentary on the Alberta boom and it certainly captures the Alberta spirit. The pace of home sales will continue to be strong in the Edmonton area and this news won't make too many buyers reconsider their decisions. <br /><br />Edmonton — Higher projected revenue in the current fiscal year and better-than-forecast year-end results from 2005-06 will allow the Government of Alberta to increase its investments, the province announced Wednesday.<br /><br />There will be additional funding for infrastructure, health, education, and savings, it said, as part of the 2006/07 first quarter fiscal report.<br /><br />"Alberta's economy is strong and vibrant, with the population growing by an estimated 90,000 people last year, the equivalent of the City of Red Deer," said Finance Minister Shirley McClellan. <br /><br />That kind of growth brings added pressure on our provincial infrastructure and services, McClellan said.<br /><br />“We are addressing these priorities, while making investments that will benefit future generations."<br /><br />But the surplus doesn’t mean good news for everybody, said Alberta Liberal Finance critic Rick Miller.<br /><br />Years of mismanaged surpluses and lack of a long-term vision have led to the struggles many Albertans are currently facing due to unprecedented growth in the province, Miller said Wednesday after McClellan’s announcement.<br /><br />“Albertans want to know why this government keeps holding these fiscal updates announcing massive surpluses, when they can’t find an apartment, or they’re waiting for hours in the emergency room to see a doctor,” says Miller. <br /><br />“The answer is this government is incapable of managing growth and planning for the needs of Alberta’s booming economy,” he said.<br /><br />Meanwhile, the province said the $1.8 billion increase in capital funding includes $711 million for 2006/07 projects and $1.1 billion for future years.<br /><br />The increase will provide funding for cost escalation of approved projects, additional school projects, health equipment, a new Edmonton Remand Centre, a province-wide policing information technology system, petroleum tank site remediation, regional water systems, and other infrastructure support, the province announced. <br /><br />Significant increases have been provided for capital and operating expenses in education and health. Education funding has been increased by $293 million. <br /><br />This includes $232 million for school maintenance and renewal, modular classrooms, new schools and preservation projects, and cost escalation of approved projects as well as $61 million for operating support to schools. <br /><br />Health funding will rise by $262 million, including $150 million for medical equipment, $81 million for health authority operations, and $31 million for auxiliary nursing salary adjustments. <br /><br />A new $200 million energy innovation fund has been established to support energy development and efficiency as well as environmental protection and sustainability. <br /><br />Savings will be increased by allocating an additional $250 million to the advanced education endowment, $100 million to the science and engineering fund, and $41 million to the Heritage Fund for inflation proofing. This brings the total 2006-07 allocations for the Heritage Fund, other endowments and funds to $2.5 billion, an increase of $591 million.<br /><br />Total revenue is forecast to be $1.5 billion more than budget, primarily due to higher income tax and energy revenue, the province said.<br /><br />While oil prices have reached record highs, natural gas prices have been weaker than expected. Overall, resource revenue is now projected to increase by $531 million from the budget estimate. <br /><br />Expense is expected to be $1.3 billion higher than budget, primarily due to funding increases for capital projects, disaster relief, and natural gas rebates.<br /><br />The provincial surplus is forecast at $4.3 billion, up $193 million from the budget estimate.<br /><br />The province also released the Alberta Heritage Savings Trust Fund first quarter update and the first quarter activity report with the fiscal update.<br /><br />The Heritage Fund report notes investment income is expected to be $784 million, about $90 million lower than budgeted because of a decline in markets. <br /><br />After additional allocations from the sustainability fund, the book value of the Heritage Fund on a consolidated basis is forecast to be $15 billion on March 31, 2007, up from $13.4 billion at the end of last fiscal year.<br /><br />Miller said the government needs to develop a long-term fiscal strategy that would see surpluses dedicated to solving the long-term infrastructure needs of municipalities, increasing access for post-secondary education and increasing the value of the Heritage Fund to create a sustainable source of revenue. <br /><br />“Nowhere is this government’s lack of vision more apparent than in the gaping irony of massive surpluses, while schools are crumbling and intensive care beds are being closed for lack of staff,” says Miller. <br /><br />“In a province with such tremendous economic opportunity, we could be creating world class post-secondary institutions and providing citizens with the highest quality of public health care.”<br /><br />He questioned the government’s priorities when Alberta municipalities are telling the government that just $20 million would help to solve the homelessness problem.<br /><br />“Surely Restructuring and Government Efficiency Minister Luke Ouellete can find $20 million over 5 years to address homelessness,” he said.<br /><br />First Quarter Highlights:<br /><br />Capital funding increased by $1.8 billion <br />$200 million Energy Innovation Fund established <br />Additional $391 million allocated to savings <br />Surplus forecast at $4.3 billion<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115639814106527523?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1156389396510263802006-08-23T21:00:00.000-06:002006-08-23T23:48:05.343-06:00The Internet is the #1 place buyers look for homes, so it is extremely important that when you list your home for sale it is not only listed in as many places online as possible (especially the MLS), but also that it is displayed well. You spend a lot of time preparing your home for sale, making sure it looks its absolute best; it is your real estate agent's job to make sure it looks its best online. <p>At Coldwell Banker Johnston we take dozens of photos of your home using studio lighting, a wide angle lens, digital stitching software, and photo-touch up software. What does that mean? It means our listings are listings that buyers want to see, and the more buyers that look at your property the more offers you'll get and the higher price it will sell for (nothing motivates a buyer to spend more than knowing there is another buyer willing to spend more). </p> <p align="center"><strong>Wide Angle Photography</strong> makes your home appear larger, and shows more of the space:</p><p align="center"><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/roomsmall1.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/roomsmall1.jpg" alt="" border="0" /></a><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/roomwide1.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/roomwide1.jpg" alt="" border="0" /></a><br />Above: A small room looks even smaller taken with a typical 35mm camera. Below that, the same room is photgraphed using a wide angle lens, making this 750 square foot<br />home look much, much larger.</p> <p style="text-align: left;"><strong>Digital Touch Ups</strong> make our listings stand out against the competition:<br /></p><p align="center"><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/frontuntouched.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/frontuntouched.jpg" alt="" border="0" /><br /></a><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/fronttouched.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/fronttouched.jpg" alt="" border="0" /></a>Above: Bluer skies, greener grass, cleaner driveway,in the photo on we pay attention to details including lighting, time and condition of the day among other things.<br /> Just to make our listings stand out amongst the crowd.</p> <p><strong>Bad photos create a negative impression of your home. </strong>Many agents don't even bother to take photos of their listings, and that can affect whether or not a buyer wants to see your home, or pay top dollar for your home. Our goal is to get the most money possible for all of our sellers and we do everything we can to achieve that goal. </p><p align="center"><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/niceyieldsign.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/niceyieldsign.jpg" alt="" border="0" /></a><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/main%20photo%20for%20a%20listing.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/main%20photo%20for%20a%20listing.jpg" alt="" border="0" /></a><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/garage.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/garage.jpg" alt="" border="0" /></a><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/flash%20reflection.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/flash%20reflection.jpg" alt="" border="0" /></a><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/closet.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/closet.jpg" alt="" border="0" /></a><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/700klisting.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/700klisting.jpg" alt="" border="0" /></a>Above: Actual examples of photos taken by other agents and put on MLS. Whether it's taken<br />with a camara phone, a lens that can only take a picture of the corner of the room, with lighting<br />so bad you can see the photographer's reflection or it makes you wonder why the photo<br />was even taken, it's not good enough for your home.</p> <p><strong>The Difference Good Photography Makes</strong>:</p><p align="center"><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/roomsmall3.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/roomsmall3.jpg" alt="" border="0" /></a></p> <p><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/roomwide3.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/roomwide3.jpg" alt="" border="0" /></a></p><p align="center"> Above: The top photo cuts out part of the windows and the fireplace. On the bottom<br />wide angle photography shows the whole room, plus studio lighting and digital touch ups<br />make the room appear warmer and more inviting. </p> <p>There are currently thousands of people relocating to Edmonton from all around the world due to the incredibly good job market. Relocating buyers are typically willing to spend the most money and do their home searching online. We've had buyers pay top dollar for our listings having only seen the photos online (one sold for $160,000 over the area average). </p> <p>If you're selling, be sure to research the agents you are considering listing with, and look to see how they are marketing their listings. I don't know any other agents in Edmonton that go to the lengths we go to, to make our listings look their absolute best.</p><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115638939651026380?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1156030633421711962006-08-19T16:56:00.000-06:002006-08-19T18:19:18.750-06:00The Alberta Real Estate Association has made a formal complaint to the Alberta government under the fair trading act. The journal has decided to cover this news today and my comments about the article are in italics below...<br /><br /><span style="font-weight: bold;">ComFree's barbs draw complaint by realtors</span><br />Website 'misleading,' Alberta government told<br />David Finlayson, The Edmonton Journal<br />Published: Saturday, August 19, 2006<br /><br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://a123.g.akamai.net/f/123/12465/1d/media.canada.com/idl/edjn/20060819/185172-67803.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://a123.g.akamai.net/f/123/12465/1d/media.canada.com/idl/edjn/20060819/185172-67803.jpg" alt="" border="0" /></a>EDMONTON - The battle between real estate agents and upstart ComFree has reached a new level, with the Alberta Real Estate Association making a formal complaint to the government about the company's "misleading" statements.<br /><br />The 35-page complaint to Alberta Government Services under the Fair Trading Act details statements on the Edmonton ComFree website that the real estate association says "may mislead or confuse" consumers.<br /><br />ComFree, short for commission-free, charges people selling their home privately a set $595 fee to advertise it on their website and in their magazine, and is in competition with licensed real estate agents in the hot housing market.<br /><br />The complaints against ComFree include:<br /><br />- Claiming to have 25 per cent of the Edmonton market, when a consumer survey showed 85 per cent said they listed their home with an MLS real estate agent.<br /><span style="font-style: italic;"><br />And don't forget land titles records show over 90% of sellers listed their home with an agent.<br /><br /></span>- Saying a licensed agent charges $1,000 an hour, leading the public to believe these fees are standard practice.<br /><br />- A "grossly misleading" statement that implies a real estate agent takes all the homeowner's equity in fees.<br /><br /><span style="font-style: italic;">When in fact studies show that homes sold privately sell for 16% less on average than those homes sold with an agent (source, NAR survey of home buyers and sellers, 2005). </span><br /><br />- Saying it performs the same services as an agent for a fraction of the fee, when the company is not licensed to trade in real estate.<br /><br /><span style="font-style: italic;">And if they perform the same services, they should have to follow the same rules that real estate agents follow. Real estate is a heavily regulated industry and Comfree skirts those regulations by claiming to only be a marketing company. How then can then perform the same services as an agent?</span><br /><br />- Claiming customers saved more than $600,000 in fees in three weeks when in fact commission rates or fees are not reported by the listing brokerages.<br /><br />- Saying real estate agents operate out of self-interest, when they owe a duty to their clients and must follow their instructions.<br /><br /><span style="font-style: italic;">Real estate agents are required to provide a number of fiduciary duties to our clients, first and foremost is loyalty, meaning the client's needs come first. Sure, there are some bad seeds out there, but being part of a heavily regulated industry those bad seeds are found and disciplined</span><br /><br />Alberta's 11,000 licensed agents want the government to set rules preventing ComFree from issuing misleading or unsubstantiated statements.<br /><br />"They say they have 25 per cent of the Edmonton market, but how are they measuring that? Our stats, which we get through land titles, show 91.8 per cent of sales are though MLS." Edmonton Real Estate Board president Madeline Sarafinchan said.<br /><br /><span style="font-style: italic;">Don't forget how many comfree homes don't sell and end up listing with an agent. Do those homes get counted by both comfree and the board? We hear it time and again - many homeowners try comfree only to list with an agent for a higher price and net way more money in the end, including the money they wasted paying comfree up front.</span><br /><br />Real estate agents' commissions have always been negotiable, so there's no way ComFree would know how much their clients are saving, she said.<br /><br />Private sales have always been a factor in the Edmonton market, and agents can deal with that as long as it's a level playing field, Sarafinchan said.<br /><br />"But they are saying things that are largely unproveable and carrying on a negative advertising campaign. All we are asking for is fairness."<br /><br />Travis Holowach, ComFree's Edmonton franchise owner, said the real estate agents are just whining because they're losing money to a company that does a better job.<br /><br />"We've taken 30 per cent of their market in three years and they can't take the competition," Holowach said.<br /><br /><span style="font-style: italic;">Yet another example of and untrue and misleading statement. They can't even keep it true in an article pointing out their false statements!</span><br /><br />"You don't continue to grow by misleading the public. We've got an unbelievable number of testimonials from clients who think we do a great job, so let the public decide."<br /><br />Holowach said he's glad the board has finally complained to the government after talking about it for the three years he and wife Erin have had the franchise, and he's confident it will be dismissed.<br /><br />"Now we can finally put this to rest."<br /><br /><span style="font-style: italic;">Something tells me it won't be dismissed...</span><br /><br />ComFree reports it had 566 new listings from Red Deer north in July, up 68 per cent over July 2005. A total of 454 homes were sold last month, making 2,644 for the year to date.<br /><br /><span style="font-style: italic;">That's nowhere near the real estate board's numbers (14,909) which only include the greater Edmonton area, not Red Deer, or Fort Mac or anywhere else "north of Red Deer".</span><br /><br />It claims sellers have saved $59.5 million in commissions since the Edmonton franchise opened in 2002.<br /><br />Holowach said that number is based on the usual seven-three commission split charged by realtors -- that is, seven per cent on the first $100,000 and three per cent on the rest. Realtors may say commissions are negotiable, but it doesn't happen very often, he said.<br /><br /><span style="font-style: italic;">Holowach is sadly misinformed and again misleading the public in his statements. Commissions are negotiable and many transactions do not follow "the usual 7-3 split". Our company has had dozens of different agreements with our sellers this year alone, and our sellers have made out very well - check out our recent sales stats at <a href="http://www.justsoldedmonton.com">www.justsoldedmonton.com</a>. </span><br /><br />Holowach said he gauges market share by simply comparing listing inventories.<br /><br /><span style="font-style: italic;">Lets see... 14909 copared to 2,644 doesn't exactly equal a 30% market share, it's 15%...and don't forget we're comparing Edmonton to everything north of Red Deer. Oh, and what percentage of their listings actually sold and how many sold below market value? We'll never know...</span><br /><br />Eoin Kenny, a spokesman for Alberta Government Services, would say only that the department is reviewing the complaint.<br /><br />dfinlayson@thejournal.canwest.com<br /><br />HOW THEY WORK<br /><br />ComFree, launched in Winnipeg in 1996, charges a flat $595 fee which includes advertising a home on its website and in the magazine, a lawn sign and highlight sheets for potential buyers.<br /><br />The seller must decide what the property should be listed for, and ComFree does not give sales advice other than how best to present the property to potential buyers.<br /><br />Homeseekers can go on an e-mail alert list so they're notified if a property they might be interested in comes on the market.<br /><br />Real estate agents say that if you use a realtor you can be certain all your interests are protected in a complicated transaction.<br /><br />They say they know the pulse of the current market, provide clients with an expert assessment of the value of their property, help them understand all offers and know how to negotiate an acceptable sale price.<br /><br /><span style="font-style: italic;">But they don't give any sales advice...</span><br /><br />And the Multiple Listing Service puts the property front and centre in the real estate market across Canada, they say.<br /><br /><span style="font-style: italic;">A note to David Finlayson: next time you are going to report on Comfree and the real estate board, do give us a call. We'd be more than happy to share our stories of satisfied clients that we've helped purchase Comfree homes well under market value, I'm sure they'd love to tell you themselves. We could also tell you about people who tried selling their home themselves to no avail, and ended up listing with an agent for more than they were asking, and sold above list price, more than covering the real estate fees they were concerned about before listing with an agent. Some actual examples may bring some more credibility to your article.</span><br /><br /><span style="font-style: italic;">A note to our readers: not all agents are created equal, and not all agents provide the same service. If you are considering selling (even if you are considering selling on your own) make sure you interview more than one agent, read our article on the </span><a style="font-style: italic;" href="http://http://edmonton-homes.blogspot.com/2006/08/top-10-questions-to-ask-agents-that.html">top 10 questions to ask the agents that want to list your home.</a><span style="font-style: italic;"> If you are considering selling on your own, read our article <a href="http://edmonton-homes.blogspot.com/2006/06/tips-for-selling-your-own-home.html">Tips for Selling on Your Own.</a><br /><br /></span><a href="http://cma.edmonton-homes.ca">Get a free online evaluation of your home.</a><span style="font-style: italic;"><br /></span><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115603063342171196?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com13tag:blogger.com,1999:blog-17592735.post-1155911238101198942006-08-18T21:26:00.000-06:002006-08-18T21:26:28.856-06:00If you are considering selling your home, you've probably already thought about preparing your home for sale, where you are going to move to, what sale price you'd like for your home. Another very crucial step is to interview at least <span style="font-weight: bold;">three </span>successful real estate agents who sell homes like yours in your area. Even if you think you can sell your home alone without professional help, the agents you interview won't mind. They know most do-it-yourself sellers fail and within 30 to 60 days list their homes for sale with one of the agents already interviewed.<br /><br />Each agent will have a "listing presentation" during which they will outline their skills, experience and marketing strategies. Here are the key questions to ask each agent if they didn't already answer them in their presentation:<br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.terrequity.ca/images/10942/female_agent1.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.terrequity.ca/images/10942/female_agent1.jpg" alt="" border="0" /></a><br /><span style="font-weight: bold;">1. How much can you get for my home?</span> Not:<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.terrequity.ca/images/10942/female_agent1.jpg"></a><ul><li>what is my home worth?</li><li>what price should I list my home for?<br /></li></ul>These questions are important, but the most important thing what your home will actually sell for. The best agents will get you the best price. Be careful though, many agents will try to "buy your listing" by giving you a highly inflated price. Each agent should justify his/her answer by giving you a written CMA (comparative market analysis). This CMA should show (a) recent sales prices of comparable nearby homes, (b) current asking prices of neighborhood homes like yours listed for sale (your competition), and (c) asking prices of recently expired comparable listings, which didn't sell (usually because they were overpriced). Less frequently the report will include actual examples of the agent's sales and how they compared to the average.<br /><br />After interviewing three (or more) potential listing agents, you can then compare their CMAs to see if they used the same comparable recent home sales prices to justify their opinions of your home's market value. Watch out for agents who estimate an unjustifiably high price or too low.<br /><br /><span style="font-weight: bold;">2. How will you market my home?</span><br /><br />At a minimum, each agent's written plan should include a for sale sign on your lawn, putting your listing on the MLS (the most powerful sales tool available to listing agents), and showing your home's photo and information on the agent's web. Will the agent take photos of the home and when will they appear on the internet? It seems simple, but so many agents are not even bothering to put pictures of their listings on MLS these days. Ask to see examples of how the agent has marketed recent listings so you get a feel for the quality of their efforts.<br /><br /><span style="font-weight: bold;">3. How do your sales compare to the area average?<br /><br /></span>Some agents may tell you that their listings sell on average for 95% of list price, or some may say 110% of list price. In today's market if an agents listings are selling below list price, they are not getting the best price for their listings. On the other hand, if an agent is selling all their listings over list price, they may be purposely under pricing listings so they can make that claim. The important thing is whether their listings are selling about or below average for your area. If they can't provide these details then move on.<br /><br /><span style="font-weight: bold;">4. How many listings do you currently have? Will I be dealing with your or an assistant, and how often will you contact me about sales progress?</span><br /><br />Assistants are often the sign of a highly successful real estate agent. But watch out for a "numbers agent" who takes too many listings, knowing a percentage will sell, and forgetting about the rest. You want to avoid becoming just another listing to a numbers agent.<br /><br /><span style="font-weight: bold;">5. How long have you been selling real estate? Are you a full-time agent? What professional courses have you completed? </span><br />The best agents will already have answered these questions in their listing presentations or in their professional brochure. There are a lot of part-time agents in this business, and generally speaking they are not nearly as involved in the market, and are often less aware of current trends than full timers. Don't necessarily dismiss a full-time, highly motivated new agent, they could be much better than an "old pro," experienced agent with too many listings to give your home sale the attention it deserves, and little understanding of the internet and online marketing.<br /><br /><span style="font-weight: bold;">6. What suggestions do you have to make my home more marketable? Do you recommend staging it? </span><br />Agents hate to answer this question before obtaining the signed listing for fear of insulting the seller. But smart home sellers want to know. Often a minor change, such as replacing the 1950s outdated shag carpet with a neutral fashionable carpet, can change a home's character.<br /><br />Or maybe the agent will recommend removing your old-fashioned furniture and having a professional designer "stage"your home to make it look up-to-date. Staging a home for sale has become very common among the most successful agents.<br /><br /><br /><span style="font-weight: bold;">7. Do you have a list of client references?</span><br /><br />If an agent does a good job, they should be able to provide a list of testimonials from satisfied clients.<br /><br /><span style="font-weight: bold;">8. What sales commission rate do you charge? </span><br /><br />Negotiating a low sales commission can be self-defeating if a lower sale price or even no sale results. If you decide to list with a so-called "discount broker" or flat-fee agent you will usually receive reduced services, and a reduced sale price.<br /><br /><span style="font-weight: bold;">10. Other than yourself, who is the best real estate agent in this area? </span><br /><br />If the agent evades answering, then ask each agent what he or she thinks of the other agents you are interviewing. Respect each agent's answers. Of course, verify any negative information received about a competitor agent.<br /><br /><br />SUMMARY: I realize I skipped #9, but a top 9 list just isn't that interesting and I could only think of 9 questions, so there you go! Remember: fall is the second-best home sales season. To assure your home selling success be sure to ask each listing agent you interview lots of questions and then list your home for sale with the best agent for your situation.<br /><br /><a href="http://cma.edmonton-homes.ca">Get a free online evaluation of your home.</a><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115591123810119894?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com3tag:blogger.com,1999:blog-17592735.post-1155855018775504042006-08-17T16:41:00.000-06:002006-08-17T16:50:19.123-06:00CREA's monthly report shows a slowdown in July, lead by Calgary and Vancouver. Edmonton's market increased significantly, but not enough to raise the national average. An important thing to note, these stats only include resale housing, and Calgary and Vancouver both had record sales of new homes which could account for the difference.<br /><br />This month in Edmonton we (at Coldwell Banker Johnston) are seeing fewer listings get multiple offers, it doesn't seem to be the feeding frenzy now that it was in August. There appear to be more listings for sale - I don't have any hard stats to prove this, it's just something we are feeling. My bet is when the stats come out for August there will still be lots of records set in Edmonton, but price increases will be less, the number of listings will be greater, and the number of days on market will be longer (July set an all time record for days on market in Edmonton).<br /><br />Here is the article from CBC News:<br /><br />Sales of resale homes are heading for another record this year, despite a slowdown in July and the expected softening of the market over the next few months.<br /><br /> Average home prices have climbed by 10.1 per cent in a year. (CBC) Average home prices have climbed by 10.1 per cent in a year. (CBC)<br /><br />In its regular monthly report, the Canadian Real Estate Association said resale housing activity edged down by 2.9 per cent in Canada’s major cities last month, to 27,231 units.<br /><br />But the industry's performance in July did little more than tarnish what has been a record-setting pace for the first seven months of the year. Sales are still 2.6 percentage points over the comparable period in 2005, and heading for another record, while seven major cities have broken volume records for the first seven months — Calgary, Edmonton, Saskatoon, Winnipeg, Ottawa, Montreal and Saint John.<br /><br />Homeowners also did well at the bank. The average price of a house rose to $294,924 in July 2006, up 10.1 per cent over the year, with record levels in Edmonton, London, St. Catharines, Ont., and Montreal.<br /><br />Resale homebuyers are on track to break new volume records this year, but CREA chief economist Gregory Klump warned that a slowdown is imminent. He expects the sales pace to decline slightly in coming months, leading to a higher inventory of unsold houses and a levelling of prices.<br /><br />The CREA numbers refer to existing houses, condominiums and townhouses sold through the Multiple Listing Service, adjusted for the season. The data does not include newly built homes.<br /><br />Most of July's decline was in Vancouver and Calgary, two cities that have seen record sales of new homes in recent months and record levels of construction.<br /><br />"Demand for resale homes remained strong across Canada’s major markets in July 2006," Klump said, pointing to stable interest rates, strong employment levels and rising incomes.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115585501877550404?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1155693150548673812006-08-15T19:38:00.000-06:002006-08-15T19:52:31.773-06:00Today CMHC released another report forecasting a cooling housing market. For almost as many years as we've seen record breaking housing results, CMHC has been forecasting a downturn. I think now they just realize that if they stick with the same message, eventually they'll be right.<br /><br /><span style="font-weight: bold;">Interest rates to temper housing demand</span><br />ROMA LUCIW<br />Globe and Mail Update<br /><br />Rising interest rates will help cool Canada's booming housing market by next year, but that<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/housingstarts.0.gif"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/200/housingstarts.0.gif" alt="" border="0" /></a> doesn't mean prices are about to fall.<br /><br />According to a quarterly outlook from Canada Mortgage and Housing Corp., housing starts will rise to 227,900 units in 2006 from 225,481 last year, before sliding to 209,100 units next year.<br /><br />“Higher mortgage carrying costs, due to modest increases in mortgage rates and rising house prices, will temper housing demand in Canada in the latter part of this year and next,” said Bob Dugan, the CMHC's chief economist.<br /><br />Low borrowing costs, strong economic growth and a solid labour market have sparked a real estate boom in Canada. If the CHMC forecast holds, housing starts will top 200,000 for the sixth consecutive year in 2007.<br /><br />Existing home sales, as measured by the Multiple Listing Service, will slip to 481,700 in 2006 from 482,788 last year, although that would still be the second-best year on record. Sales of existing homes are expected to ease to 462,200 in 2007.<br /><br />”A rising supply of listings will give home buyers more choice thereby reducing the spillover effect into the new home market,” the report said. ”However, marginally higher mortgage carrying costs will ease demand for existing homes in many centres across Canada.”<br /><br />The price of an average home will increase 12 per cent from $249,365 last year to $279,300 in 2006. The 12-per-cent price increase, a 17-year year high, will slow to 6.4 per cent in 2007, when ”higher listings and lower MLS sales will move the resale market toward more balanced conditions,” the report said. The average price of house in 2007 is forecast to hit $297,100.<br /><br />New home construction in Alberta, where record-high energy prices have led to mass migration, is expected to reach 49,000 units this year, surpassing the previous record of 47,925 in 1978. That pace of growth will slip in 2007 to 45,000 units, CHMC said, as the rising cost of ownership bites into demand.<br /><br />Central banks in Canada and the United States have been hiking interest rates, making mortgages more expensive. In the U.S., sales of both new and used homes have slowed but Canada's housing boom has yet to moderate.<br /><br />In a report released late last month, the Canadian Real Estate Association forecast that home sales in major markets will set a new annual record this year. Between January and June of 2006, 186,177 homes were sold — a rise of 3.6 per cent from last year's record pace.<br /><br />According to CREA, average prices climbed 11.8 per cent from December of last year to $304,328 in June.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115569315054867381?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1155510378271271332006-08-13T17:05:00.000-06:002006-08-14T15:24:00.976-06:00What does this mean in Edmonton. The author of below article has two states of mind. One Canada is going to do better than the U.S. in terms of GDP growth on the other hand the Western Canadian real estate sector is going to languish. I'm no econimic expert with a crystal ball. Or at least mine has been dropped so many times that its well cracked but I have a few problems with his theories. Firstly, it is pretty evident that the growth in Western Canada is what is going to drive up the GDP for Canada. I'm not one of those Ontario is a bag of wind believers in fact if anything it is Ontario's stabilty that allows this growth and the softer employment conditions prevent all out inflation. <br /><br />So what I want to know from any and all economic guru's is how will it be when Edmonton for example on an affodability scale is still more affordable than places like Ottawa, Toronto, Montreal, Vancouver and Victoria that homes here will languish. They may soften but will most likely retain its fairly solid growth. However let's play devils advocate for a second and say prices will soften. Please tell me how much and when. Until then it the chicken little wind bag syndrome. Of course prices will soften...They will also go up. How useful is that information? Not very if their is no context surrounding time frame. It'd be like me in 1909 saying house prices are going to fall. and in 1933 sticking my chest out while I walked around and say "I told you so"<br /><br />Understandably it is tough to make sense out of economic data because at the end of the day the buyers are the ones who will decide where they'll spend or save. So with that in mind I do see the pace of housing prices in Edmonton slowing slowing somewhat. However I could be wrong and it could grow from 39% / year. <br /><br />GDP growth forecast to pass the U.S.<br />Canada to assume third-quarter lead Less risk of severe<br />economic decline<br />Aug. 12, 2006. 09:30 AM<br />STEVEN THEOBALD<br />BUSINESS REPORTER<br /><br />After three years of lagging the United States in economic performance, Canada is poised to get back on top.<br /><br />And with all its fundamentals in great shape, it could stay there for a while.<br /><br />The strong Canadian dollar — up 40 per cent since the start of 2003 — is the main reason the domestic economy had posted modest gains in recent years.<br /><br />But that same dollar has benefited consumers through cheaper imports and it has kept interest rates lower than they'd otherwise be.<br /><br />And it is giving the central bank ample room to cut interest rates if the U.S. economy hits a rough patch.<br /><br />"It would be much easier for the Bank of Canada to switch to reverse if need be because inflationary pressures are just not as dominant as in the U.S.," said Doug Porter, deputy chief economist at BMO Nesbitt Burns. "Any inflation pressures are highly contained within Alberta."<br /><br />As well, Canada's strong currency has "absolutely crushed import prices," Porter noted. Motorists ought to keep in mind that without the jump in the Canadian dollar, gasoline would be selling for about $1.30 a litre instead of in the area of a dollar, Porter added.<br /><br />The Bank of Canada increased its trend-setting overnight rate to 4.25 per cent, pushing up both floating-rate loans, such as variable mortgages, and longer-term rates.<br /><br />Without the strong dollar keeping inflation in line, the central bank would have been forced to hike the overnight rate to as high as 5.5 per cent, said Marc Lévesque, chief strategist at TD Securities.<br /><br />"You would have seen a slower housing market and slower overall consumer spending."<br /><br />Low mortgage rates have helped fuel a run-up in real estate values which, in turn, has contributed to Canada's economic expansion.<br /><br />Unlike in the U.S., few people are predicting a major drop in Canadian housing prices, though the GTA's condo market and regions of Alberta and B.C. could be vulnerable to a downturn.<br /><br />And while the economies in central Canada have been plodding along, the west has boomed on high prices for energy and other commodities.<br /><br />Manufactured exports, however, are Ontario's key growth driver and when they suffer, so does the whole province.<br /><br />Last week, Statistics Canada reported that Ontario's unemployment rate for July rose above the national average for the first time in more than 30 years.<br /><br />Job creation, which has been in a bit of a hiatus in the past two months, has nonetheless been stronger than expected so far this year, up 210,000 jobs, most of them full time, with much of the growth in financial and real estate sectors.<br /><br />Average hourly wages in July were up 3.7 per cent from a year earlier, easily outpacing the 2.5 per cent rate of inflation.<br /><br />"Real Canadian income growth has been pretty robust with all the job gains we are getting, as opposed to the U.S. where real disposable incomes have barely grown at all," said TD's Lévesque.<br /><br />Exporters continue to complain about the problems of adjusting to the surge in the exchange rate, but they are making needed investments in machinery and equipment to raise their productivity.<br /><br />But just as all this investment is starting to pay off, another threat is looming.<br /><br />Forecasters are warning that the U.S. economy, led by falling real estate prices, is cooling fast after posting 3.5 growth in 2005. Most economists are predicting Canada's economy will grow faster, starting in the third quarter.<br /><br />Part of the U.S. slowdown is intentional.<br /><br />The Federal Reserve has hiked its benchmark rate 17 consecutive times in an effort to pull down demand to what it views as a more sustainable level.<br /><br />The Fed finally took a pause last Tuesday, leaving the funds rate, the interest banks charge each other for the use of Fed funds, at 5.25 per cent, compared with 4.25 per cent for the Bank of Canada's comparable overnight rate.<br /><br />With an economic slowdown evident in the U.S., the question Fed watchers are now asking is when will it cut American interest rates, said Avery Shenfeld, senior economist at CIBC World Markets.<br /><br />"If the Canadian dollar is still trading near its current range early next year, don't be surprised if, as a result of the downward pull on inflation, the Bank of Canada outguns the Fed in cutting rates."<br /><br />Canada's outlook is also much more positive, he added, stressing we are less exposed to a U.S. housing market crash and high oil prices are not inflicting as much harm here since Canada is a net oil exporter.<br /><br />"There is much less risk of Canada going into an outright downturn than there is in the U.S."<br /><br />Moreover, most levels of Canadian government are in sound financial shape so they can afford to increase spending, if needed, to spur the economy, said Nesbitt Burns' Porter.<br /><br />That's not so for the United States or other major economies, he said.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115551037827127133?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com9tag:blogger.com,1999:blog-17592735.post-1155349766152869652006-08-11T20:20:00.000-06:002006-08-11T20:29:26.583-06:00<span style="font-weight: bold;">Brisk house sales cause backlog in land titles</span><br />Last Updated: Friday, August 11, 2006 | 4:14 PM MT<br />CBC News<br /><br />People buying homes in Edmonton and Calgary are now waiting three weeks or more for their mortgage and land title paperwork to clear the system.<br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/landtitles.gif"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/landtitles.gif" alt="" border="0" /></a><br />Normally, the wait is two to six days.<br /><br />Eoin Kenny, spokesman for Alberta's Government Services, says brisk real estate sales and the inexpensive cost of second mortgages are causing the record-breaking backlog.<br /><br />"For instance, in 2004-2005, we did 5.8 million transactions. Last year it was 6.5 million transactions. And we're looking to break 7.5 million this year. So that gives you some sense of just how busy those offices are."<br /><br />Officials in land titles offices in both cities are working evenings and weekends to deal with a record number of mortgages and title transfers.<br /><br />Kenny says homeowners can speak with their real estate agents or lawyers about how they can still safely take possession of their properties even if the paperwork isn't ready. He expects the backlog to be cleared up in September.<br /><br />***More on this in a day or two but basically you need to find a lawyer and lender who accept "western protocol" in order "safely take possession" of your new home.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115534976615286965?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1155067514292760602006-08-08T13:51:00.000-06:002006-08-08T14:05:14.436-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/edmontonskyline.0.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/edmontonskyline.jpg" alt="" border="0" /></a>So we're finally getting some new office space in downtown Edmonton. It's been a long time since something commercial has gone up - 17 years to be exact - a sure sign that this city is growing. Commercial rents are up 70-100% in the downtown core, further evidence of the tight market. It's a three-story project at Jasper Ave, and 104 st., the article below also outlines some other upcoming changes to the downtown landscape....<br /><br /><span style="font-weight: bold;">Edmonton's joining the office space party</span><br />Oil money is driving the Alberta capital's commercial real estate renaissance<br /><br />CATHIE BARTLETT<br /><br />Special to The Globe and Mail<br /><br />EDMONTON -- Something unusual will happen in downtown Edmonton next month -- for the first time in 17 years, construction is scheduled to begin on a commercial office building.<br /><br />It will be modest by any standard -- just three storeys -- but it's significant given that downtown Edmonton has not seen a new commercial building since 1989.<br /><br />And it speaks to the commercial property resurgence that the city is currently enjoying as part of the oil-fuelled building boom in Alberta.<br /><br />Not that downtown Edmonton has been without construction, Jim Taylor, executive director of the Downtown Business Association of Edmonton, points out. Indeed, the Alberta capital's downtown has seen plenty of development on the residential side.<br />Print Edition - Section Front<br /><br />In the late 90s, the city brought in a residential grant program to encourage home building downtown -- and that's what happened, with 12 condo high rises and four low rises added to the horizon, along with historic warehouses and less desirable redundant office space converted to living quarters -- some of which came with some commercial space on the ground floor.<br /><br />While Calgary has captured most of the ink in the latest boom, Edmonton has quietly enjoyed the updraft as well.<br /><br />Office vacancy rates are at a record low and industrial land is at a premium. Rents are up, space is tight downtown, and out in the suburbs, commercial properties are springing up.<br /><br />Vacancies have dropped to 6 per cent from 9.5 per cent while rents have escalated 70 to 100 per cent in the past 18 months, says Todd Throndson, managing partner of Avison Young Commercial Real Estate in Edmonton.<br /><br />Especially noteworthy is the change in attitude -- to a landlord's from a tenant's market -- with landlords adamant about getting the rents they seek and walking away from potential deals that don't look promising enough, Mr. Throndson says.<br /><br />His colleague, Dean Wulf, general manager of Avison Young's Edmonton operation, says the tight downtown market is a ripple effect of the frenzied energy industry.<br /><br />The lawyers, accountants, consultants and ad agencies who serve the industry are growing and taking up the downtown space left idle when government layoffs in the early 90s sent the rental market into a tailspin.<br /><br />That, combined with the dearth of downtown office development, means any available office space is being snapped up, especially prime double-A and single-A space.<br /><br />"Now, these tenants are facing sticker shock when they renew or expand," Mr. Wulf says. "They're coming off rents of $6 to $8 a square foot and your landlord gives you a renewal for $18 to $21 -- that's sticker shock."<br /><br />Parking costs are rising as well downtown, which could push offices out to the suburbs, where parking is usually free, says Mike Parker, president of Cushman & Wakefield LePage in Edmonton. "We anticipate we're going to see some construction in the office market in the suburban areas."<br /><br />On average, parking goes for $240 to $250 a stall a month in the downtown core.<br /><br />Suburban tenants, on the other hand, typically get 2½ to three stalls per 1,000 square feet included in their office rent.<br /><br />Mr. Parker predicts high land and labour costs will hinder new construction in the city centre. "If you were to put up a new building downtown, the landlord would need $28 net rent plus another $10 for operating costs and taxes. If you go out to the suburbs, the net rental rate would be $18 to $20 with $8 in operating costs."<br /><br />But one developer is determined to make a go of it downtown, however modestly.<br /><br />John Day says leasing arrangements are in the final stages for the first floor of the three-storey building he is developing and will co-own at the corner of Jasper Avenue and 104th Street on the site of the now-demolished Cecil Hotel.<br /><br />He will only say the ground floor will be occupied by a "food tenant," while the upper floors will be large offices.<br /><br />The new building, which will have 60,000 square feet, not including the 50 underground parking stalls, "will really clean up that corner" of downtown and accent Edmonton's renewal project along 104th Street in the warehouse district, Mr. Day says.<br /><br />Which is why Mr. Taylor of the Downtown Business Association is enthusiastic about the new building.<br /><br />"We're incredibly excited because it's not just a new building on the corner of Jasper and 104th Street . . . It's the end of an ugly derelict building that was causing all kinds of problems as the surrounding area was being revitalized."<br /><br />And he's ecstatic about a planned high-rise addition to Petroleum Plaza, now a two-tower office complex on 108th Street that will add more than 215,000 square feet of office space.<br /><br />The last big commercial building to be built was Commerce Place in 1989. The project marks "a significant corner we've turned in the downtown area," and Mr. Taylor says he thinks there will be more downtown office construction, given the low vacancy rate.<br /><br />Jim Hewitt, vice-president of KingStreet Capital Partners, confirms the company has been granted a development permit for the Petroleum Plaza project. There is no start date yet, because, as Mr. Hewitt says, "it's still very preliminary."<br /><br />Meanwhile, work continues on retrofitting the Devonian Building at Jasper Avenue and 111th Street, the former site of the province's Department of Education. Murray Brown, president of Canterra Developments Corp., says he considered converting the two-tower property to residential space, among other options, after buying the property three years ago.<br /><br />"We are retrofitting this building in anticipation that there will be demand for high-end office space in the near future."<br /><br />The base building will be finished late this year and ready for tenant improvements in January. "At that point, it will be the largest block of contiguous vacant space ready for occupancy in Alberta," he says.<br /><br />Another downtown corner could look different in the not too distant future. The former Bank of Montreal building in the heart of downtown was recently sold to Dundee Real Estate Investment Trust of Toronto from Worthington Properties of Edmonton and may be demolished.<br /><br />Edmonton is braced for the spinoff benefits associated with the more than $125-billion worth of industrial projects slated for development in northern Alberta's oil sands over the next decade.<br /><br />A big challenge will be keeping pace with demand for both office and industrial space -- and labour shortages are a key issue, says Dave Young, vice-president and manager of the national investment team at CB Richard Ellis in Edmonton.<br /><br />"My concern is not availability [of land]; my concern is construction costs and availability of labour . . . We're operating at almost full employment now."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115506751429276060?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com5tag:blogger.com,1999:blog-17592735.post-1155066559043564622006-08-08T13:48:00.000-06:002006-08-08T14:09:01.990-06:00The article below discusses the concern on pricing in Edmonton. I'd be worried if my home was in Vancouver, Toronto, or Calgary but right now our market still holds good value for buyers compared to other markets in Canada, and Alberta, especially when you consider employment, taxation and the province's fiscal position. <br /><br />It may be true that some workers will hold off on recolating to Edmonton based the price of housing. That should curb the positive net migration that the city is currently enjoying, which is a major factor contributing toward the current demand for housing. Should the demand lower of course, future price increases will be affected. However, there are still many opportunities for savvy buyers to find properties and negotiate fair deals for those properties. In some cases many agents are having their strategy of having offers presented at a specific date back fire on them, giving buyers some good options.<br /><br />If the reports of Alberta's economic position as a power house economy hold true, than it may be some time before prices in the Edmonton area weaken. How much they will weaken, how much they'll go up before they do, and how fast they will rebound from a downturn is anyone's guess. One thing is certain though, if you don't want to move to Edmonton you don't have to, but we'd sure love to have you.<br /><br /><span style="font-weight: bold;">House-price worries </span><br />The Edmonton Journal<br />Published: Tuesday, August 08, 2006<br /><br />In the past few years, Edmonton held one advantage over other Alberta cities in attracting workers: Moderate housing prices. But the current boom may finally be taking the shine off that boast.<br /><br />Prices in the city have jumped by 35 per cent since last summer, bumping the average single-family house to $303,304 and the average price for condominiums to $188,831.<br /><br />That's still well below prices in Calgary where the average single-family unit in July was $403,630.<br /><br />Or consider Ft. McMurray, where in June the average was $469,304.<br /><br />Higher housing prices are a symptom of prosperity all across the province. In Red Deer, prices are almost at Edmonton levels: $297,543 for a single-family home.<br /><br />Still, the hefty increases in recent months mean that housing in Edmonton is moving out of reach for many young people coming to join the boom-time workforce. With a wage of $20 a hour, you won't qualify for a mortgage for a condo at an average price of $188,000, says Madeline Sarafinchan of the Edmonton Real Estate Board.<br /><br />"Everyone with patience and money will find a home, but realtors are concerned that the housing pressures are severe at the bottom end of the market," says Sarafinchan, adding that some businesses have seen new recruits leave because they can't find anything suitable.<br /><br />There are uncomfortable echoes of an earlier boom here. In the late 1970s, when interest rates soared to double digits and oil prices were rising, the dream of home ownership meant impossible debt loads. The provincial government stepped in for a few years and subsidized mortgage payments, an expensive intervention that nobody wants to see repeated.<br /><br />The problem right now is simply an overheated economy, says Ray Watkins, chairman of the Edmonton chapter of the Urban Development Institute, the developers' association.<br /><br />Contractors are working full out and even if there were more lots available, it wouldn't be possible to get more houses built, says Watkins.<br /><br />"Everyone has a labour problem," says Watkins, adding that housing industry "in all facets" is working at capacity. "I don't think anyone foresaw the record demand occurring for as long as it has."<br /><br />Indeed, the increase has come breathtakingly fast. For much of the mid-1990s, housing starts for metro Edmonton stayed relatively steady, with 4,962 starts in 1997 and 5,947 in 1998 moving up to 7,855 in 2001.<br /><br />Suddenly in 2002, starts spiked dramatically to 12,582 and have held at those record levels ever since.<br /><br />Edmonton fortunately has a number of high-density projects on the way, in the old Heritage Mall site, for instance, and the North Edge of downtown, that will help meet the demand.<br /><br />The housing crunch is not severe enough to warrant special measures now, but it's important for the province and municipalities to keep a watchful eye.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115506655904356462?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1154745576523723082006-08-04T20:37:00.000-06:002006-08-08T17:18:11.860-06:00Follow this reporter's instructions and you could possibly lose thousands of dollars, and you may not get that dream home you want. Although she offers insight into one particular scenario, a trained and experienced agent will have the ability to guide you through more than this cookie cutter scenario. If you follow her advice, you could end up fawning over someone's property and they may start thinking that they have underpriced their property, or worse that you are insincere. In a fast paced market like Edmonton information is your key to success.<br /><br />The author's instructions are that you let the seller know just how much you love, and want to buy their home. I've had sellers read heartfelt letters written to them from buyers, when they were reviewing offers on their home. Some have liked it and some sellers have reacted adversely. The emotional attachment to their home clouded their decision making, and they considered less emotional options, especially when conditions are attached to the contract. They felt that as excited as the buyer is today, they may become emotionally remoresful tomorrow causing their deal to tailspin. They were looking for the stable option.<br /><br />Not to mention a professional can assist you in properly drafting an offer that would be more likely to be accepted by a seller. <br /><br />The appropriate strategy should be made in consultation to the circumstances surrounding your transaction with your agent, and your personality should be a part of the equation. You should not negotiate in a style that is uncomfortable to you, otherwise your chances of success will deminish.<br /><br />If you want a journalist's opinion on writing an article, especially on how to sensationalize it so that it catches a readers attention consult them, if you want an experts opinion on something then consult the experts.<br /><br /><span style="font-weight: bold;">Dian Hymer: Starting Out</span><br />News-Press.com<br />A few tips on appropriate negotiating posture<br />Originally posted on August 03, 2006<br /><br />A prospective home buyer recently stopped by a Sunday open house to take a second look at a listing that caught his fancy. His real estate agent had advised him to keep a poker face as he walked through the house, and to ask no questions of the listing agent. Otherwise, he might tip her off that he was interested.<br /><br />This is a popular negotiation strategy: Don't show the other party that you might be interested in striking a deal. The presumed consequence if you do show enthusiasm is that the other party (the seller in this example) will gain an advantage over you.<br /><br />There is usually something that backfires. Many home sellers have strong emotional attachments to their homes. With these sellers, the sale price is important, but it's not all that matters.<br /><br />For example, a couple with two small children had been looking for a new home in Oakland, Calif., for months. They fell in love with an exceptional property and decided they wanted to buy it. They were the first buyers to make an offer, but other offers followed shortly after. The first buyers' offer wasn't for the highest price.<br /><br />The sellers were impressed by a letter from the first buyers in which they promised to take care of the property. The sellers had bought the house as a rundown fixer-upper and had renovated it extensively. It was important to them that the property ended up in the right hands.<br /><br />When the offer from the first buyers was presented, their agent told the listing agent that the buyers would welcome a counteroffer if their price wasn't right. If the sellers hadn't known that the buyers were willing to pay more, they might have gone with the highest offer. However, knowing how committed the first buyers were, the sellers decided to offer the house to them at a higher price. The offer was accepted.<br /><br />Expressing interest lets sellers know you're serious. Your enthusiasm can put you in good stead with the sellers. This doesn't mean that you have to reveal the highest price you're willing to pay, or the terms on which you'll buy the property.<br /><br />HOUSE HUNTING TIP: Being the first buyer of several to commit can give you an edge. Many buyers retreat when they hear that someone else might be interested in the property. Some don't want to get caught up in a bidding war.<br /><br />Others back off because they don't want anyone else to know what's on their mind. They feel that by tipping their hat, they will in some way diminish their negotiating posture. This isn't necessarily so.<br /><br />In another example, prospective buyers decided to write an offer on a Piedmont, Calif., listing days before the seller was prepared to hear offers. There were three other interested buyers who vacillated between writing offers and waiting to see if the seller accepted the first offer. At the last minute, the other three buyers decided to wait and see what happened with the one offer that was written. Had the committed buyers not revealed their position early on, other buyers might have stepped forward with offers and they would have found themselves in competition.<br /><br />A straightforward negotiation strategy is most effective if you can also convince the seller that you have done your homework. An earnest buyer who is preapproved for the financing he needs, and who has read all the pertinent disclosures on the property, is a buyer who will be looked on favorably by the seller.<br /><br />THE CLOSING: Telling a seller that you like his house doesn't mean that you have to overpay for it.<br /><br />— Dian Hymer is author of "House Hunting, The Take-Along Workbook for Home Buyers," and "Starting Out, The Complete Home Buyer's Guide," Chronicle Books.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115474557652372308?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1154707409561978932006-08-04T09:59:00.000-06:002006-08-04T10:03:30.846-06:00The following report from Bloomberg predicts that the Bank of Canada will not raise interest rates for the rest of the year, because the unemployment rate has increased and the dollar has dropped. Here is most of the article...<br /><br /><span style="font-weight: bold;">Canada Lost 5,500 Jobs, First 2-Month Drop Since 2004 (Update2)</span><br /><br />Aug. 4 (Bloomberg) -- Canadian employers unexpectedly shed 5,500 jobs in July, marking the first consecutive monthly declines in almost two years, strengthening the case for the Bank of Canada not to raise interest rates again this year.<br /><br />The unemployment rate rose to 6.4 percent from 6.1 percent in June, which was the lowest since 1974, Statistics Canada said today in Ottawa. Economists surveyed by Bloomberg News expected 23,500 new jobs in July and a jobless rate of 6.1 percent.<br /><br />The report suggests one of the most robust aspects of Canada's 15-year economic expansion may be weakening, because of a strong currency higher borrowing costs. Economic growth stalled in May for the first time in eight months.<br /><br />``This reinforces expectations that the Bank of Canada will remain on the sidelines,'' said Paul Ferley, assistant chief economist at the Bank of Montreal in Toronto.<br /><br />Canada's dollar fell to 88.50 U.S. cents at 9:09 a.m. in Toronto from 88.85 cents late yesterday. One U.S. dollar buys C$1.1300. The currency reached a 28-year high of 91.44 U.S. cents on May 31.<br /><br />The currency has weakened since then as investors anticipated Canada's central bank would stop raising rates. The Bank of Canada paused on July 11 after seven consecutive moves. Two days later, Governor David Dodge said he expected the high dollar and slower U.S. growth to curb demand for exports, in particular manufactured goods.<br /><br />Manufacturing<br /><br />Manufacturing led the July decline with 33,300 jobs shed, the industry's biggest loss since January. The related transportation and warehousing sector shed 16,900 jobs in July. Factories have fired 224,000 workers since the end of 2002, or 9.6 percent of their staff, StatsCan said today.<br /><br />Canadian Dollar<br /><br />The dollar's 40 percent rise since the end of 2002 has slowed exports to the U.S., which make up a third of Canada's C$1.1 trillion economy, the world's eighth-largest. Exports fell to the lowest in a year in May as energy and lumber shipments dipped, StatsCan said July 12.<br /><br />The job market has been volatile in the past three months, swinging from a near-record 96,700 new jobs in May to a loss of 4,600 in June, and the July decline that was the biggest since December.<br /><br />Carmichael said the average growth of 29,000 jobs during the past three months shows the market hasn't collapsed.<br /><br />Employers added 21,600 full-time jobs last month. They shed 27,000 lower-paid part-time staff, StatsCan said today. The labor force, the number of Canadians 15 and older holding or looking for a job, rose by 64,200.<br /><br />Hourly Wages<br /><br />Average hourly wages advanced 3.7 percent in July from a year earlier, faster than June's 3.5 percent gain. The consumer price index, the main measure of inflation, advanced 2.5 percent in June from a year earlier, and StatsCan reports the July consumer price index on Aug. 22.<br /><br />The 10,100 jobs lost in the last two months compares with a loss of 25,500 during July and August 2004, the last time employers shed workers in two straight months.<br /><br />There are other signs the economy isn't slipping much. The price of an existing home rose 12 percent in June from a year ago, to a fifth-straight record, the Canadian Real Estate Association said July 17. Exporters are adjusting to the higher dollar and interest rates and consumers are still spending, Governor Dodge said July 13.<br /><br />Still, StatsCan's report on economic growth in May, which was released July 31, also showed declines in areas that have fueled the economy during the last few years. Retail sales, construction, and oil and natural gas production all dropped, the report said.<br /><br />Full Capacity<br /><br />Record retail sales, construction and oil and gas production had helped push Canada's economy past the limit of what it can make without rapid inflation, the central bank said last month. The currency and interest rate will slow economic growth through 2008 and return the economy to full capacity, the bank said in its July 13 monetary policy report.<br /><br />Canada's economic growth will slow to 2.9 percent next year from 3.2 percent this year, the central bank's report said.<br /><br />U.S. employers created 113,000 jobs in July, fewer than economists expected, the Labor Department reported today in Washington. The U.S. unemployment rate rose to 4.8 percent, from 4.6 percent.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115470740956197893?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1154665763435112012006-08-03T22:23:00.000-06:002006-08-03T22:29:23.790-06:00The following is an article from "The Business Edge" News Magazine. I have taken out some parts not relevant to the Edmonton area. Overall the point is that its not too late to invest in Edmonton real estate, but you have to do it with a plan that makes sense.<br /> <br /><span style="font-weight: bold;">Investment niches attract growing interest</span><br />By Joy Gregory - Business Edge<br />Published: 08/03/2006 - Vol. 6, No. 16<br /><br />...Even with Calgary's residential market hitting record highs earlier this summer before taking a bit of a break from its frenzied pace, investors like Madeleine Ficaccio of VEA Group Inc. say the Alberta real estate investment market is good, albeit more complicated than a year ago...whose company wholesales properties under contract and buys, holds and manages properties with joint venture partners.<br /><br />A strong market with high housing costs also prompted another change in focus. While she and her husband/business partner Dan still target properties with positive cashflow, Calgary investors used to be able to find properties that delivered mortgage paydown, cashflow and equity appreciation.<br /><br />In Calgary's current market, you can focus on paydown or cashflow, but it's tough to get both, says Ficaccio, whose company uses interest-only financing to make higher-priced revenue properties work.<br /><br />Because their business focuses on cashflow, they look for properties with additional income (basement suites and garages) and multiplexes with at least four units.<br /><br />With a growing list of investors now coming to VEA with their money and their deals, VEA is also pursuing larger deals. One U.K.-based client wants her help finding deals worth $10 million-plus. He tells Ficaccio that his research says <span style="font-weight: bold;">Alberta is "probably the strongest place in the world to invest your money right now."</span><br /><br />Others seem to agree. Ficaccio's list of people she regularly contacts with news of potential deals has stretched to 600 e-mail addresses, one-quarter of which are from outside Alberta. A growing number also seek information on what some consider to be Alberta's hottest market, Edmonton, where VEA already has some investments.<br /><br />Tyler Uzelman, a partner in Edmonton-based real estate investment firm Libertas Holdings Inc., says the company holds 45 revenue properties with 35 investors, about 25 per cent from Ontario.<br /><br />Libertas deals with single-family homes, and while they welcomed investors with $15,000 a couple years ago, today's market demands minimum investments of $25,000 to $30,000.<br /><br />Like Ficaccio, he warns against thinking the current market is too hot for newcomers. "There's a big perception out there that to become a real estate investor, you have to get the deal.”<br /><br />Libertas, on the other hand, goes after the properties they want.<br /><br />"We're not flippers. We don't buy real estate and sell," says the former financial planner. Instead, Libertas takes a buy-and-hold approach that's about long-term wealth creation, a strategy that's heavily dependent on what the investment business calls quality tenants and quality properties.<br /><br />Using figures from the Edmonton Real Estate Board, Uzelman predicts today's market hasn't reached its peak. Nor are today's price increases unprecedented. Between 1966 and 1982, a period also characterized by dramatic economic growth, the average single-family home in Edmonton went from $11,516 to $96,380, an increase of 736 per cent.<br /><br />From 1999 to now, the price has moved from $113,245 to well over $250,000, a figure Libertas expects to keep rising.<br /><br />Lower housing prices elsewhere in Alberta are attracting investment dollars out of Calgary and Edmonton, too. Ficaccio has property in Red Deer and markets in several smaller centres. Uzelman's group targets Edmonton and area, although they recently looked at a place in Lethbridge.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115466576343511201?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1154652199103548682006-08-03T18:41:00.000-06:002006-08-03T21:26:51.253-06:00The following article from the Edmonton journal should be a warning to sellers and buyers in the Edmonton area. That's right, buyers AND sellers.... Sellers who could have been made aware of problems via a buyer's inspection can face a costly situation down the road; if indeed there are problems the sellers could have disclosed or known about, the buyers may choose to sue.<br /><br />It is however an oversimplification to say inspections should be mandatory. If the inspection industry was properly legislated with a mandated code of conduct, required errors and omissions insurance and training minimums, I would think the lending institutions themselves would require inspections from such inspectors. Until that time, not all inspectors or inspections are created equally, atleast in my opinion, and buyers should be as careful in the hiring of their inspector as their real estate agent.<br /><br /><span style="font-weight: bold;">Hot real estate market burns home inspectors</span><br />Desperate buyers waive conditions on purchase<br /><br />Richard Warnica, The Edmonton Journal<br />Published: Wednesday, August 02, 2006<br /><br />While everyone else in Edmonton's housing industry scrambles to find workers, Michel Bourgeois -- a home inspector -- is laying off staff.<br /><br />Bourgeois's business has plummeted 45 per cent in the last four months, even as home sales have soared in the other direction. Business is so slow, Bourgeois recently had to lay off one of his six inspectors.<br /><br />"May, June and July have been just terrible," the owner of North Edmonton's Pillar to Post inspection company said.<br /><br />Right now, more houses are being sold and at higher prices than ever before in Edmonton's history, according to the Edmonton Real Estate Board.<br /><br />But fevered competition among buyers means more sales are being completed without a home inspection. And homebuyers who sign contracts without a detailed inspection are running "huge" risks according to many in the industry.<br /><br />But when the average home for sale lasts just four to five days on the market and more than half are selling above list price, buyers often have no choice; you either buy as is or you don't buy at all.<br /><br />"People are getting so anxious to buy a home," said Jean Sills, an agent with Realty Executives Challenge.<br /><br />Sills sold a house recently which had 12 offers the day it was listed and was sold by that night.<br /><br />Her experience is not unusual.<br /><br />In July, eight houses listed with the real estate board sold in two days, according to John Hall, the board's marketing manager. The average length of sale, which should sit around 18 days, is down to four or five.<br /><br />While sellers are seeing their property disappear in record times, buyers have to slog through house after house before closing a purchase.<br /><br />One realtor Hall knows recently took a client to 14 doors and made 14 offers, but the client kept getting outbid. Another realtor lost a house after bidding $80,000 over the list price.<br /><br />"The market becomes irrational because of the desperation of a single buyer," Hall said.<br /><br />So irrational in fact, that house prices in Edmonton were up an unprecedented 31 per cent in July compared to the same month last year.<br /><br />Buyers often make home purchases conditional on a number of factors, including, usually, that the house be inspected. But when there are multiple offers on a single property -- as is the case in 74 per cent of house sales in Edmonton right now -- sellers can afford to demand that buyers waive those conditions.<br /><br />Or, as is more often the case according to Hall, desperate buyers can make unconditional offers, convinced is the only way they will close a deal.<br /><br />Sills says she always urges her clients -- buyers and sellers -- to have an inspection. "It can save the seller too, that's the irony of it," Sills said.<br /><br />But according to many in the home inspection business, many buyers are not taking her advice.<br /><br />Shawn Kroeker, owner of Inspect Express Home and Building Inspections Ltd., has seen his business fall dramatically since spring.<br /><br />In March, his company inspected 35 to 40 houses a week. Today, he's lucky to do eight to 10 in the same stretch.<br /><br />Not all home inspectors agree, however. Edgar Castillo, who owns a franchise in a large home inspection chain, says the hot market has not affected his business. But most of those The Journal spoke to say the surge in housing sales has meant fewer, rather than more, home inspections.<br /><br />Buying a house without an inspection can have devastating consequences.<br /><br />Steve and Norma Dima spent more than $250,000 on a home just west of Stony Plain in April without having it checked by an inspector.<br /><br />Within weeks they discovered cakes of toxic mould packed into the walls of their basement. The growth drove them from their home; they now sleep in a van in the yard and face possible bankruptcy.<br /><br />Michel Bourgeois says he has inspected a number of houses after they have been sold. Often buyers don't realize the extent of the renovations the home will need, he said. Already stretched by prices in the overheated market, they cannot afford to fix the problems they did not know were there.<br /><br />Some inspectors want house inspections to become mandatory.<br /><br />But that is unlikely to happen, says Petar Juric, a board member with the Alberta branch of the Canadian Association of Home and Property Inspectors.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115465219910354868?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1154542313049281902006-08-02T12:08:00.000-06:002006-08-02T13:39:22.360-06:00Here is the latest from the Edmonton Real Estate board. Inventory is still very low, demand and number of sales are still very high which leads to increasing prices. When you compare July to June, the rate at which prices are increasing is slightly down, but compared to July of '05 everything is through the roof.<br /><br /><span style="font-weight: bold;">Housing shortage causing business challenges</span><br /><br />Edmonton, August 2, 2006: Everyone in the housing market this year is aware of the shortages being experienced in Alberta. The prices of new and resale homes have increased dramatically and availability dropped. The current inventory of available residences on the Edmonton MLS® is just 1,856; down from over 4,400 homes available on July 31, 2005.<br /><br />Strong economic performance of Alberta business is creating new jobs and opportunities. Workers want to move to Alberta but are facing difficulties finding housing when they get here. REALTORS® are working harder than ever to find suitable homes for their clients. Multiple offers and sales over the list price are now common. However, employers who manage to attract workers from out-of-province are hard pressed to find places for them to live once they get here. Some business owners report that new employees are returning home because they cannot find a place to live even though they have a good job.<br /><br />“Everyone with patience and money will find a home, but REALTORS® are concerned that the housing pressures are severe at the bottom end of the market,” said Madeline Sarafinchan, EREB President. “Thousands of workers coming here to take the $10 or $15/per hour jobs are not able to find accommodation in their price range. Rental vacancy rates are low and rental rates are rising. We need the workers but our community also needs to meet their housing needs. What are the provincial and federal governments doing to provide affordable housing?”<br /><br />Even a person working for $20/hour will not qualify for a mortgage on an average priced home or condominium in Edmonton.<br /><br />The average* price for single family dwellings in July was $303,304; up 1.6% from June. Average condominium prices went up 1.1% in a month to $188,831 in July. Duplexes and townhouses sold for $228,691 average – an increase of just 0.4% from last month.<br /><br />The average residential price (includes all resale housing types) has increased from $254,240 in June to $256,489 in July.<br /><br />“REALTORS® are frustrated when they cannot find a home for their client,” says Sarafinchan. “We want to help everyone but if the homes aren’t there we cannot sell them. If business owners cannot find homes for their workers then labour shortages will begin to stall the economic boom that is driving Alberta today.” She called on government to consider social policy that will make housing available for workers at all income levels.<br /><br /><table style=""><tbody><tr><td style="font-weight: bold;">July 2006 activity</td><td style="font-weight: bold;">Record *</td><td style="font-weight: bold;">% change from 2005</td></tr><br /><tr><td>Total MLS®® sales this month</td><td>2,268*</td><td>21.70%</td></tr><br /><tr><td>Value of total MLS® sales - month</td><td>$601 million*</td><td>61.80% </td></tr><br /><tr><td>Value of total MLS® sales - year</td><td>$3.76 billion*</td><td>45.80%</td></tr><br /><tr><td>Residential¹ sales this month</td><td>1,953*</td><td>21.30%</td></tr><br /><tr><td>Residential average price</td><td>$256,489*</td><td>31.00%</td></tr><br /><tr><td>SFD² average selling price - month</td><td>$303,304*</td><td>35.40%</td></tr><br /><tr><td>SFD² median³ selling price</td><td>$293,450*</td><td>40.40%</td></tr><br /><tr><td>Condo average selling price</td><td>$188,831*</td><td>33.70%</td></tr></tbody></table><br /><br />¹. Residential includes SFD, condos and duplex/row houses.<br />². Single Family Dwelling<br />³. The middle figure in a list of all sales prices<br /><br />* Average prices indicate market trends only. They do not reflect actual prices, which may vary.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115454231304928190?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1154217814695348132006-07-29T18:00:00.000-06:002006-07-29T21:03:14.416-06:00From the CBC news.... as expected, while the housing market is taking off, rents are going up as well... the <span style="font-style: italic;">average </span>1-bedroom in Edmonton goes for $650/month now!<br /><br />Edmonton's apartment vacancy rate has fallen from 4.5 per cent to 1.5 per cent in the past six months, making it tougher to find a place to rent.<br /><br />Commercial real estate company CB Richard Ellis surveyed over 30,000 apartments and found only about 500 vacancies.<br /><br />Vice-president Paul Gemmel expects the rental market will only get tighter.<br /><br />"The general economy is so strong. There's no new rental being built, it's not affordable, you can't build these things and make sense out of them," he said.<br /><br />"I think we're going to see a real tight market here for the next several years."<br /><br />After years of stability, rents have taken a 13 per cent jump. The average one-bedroom now rents for about $650 dollars a month.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115421781469534813?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com2tag:blogger.com,1999:blog-17592735.post-1154036592451614292006-07-27T15:41:00.000-06:002006-07-27T15:43:12.936-06:00You’ve probably heard about the real estate market in Edmonton; if you thought it was hot in the spring, the pot is boiling over now. Alberta is out pacing the rest of the country as prices are rapidly increasing; the average price of an Edmonton home was up 39% in the first half of this year compared to last.<br /><br />You’ve probably also heard stories about homes selling with multiple offers and over list price. In the current market buyers should expect to pay at least list price and probably more. We’ve developed a new marketing strategy to get the most out of the hot market, and as a result our listings are selling well above the area average.<br /><br />See <a href="http://www.JustSoldEdmonton.com">www.JustSoldEdmonton.com</a> for examples.<br /><br /><span style="font-weight: bold;">Why is the Edmonton market so hot? </span><br /><ol><li>Jobs - The employment rate is the highest it has been in 30 years.</li><li>Oil - Oil and gas prices are high, there are over $7 billion worth of projects on the books to expand the oil industry in the province (which means more jobs).</li><li>Net Migration - All these jobs mean more and more people are moving to Edmonton. Out of town buyers are willing to pay more for real estate as they have short deadlines to find a home and many markets in Canada are priced higher than Edmonton.</li><li>Price - Compared to Vancouver, Calgary, Toronto and many other areas, Edmonton is cheap.</li><li>Vacancy rates - A very low rental vacancy rate, and relatively low prices is attracting investors like never before.</li><li>Supply - Demand for housing is very high (see points 1 through 5), and supply is very low (last year there were more than 3 times as many listings as there are now). Economic principles dictate that prices go up under these conditions.<br /></li></ol><br /><span style="font-weight: bold;">How Long Will Prices Continue to Rise? </span><br /><br />While we don’t have any crystal balls, it is safe to say the market will continue to rise for some time. Edmonton has always shown moderate price increases, even when economic indicators have been poor. That being said, there would have to be a major shift in supply and/or demand for the current market to significantly change. If you are considering buying, it is still a good time to buy but the market can be challenging. We have proven strategies to help buyers in this market as well, so give us a call anytime.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115403659245161429?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1153772358324555652006-07-24T14:19:00.000-06:002006-07-24T15:28:27.703-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.hwadvocacy.com/update/images/no_money_guy.gif"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 154px; height: 211px;" src="http://www.hwadvocacy.com/update/images/no_money_guy.gif" alt="" border="0" /></a>Ok, I know it is a seller's market. I know that there are fewer listings for sale in Edmonton now than there have been in ages (last I read from the real estate board there were 4500 listings a year ago, and 1800 listings now). I know demand is very high. I know the other day when we received 17 offers on one of our listings, 16 buyers went home unhappy. So why on earth would now be a good time to buy real estate in Edmonton???<br /><br />Simple... the market is going up, and it's going up fast. Calgary and Vancouver have been experiencing this type of market for the past couple of years. Edmonton is playing catch up, and many people are projecting that Edmonton's prices will catch up with Calgary because of the very strong job market. Compared to the rest of Canada, Edmonton is cheap, and the rest of Canada is starting to invest in real estate here.<br /><br />Many people in the Edmonton market have been looking for weeks or months, often because they've lost out in multiple offer situations. Many buyers don't want to offer over list price, because they don't want to pay too much money. The problem is, in the time they have been looking, the type of property they can afford has steadily been shrinking. They may have started looking at two-bedroom condos, and now they can only afford a one-bedroom.<br /><br />In March we had a client who would not offer over list price (a member of a large real estate investment club) and lost out on 13 properties. At the time we suggested if she offered $5,000 to $10,000 over list price, she would get the property and in a month or two that price would seem like a bargain. If she had purchased one of those properties at that price range in March, she would now easily would have made $20,000 - $30,000 on the property. We finally had to suggest she find a new real estate company to work with.<br /><br />Last week we found a property for one of our clients, that was just perfect for them....but, in their words "We want this exact property, just for $20,000 less." Unfortunately it doesn't work that way.<br /><br />The point of all this is.... even though you may have to pay more than list price to purchase real estate in Edmonton today, it is still a bargain.<br /><br />Market value is defined as "what a reasonable buyer will pay a reasonable seller." As soon as a buyer pays $10,000 over list price on a home, that home and any similar homes in the area are now worth $10,000 more. Any new listings that come up on the MLS in the area will be priced to reflect that sale price.<br /><br />If you don't pay market value, and therefore don't buy a property you are missing out. Each month that you wait, you loose money. Not only do you loose out on the type of property you can afford, but the equity you could have in a home is in someone else's pocket.<br /><br />So, if you you are thinking the best thing to do is to wait to get into the real estate market, think again. Get into the real estate market, and then wait. You will end up with far more equity in the end.<br /><br /><a href="http://www.edmonton-homes.ca/Search_MLS_Listings/page_1120712.html">Search all Edmonton MLS listings</a>, days before they appear on MLS.ca.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115377235832455565?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1153717381628201392006-07-23T22:50:00.000-06:002006-07-23T23:03:02.016-06:00The following are exerpts from an article in the Vancouver Sun about different generations attitudes towards and experiences with mortgages over the years. ALthough the article references the Vancouver market quite a bit, it is still quite relevant to Edmonton. It's quite interesting.<br /><br /><span style="font-weight: bold;">Mortgaged Dreams</span><br />Michael Kane, Vancouver Sun<br />Published: Saturday, July 22, 2006 <br /><br />Attitudes to debt have changed over the generations as real estate prices have skyrocketed in Greater Vancouver and the rest of B.C. While survivors of the Great Depression worked to be mortgage-free, many younger people have been anything but reluctant to borrow money to finance the home they have always dreamed about.<br /><br />Lindsey McDonald bought her first real estate in Cloverdale two years ago when she was 22. The ambitious student sees her mortgage as an opportunity to build wealth and expects to sign up for more and bigger loans in the years to come.<br /><br />In contrast, John and Joan Ross bought their first home in 1959 and "survived and sufficed" to become the mortgage-free owners of a bigger home on Vancouver's west side by the end of the 1970s. As children of the Great Depression, the two seniors have avoided significant debt ever since.<br /><br />In the middle are baby boomers such as Bill and Marlene McLean who bought their first property in the early '70s, worked like the dickens to pay off the mortgage within eight years, and have repeatedly refinanced their home to renovate or build 40 houses for sale. With retirement on the horizon, most of their contemporaries can only wish they had been so bold.<br /><br />Attitudes to debt have changed over the generations as real estate prices have skyrocketed. At the same time, mortgages have evolved to do much more than simply sustain the great Canadian dream of home ownership...<br /><br />Once upon a time, the best mortgage was no mortgage. That's if Joe or Jane Average could even find one.<br /><br />The big banks were barred from offering residential mortgages until 1953...<br /><br />Single women had to wait many years before being taken seriously as potential homebuyers and the incomes of married women still weren't counted for mortgage qualifying purposes until well into the 1970s.<br /><br />Until recently, the standard wisdom was to pay your mortgage down quickly because mortgage interest generally cannot be written off against other income. Debt was seen by many as an intolerable burden to be shaken off as soon as realistically possible...<br /><br />Today we are hanging on to our mortgages for longer, sometimes into retirement. The modern mortgage has evolved into a source of capital for investments, which typically makes the interest cost tax-deductible, and a personal money machine or ATM to minimize the interest cost of consumer spending.<br /><br />To many, a mortgage has become a flexible friend that allows more first time buyers to enter the real estate market and permits repeat borrowers to maintain their living standards and, potentially, grow their wealth.<br /><br />To others, the mortgage has become the modern-day equivalent of the company store, enticing Canadians to ratchet up debt beyond their means and keep them chained to work when they might be embracing retirement.<br /><br />There is a nagging concern that easy money is pushing home prices to unsustainable levels and that younger buyers could find they are in too deep when interest rates move up or when the real estate market sours.<br /><br />When the Royal Bank entered the consumer mortgage market in the 1950s, its advertising showed an "average" house valued at $8,000 could be bought with monthly payments of $48.88 after an $800 down payment. Fast forward 50 years and the average detached home in Greater Vancouver is selling for $718,687. If you can come up with a 10-per-cent down payment of $71,869, your monthly payments will be $4,023, assuming a five-year term at 5.70 per cent and a 25-year amortization.<br /><br />- - -<br /><br />The modern mortgage offers a range of features that were largely unknown a generation ago. There are weekly, biweekly and lump sum prepayment options to reduce the total interest paid. There are open mortgages with rates that track the bank rate and fixed-rate mortgages for terms from six months to 10 years, and even longer. And there are interest-only mortgages that allow people to remain in homes where they have built up equity but which they might otherwise be unable to afford.<br /><br />The mortgage has even become a tool to reduce borrowing costs through "all-in-one" or "total equity" products such as Envision Financial's "Redfrog" which keeps the customer's money working all of the time...<br /><br />Mortgages have become increasingly flexible and so much more than a necessary tool to acquire a home, says Vancouver's Rob Regan-Pollock of mortgage brokers Invis Inc.<br /><br />"Looking back at the previous generation, the mindset was to pay it down and become free and clear as quickly as possible, and then you have a certain number of years to amass some assets for retirement.<br /><br />"Mortgages were never really thought of an investment vehicle or a way of creating wealth or minimizing interest costs for consumer goods or other items that might be required."<br /><br />Increasingly, Regan-Pollock is dealing with clients who are borrowing against their principal residence for the down payment on an investment property.<br /><br />"People are realizing that leveraging, whether to invest in the stock market or to acquire rental properties, is a proven way to create wealth. It's using other people's money to help better your circumstances long-term.<br /><br />"Of course, there are downsides to that, including market risk and budget comfort, and that's where professional guidance is really essential."...<br /><br />Mortgages have morphed into a continuous credit facility with homeowners tapping into their equity to pay for investments, renovations, debt consolidations, post-secondary education and even car purchases, says Ben Eyton, an investment specialist with North Shore Credit Union.<br /><br />"The younger generation feel a lot more comfortable with credit than their parents or grandparents did. They really grew up watching their parents carry debt, so they are familiar with it. They've never really had to feel the pinch of going without."<br /><br />Eyton worries that today's borrowers fixate on getting the lowest interest rate possible when he would prefer they sit down with a financial adviser to assess how "this ongoing facility through life" is going to impact their cash flow, taxes and estate planning.<br /><br />He notes that a 40-year mortgage can lower monthly payments on a typical $350,000 mortgage by about $300 monthly but it will increase the borrower's total interest payments by a whopping 75 per cent unless they can make extra payments later on.<br /><br />Now Canada Mortgage and Housing Corp. has introduced a mortgage that is interest-only for up to 10 years while "sub-prime lenders" are moving into the Canadian market from the U.S. to offer higher cost mortgages to higher risk borrowers...<br /><br />While rising prices and interest rates are making it tougher for first-time buyers, homes in Greater Vancouver are still more affordable than they were 15 or 20 years ago, says Kevin Lutz, regional mortgages manager with RBC Financial Group.<br /><br />Of course, mortgage amounts have risen sharply to keep pace with prices. In July, 1999, the average mortgage approved by the Royal's specialists in B.C. was $143,000. In July, 2006, it is up exactly $100,000 to $243,000.<br /><br />Lutz says borrowers are comfortable with bigger loans when their equity is growing and "they are seeing their homes as their retirement nest eggs more than they ever have before."<br /><br />As for buyers biting off more than they can chew, Lutz notes that mortgage defaults remain rare and home buyers still have to qualify for a mortgage under the same debt-to-income ratios that applied a generation ago, although they are more likely to push those limits to the maximum today. The rules are even stricter for buyers of investment property...<br /><br /><span style="font-weight: bold;">Mortgage Facts</span><br /><br />- Canadians typically pay off their mortgages in 22.5 years, a number that has not changed significantly over several years of tracking.<br /><br />- The chartered banks hold 72 per cent of the mortgage market but share held by credit unions has grown to 16.6 per cent from 6.4 per cent in 1970.<br /><br />- Roughly 60 per cent of Canadian homeowners have mortgages. Average remaining mortgage principal is $116,800.<br /><br />- Two-thirds of Canadians have fixed-rate mortgages, 22 per cent have variable rates, and 11 per cent have a combination of fixed and variable rates.<br /><br />- 56 per cent of people aged 55-plus hold a mortgage but seven in 10 say it is very important to pay it off by retirement.<br /><br />- 17 per cent of homeowners say their homes will be their primary source of retirement income.<br /><br />- Only 28 per cent of baby boomers are very confident they will be financially secure in old age compared to 41 per cent of those who are younger and 47 per cent of those who are older.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115371738162820139?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1153604039943184662006-07-22T15:26:00.000-06:002006-07-22T15:34:00.186-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.hasbro.com/common/images/products/01053d976ba_main200.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.hasbro.com/common/images/products/01053d976ba_main200.jpg" alt="" border="0" /></a>From the "Sherwood Park News" this article highlights what the Sherwood Park market is doing, as opposed to the Greater Edmonton area as a whole. The president of the Edmonton Real Estate board points out in the article that even though prices are soaring, they are still quite reasonable compared to the rest of the country. As I blog this, our client M. Elliot, who is a Calgary investor sitting next to me said "Edmonton is the runt of litter just starting to play catch up". I think she hit the nail on the head....<br /><br />by Dave S. Clark<br />Sherwood Park News — As Alberta’s economy continues to boom, Sherwood Park’s house prices are rising to heights never seen before.<br /><br />In June, the average price of a house in the Park was $350,000, according to the Edmonton Real Estate Board, which is a jump of almost $75,000 from last June’s average of $276,000.<br /><br />“I’ve never seen numbers like this before. It’s nuts,” said president of the board, Madeline Sarafinchan. “The biggest factor is the economy. There is a great deal of confidence in it.”<br /><br />Another reason for the high prices, is the basic idea of supply and demand. With very few houses on the market compared to years past, the demand is reaching new heights.<br />Sarafinchan says 74 per cent of the houses sold have had multiple offers put on them, which is staggering. The bidding wars often lead to sales several thousand dollars over the original asking price.<br /><br />In 2004, the average house price in Sherwood Park between January and June was just $232,000. In 2005, that number jumped over $30,000 to $255,000. This year that number is up $65,000 to an average of $320,000.<br /><br />Sarafinchan says people are attracted to Sherwood Park because of its large industrial tax base and its convenience to Edmonton.<br /><br />She says the market has become very strategic since prices started escalating rapidly. Before, if a seller wanted to move in August, the house would be listed in April. Now, they’ll wait until July so they can as much as they can for their property.<br /><br />It’s a great market for sellers, but it makes it very difficult for buyers, she said.<br />“What realtors have to do is flag in the computer what their client wants and as soon as something comes up, get there as soon as possible.”<br /><br />She says one of her clients has to completely put her life on hold every time a potential house comes up for grabs. She drops everything to go look at a house.<br />The market is even more troublesome for first-time buyers.<br /><br />“They now have to look for things like condos and mobile homes when before they could have looked at small houses,” she said.<br /><br />But despite the increasing housing costs, Sarafinchan says Edmonton is still playing catch-up with other Canadian cities. It is ranked 10th behind major centres like Calgary, Vancouver and Toronto.<br /><br />“Nationally, Edmonton still looks like a reasonable option,” she said.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115360403994318466?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1153268101951829952006-07-18T18:09:00.000-06:002006-07-18T18:15:02.400-06:00The latest release from CREA (Canadian real estate association), as per every release for the last few years it is better than expected and breaking records. And like every release for the past few months Calgary and Edmonton are pulling up the averages with surging markets. Enjoy...<br /><br />Ottawa – July 17, 2006 — Resale housing activity in Canada’s major markets in the first six months of 2006 surpassed all previous records for the first half of any year, according to statistics released by The Canadian Real Estate Association. Sales activity remains on track to set a new annual record in 2006 even though further expected price increases and recent mortgage rate hikes will cause transactions to soften marginally in the second half of the year.<br /><br />Actual (unadjusted) home sales via the Multiple Listing Service® (MLS®) in Canada’s major markets numbered 186,177 units in the first half of 2006 – up 3.6 per cent from the previous record for first-half activity set in 2005.<br /><br />Surging activity in Calgary and Edmonton remains the driving force behind the continuing strength of national residential sales activity. New records for resale housing activity for the first half of the year were set in a number of major markets including Calgary, Edmonton, Regina, Saskatoon, Winnipeg, London, Sudbury, Ottawa, Montreal and Quebec City.<br /><br />Seasonally adjusted MLS® home sales in the second quarter of 2006 numbered 84,391 units – down just slightly from the record levels posted over the past year. Actual (unadjusted) sales reached the second highest level on record for the second quarter period, and were less than 0.5 per cent below activity levels reached during the second quarter of last year.<br /><br />Seasonally adjusted home sales activity eased by less than one per cent from the previous month to 28,185 units in June 2006. Monthly sales activity ebbed in Toronto, Edmonton, Halifax, and a number of other markets, which more than more than offset monthly gains in Calgary, Ottawa, Vancouver, Winnipeg, Montreal, and London.<br /><br />Actual (unadjusted) MLS® residential new listings totaled 308,923 units in the first half of 2006 – a new record for the first six months of the year, and the highest level on record for any six month period. New listings were up by 4.6 per cent from the first half of last year. They were 2.3 per cent higher than the previous record set in the first half of 1990, which is the only other six-month period on record in which new listings topped 300,000 units.<br /><br />There are no signs that new listings have peaked, as seasonally adjusted quarterly and monthly new listings reached their highest levels in more than 15 years. Driven by increases in Victoria and Montreal, seasonally adjusted new listings in the second quarter reached the highest level since the fourth quarter of 1990. A rebound in Calgary helped to push major market new listings to the highest monthly level since May 1991.<br /><br />The major market MLS® residential average price at mid-year was up by 11.8 per cent compared to December of last year. It was also up by 12.2 per cent year-over-year in the second quarter, which tied with the second quarter of 2004 for the highest year-over-year price growth of any quarter in the past 15 years. The 6.8 per cent jump in price from the last quarter was also the highest quarterly increase since 1989. Average price in the second quarter of 2006 set new quarterly records in almost every major market in Canada.<br /><br />The major market MLS® residential average price reached $304,328 in June – up 11.8 per cent from the same month last year. Average price has posted double-digit year-over-year gains in every month during the first half of 2006, and reached the highest monthly level on record in June in Calgary, Edmonton, London, Montreal and Quebec City. Average price edged down slightly from the record levels reached in May 2006 in a number of other markets.<br /><br />"With interest rates having peaked, strong employment and rising after-tax incomes will no doubt keep resale housing activity strong over the second half of the year," said CREA Chief Economist Gregory Klump. "The housing market is tightest in Alberta, where a sizzling job market is stoking buyer demand and fueling remarkable price increases."<br /><br />"The rise in new listings in Montreal and Toronto gives buyers in those centres a wider selection of homes to choose from, and will keep price increases in those markets below those for major markets in British Columbia and Alberta," Klump noted.<br /><br />"As the market becomes more balanced in many urban centres, average price growth will continue to be skewed higher by a surge in demand for luxury homes," said Alan Tennant, FRI, President of The Canadian Real Estate Association. "Market trends differ between cities, and among areas and housing types within a city. For local market expertise and information, buyers and sellers should use the professional services provided by a REALTOR®."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115326810195182995?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1153065346522397312006-07-16T09:53:00.000-06:002006-07-16T09:55:47.080-06:00Some of the info in this article from the Edmonton Sun is old news, but it does put all the bits and pieces into perspective. The Bank of Canada did not raise the "overnight bank rate" this past week for the first time in a while. They think Canada's inflation rate has begun to slow. Alberta on the other hand is booming. New records are being set in the housing market every month, and oil is now more expensive than they had projected. Well... I don't want to ruin the whole article for you... here it is by Neil Waugh of the Edmonton Sun.<br /><br />After seven consecutive tugs on his torque wrench, Bank of Canada governor David Dodge left his big spanner in his tool belt last week.<br /><br />The overnight bank rate – which the consumer banks key on to set their mortgage and other loan rates – stayed put at 4.25%.<br /><br />“The outlook for economic growth and inflation in Canada is largely unchanged,” Dodge said in his monetary policy report update that was kicked out of Ottawa at the end of the week.<br /><br />Sure, the only thing that remains constant in the economic-forecasting game is change.<br /><br />Unpredicted strength in the Canadian dollar was compensated for by stronger than expected consumer spending.<br /><br />While consumers did their thing, “it should be more than offset by a weaker outlook for net exports, owing primarily to the recent strength in the Canadian dollar,” Dodge reckoned.<br /><br />Not great news if you are an Ontario plant worker. But here in Alberta, oil and gas exports are strictly a sellers’ market. So it’s no worries.<br /><br />Of course, all bets are off if the American economy tanks – which means exports will decline even more.<br /><br />But it’s Dodge’s primary job to hold the line on inflation by manipulating the economy with his bank rate.<br /><br />Except an economist can’t make predictions without building some best guesses into his model.<br /><br />“Prices for crude futures over the projection period are slightly higher than in April,” he admitted. Averaging over $74 US-per-barrel. Although natural gas prices are “somewhat lower.”<br /><br />Settle down<br /><br />While the consumer price index cranked up to 2.6% in April and May because of high energy prices, Dodge feels it will settle down to the 2% range for the rest of the year – which is just about where he wants it.<br /><br />This got CIBC World Markets economist Avery Shenfield to chirp, “Dodge has it right.” Then Shenfield made the bold prediction that the Bank of Canada will stand pat “for the balance of 2006 as the world unfolds roughly in line with the policy updates projections.”<br /><br />Over at the Bank of Montreal, senior economist Sal Gautieri called it an “adamant decision.” But he also warned that “resource pressure, especially in Alberta” could force the bank governor off the sidelines to slay the inflation dragon.<br /><br />Dodge himself confirms there’s another “upside risk” out there that could change his game plan radically. And that’s “momentum in household spending and housing prices,” which could have a negative effect on output and inflation. At least from a bank governor’s perspective.<br /><br />Real estate-related inflation could be alive and well in Edmonton. The Edmonton Real Estate Board and the upstart ComFree group posted their record-setting results for June over a week ago.<br /><br />Last week it was Canada Mortgage and Housing Corp’s turn to report the happy news.<br /><br />CMHC senior market analyst Richard Goatcher described the city’s new residential housing market as setting a “sizzling pace.”<br /><br />In fact the capital region “achieved its best June performance on record.”<br /><br />The 1,547 housing starts was up an amazing 31% from June 2005. For the first six months starts are up 14%. Single detached developers dug more than 800 basements for the third straight month. So far this year, 4,562 single family homes have been started, up 25% from 2005. And that was a record year.<br /><br />Strong fundamentals<br /><br />Goatcher talked about “strong economic fundamentals” – like low inventories of new and resale houses, employment growth and net migration.<br /><br />Add them all together and it puts single detached housing starts “well on their way to an new annual starts record,” Fearless Rick predicted.<br /><br />Of course, Dodge’s hold-the-line interest- rate policy will do nothing to buck that trend.<br /><br />The housing boost certainly caught Bank of Montreal analyst Lindsay Scott by surprise. She described the strong June starts nationally as “higher than expected.” But she predicted that Dodge’s previous rate hikes may already be having their effect.<br /><br />“Despite the latest increase in housing starts,” Scott said, “activity is expected to moderate in response to past increases in mortgage rates.”<br /><br />But if they don’t, Dave Dodge may have to reach for the wrench again.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115306534652239731?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1152564271144396692006-07-10T14:40:00.000-06:002006-07-10T14:44:31.536-06:00Even with new housing price records being set every month, consumer confidence is up in the province. The following is an excerpt from a report done by the Conference Board of Canada.<br /><br />Consumer sentiment continues to climb<br />Confidence reaches record levels in the Prairies<br />National consumer confidence – a significant indicator in projecting Canada’s housing market – continued to rise in the second quarter of 2006 despite rising prices and interest rates. <br /><br />National confidence posted the third consecutive quarterly increase and reached the fifth highest level on record in the second quarter. The latest national increase reflected another new record for confidence in the Prairie region, and quarterly gains in Ontario and Quebec. <br /><br />Confidence remains highest in the Prairie region where near-term expectations for job growth reached their highest level on record in the second quarter. Those expectations are being fueled by Alberta’s tight labor market and projections for strong economic growth in Alberta and Saskatchewan this year and next. <br /><br />The outlook for household budgets in the Prairie region also reached the highest level in almost a decade. Combined with an upbeat near term outlook for job growth, enthusiasm about making major purchases is expected to remain high in the coming months. <br /><br />The Conference Board of Canada measures consumer confidence on a monthly basis.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115256427114439669?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1152497479738258932006-07-09T19:53:00.000-06:002006-07-23T09:32:00.630-06:00As promised, here is the press release from the Edmonton real estate board. As expected, there are new records all over the place for price and volume of sales. These stats prove exactly what we've been experiencing in the market - it is sizzling hot - homes are selling incredibly quickly, and often for over list price.<br /><br />Edmonton Real Estate Board spokesman Jon Hall reckons that's because migration is strong. The 20,845 people who came to Alberta in the first four months of this year represent a 138% increase over the same period last year.<br /><br />We feel it's not just the increase in migration, but also a big increase in investment from outside of Edmonton. We're seeing a lot of investment from Calgary and Vancouver - which is also reported in the Edmonton Sun - as we are working with more and more buyers from these areas. These people have been dealing with this type of market for 2 or more years, and Edmonton is cheap to them! There is still a long way to go before we catch up to their prices, so hold on tight, it's going to be a wild ride.<br /><br /><span style="font-weight: bold;">Consumers struggle with hot housing market</span><br /><br />Edmonton, July 6, 2006: The current real estate market is unlike anything that consumers have ever seen in Edmonton. Consumers on both sides of the transaction struggle to understand the new language and market mechanics of escalating prices, multiple offers, unconditional sales and low housing inventory. REALTORS® work closely with clients to educate them about the market. Their objective viewpoint helps both buyers and sellers to minimize the frustration and desperation that results from lost sales or missed buying opportunities.<br /><br />Property sales through the Edmonton Real Estate Board Multiple Listing Service® (MLS®) in the first six months of the year have soared well above expectations. Total MLS® sales to date are 13,313 up 19% over the same period last year. Escalating prices have further contributed to record-breaking MLS® volumes.<br /><br />However, higher sales are drawing down the available inventory. At the end of June there were only 1,859 residential properties available for sale on the Edmonton MLS®. Last June there were 4,592 active listings.<br /><br />The average days-on-market was 19 days (similar to 20 in May and 19 in March). “The official days-on-market figure is extended by unattractive properties or those that are clearly overpriced,” said Madeline Sarafinchan, EREB President. “Liveable, well-priced homes often sell in just four or five days. Buyers have to respond quickly when a property becomes available. They must have their needs and wants clearly identified, have financing in place and be prepared to remove conditions as soon as the offer is accepted.”<br /><br />Consumer desperation is rising along with prices. Sellers want to ensure they get top dollar for their property without scaring buyers away. Buyers, on the other hand, are aware that they may have to offer more than the list price but don’t want to exceed competing offers by too much. Consumers need the advice of a REALTOR® to set both realistic and attainable asking and bid prices.<br /><br />The average* price for single family dwellings in June rose 5.8% from May. The average price for a single family dwelling was $298,631 in June.<br /><br />Average condominium prices went up 8.2% in a month to $186,738 in June. Duplexes and townhouses sold for $227,810 on average – an increase of just 1% from last month.<br /><br />The average residential price (includes all types of housing) has increased from $197,884 in December to $254,240 in June. This is a 28% increase in the first six months of the year. Real estate sales are typically most active in the second quarter and then slow down for the rest of the year. However, housing prices are expected to rise steadily for the rest of the year in the face of heavy demand and low interest rates.<br /><br />“Year-to-date MLS® sales topped $3 billion dollars in June,” said Sarafinchan. “That’s over two months earlier than last year. I am readjusting my forecast to say that total MLS® sales for the year will top $5 billion – up from $4.25 billion last year.”<br /><br />June 2006 activity Record * % change from 2005<br />Total MLS® sales this month 2,610* 6.6%<br />Value of total MLS® sales - month $682 million* 34.1%<br />Value of total MLS® sales - year $3.16 billion* 43.1%<br />Residential¹ sales this month 2,183* 2.3%<br />Residential average price $254,240* 27.5%<br />SFD² average selling price - month 298631 32.7%<br />SFD² median³ selling price $279,900* 33.6%<br />Condo average selling price $186,738* 29.4%<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115249747973825893?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1151600328734458222006-06-29T10:58:00.000-06:002006-07-25T20:43:24.236-06:00The following article was published in the Edmonton Journal yesterday. It is written by Ron Chalmers. He raises some good points, but misses the mark overall. My comments are in italics throughout the article....<br /><br />EDMONTON - In today's tight housing market, many Edmonton homes are attracting multiple offers, some exceeding the list price -- which may punish impulsive buyers.<br /><br /><i>Whenever there are multiple offers, you can be certain at least one of them is over list price, and most likely by a fair bit.</i><br /><br />During May, with more prospective buyers than sellers, homes sold in only 20 days on average, compared to 46 days in May 2005.<br /><br /><i>In May, for the first time in a very long time (if ever) there were more sales than new listings.</i><br /><br />This sellers' market, especially for attractive, mid-range homes, can resemble an auction -- with the list price as a mere suggestion.<br /><br />Most sellers list their homes close to the values that are signalled by recent sales of comparable properties, says Terry Paranych, owner of Re/Max Elite.<br /><br />But with fast-rising prices -- up 22.3 per cent in the past year -- such comparisons could be outdated. "You may have 10 or 15 realtors bringing offers," Paranych says.<br /><br /><i>We know of one listing that received 54 offers.</i><br /><br />"Probably seven or eight times out of 10, you receive multiple offers," says Madeline Sarafinchan, president of the Edmonton Real Estate Board.<br /><br />She advises sellers to not consider any offer within the first 24 hours of listing -- because other realtors may bring better offers.<br /><br /><i>This is bad advice in our opinion, especially if it is a really good offer. We recently had clients who had one weekend to find a home, as they were from out of town. We found the perfect home for them and while we were showing it, the listing agent said they would not look at offers until Wednesday. Our buyers ended up buying another home for well over list price because they couldn't wait until Wednesday. And guess what? The next weekend we were showing another client homes and that house was still on the market. We questioned the agent and they didn't receive ANY offers. The moral of the story is.... you should ALWAYS look at an offer, regardless of when it is received.</i><br /><br />One of her colleagues recently listed a home for $279,00, quickly received five offers, and sold it at $299,600.<br /><br /><i>All of our recent sales have sold for well over list price. Our marketing strategy for the current market is geared specifically to do just that. Check out our recent sales and the stories behind them at www.JustSoldEdmonton.com.</i><br /><br />Competitive bidding may reveal a home's fair market value but can be dangerous for an unprepared, undisciplined bidder. People who expect to buy a home at its list price, then learn that higher offers have been submitted, may feel pressured to offer more than they can afford.<br /><br />Paranych and Sarafinchan advise shoppers to arrange pre-approved mortgages and only to make offers within their borrowing limits.<br /><br /><i>Excellent advice.</i><br /><br />Shoppers also can arrange a home inspection, before making an offer, to ensure that it can be done quickly.<br /><br />An offer that is conditional only upon pre-arranged financing and inspection may beat out a higher offer that is subject to a longer delay.<br /><br />Buyers who submit top-dollar bids with no conditions could be taking big risks.<br /><br />"I have seen cases where a person buys unconditionally, and there is no statistical information to support the price," Paranych says.<br /><br />A lender then may not approve the needed mortgage amount.<br /><br /><i>Plus, if your offer is unconditional, the seller may refuse to allow a mortgage appraiser in, which can make for a sticky situation.</i><br /><br />The mortgage normally cannot exceed the appraised value, nor can payments exceed the borrower's ability to pay, says Jill Lindstrand at ATB Financial.<br /><br />Sarafinchan says she normally will not even show a home to shoppers who could barely afford the list price "because it may end up selling higher."<br /><br />Mike Dickinson, at Capital City Savings, says a pre-approved mortgage limit might be boosted if the buyer's financial circumstances have improved.<br /><br />But Ian Glassford, Capital City's chief financial officer, cautions that appraisers must by guided by actual recent prices -- even when a buyer believes that prices are rising. "The lender needs the comfort of knowing that it can get its money back."<br /><br />A shopper whose unconditional offer is accepted, then cannot find financing, could forfeit his or her deposit, says Jon Hall at the Edmonton Real Estate Board. Also, "the seller may launch a lawsuit for failure to perform," he says.<br /><br />For example, if someone offered to buy a home for $250,000 with a closing date three months in the future, and if the seller accepted that offer and removed the home from the market -- then could only sell it for $225,000 three months later, when the original deal collapsed, he might sue the would-be buyer for the $25,000 difference.<br /><br />Paranych tells buyers to arrange financing in advance, to understand their mortgage approval and monthly budget, then to buy within their limits.<br /><br />If the house you want gets bid up beyond your reach, "don't give up, stay focused with a good agent, and there's always another house that you'll like more," he says.<br /><br /><i>Attention Ron Chalmers: Please drop us a line before you do your next article, I think we could share a lot of very useful information with you and your readers.</i><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115160032873445822?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1151379218796169352006-06-26T21:07:00.000-06:002006-07-25T20:52:41.543-06:00The big news in Alberta today was the announcement of a record $8.7 billion dollar surplus. Now many of you have some extra change in your pockets for some projects, so the Alberta government finds itself awash in resource reveue. Now that King Ralph will be stepping down the question remains do the politicians go on a spending frenzy, do they maintain a tight grip on the cash doling it out on here and there or will a new balance be found. I do <a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer;" src="http://photos1.blogger.com/blogger/5256/1475/200/springscreenshot.0.jpg" alt="" border="0" /></a>believe it will maintain an economic vibrancy in the Edmonton region and will continue to tighten the supply of inventory in the Edmonton housing market. Investors continue to recognize this market is in its infancy and are streaming in to find a lack of good agents available to help them diseminate the market and its nuances. For more information on the surplus <a href="http://www.canada.com/edmontonjournal/news/story.html?id=27da32c4-971d-4ede-b30a-7e987f974ead&amp;k=99393">click here</a> If you are looking for help for your investment goals contact the professionals at <a href="mailto:sheldon@teamjohnston.com">Coldwell Banker Johnston</a>. or visit their award winning <a href="http://www.edmonton-homes.ca">website</a> for more information and resources.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115137921879616935?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1151167731735753712006-06-24T10:43:00.000-06:002006-06-24T10:49:05.883-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.lanshack.com/images/Standard_Images/Tools&Accesories/scissors-l.jpg"><img style="float:right; margin:0 0 10px 10px;cursor:pointer; cursor:hand;width: 320px;" src="http://www.lanshack.com/images/Standard_Images/Tools&Accesories/scissors-l.jpg" border="0" alt="" /></a><br />GST cuts spell good news for homebuyers and sellers<br /><br /><br />When the 2006 Federal Budget was unveiled by the Conservatives, it turned out to be a ‘good news’ budget for most Canadians -- and home buyers and sellers were certainly no exception. A reduction in the GST from the present 7% down to 6% will kick in on Canada Day – July 1st – offering an immediate cost benefit to anyone buying or selling a home as of that date. Note that the cost reduction applies when the transaction actually closes, so even contracts signed before that day could potentially benefit from the tax cut, depending on their closing. <br /><br />The tax cut will benefit homebuyers and sellers with savings on all professional services associated with a real estate transaction, where the GST would typically be charged. This includes fees paid to lawyers, appraisers and home inspectors as well as the real estate commission paid to your sales professional. Other relocation costs including movers, packing materials, storage or vehicle rentals will also be reduced thanks to the lower GST charge as of July 1, 2006. <br /><br />The cost of home ownership and home improvements will also benefit from the reduction in GST. Major expenditures for renovations and the purchase of furniture and major appliances will suddenly become just a little bit more affordable. And those homeownership savings will continue long after the real estate transaction is completed. <br /><br />Saving one percent on virtually every taxable expenditure will serve to increase the disposable incomes of both homeowners and prospective purchasers alike. And with a little more cash in hand, you can expect an increase in consumer confidence to follow. Those are both good indicators of a healthy real estate market. Even though rising home prices and interest rates are expected to cool the resale housing market in the future, recent predictions by the Canadian Real Estate Association (CREA) have been revised upwards to forecast another record-breaking real estate year in 2006. Housing demand is expected to remain very strong and will support further price increases in major markets across the country this year. <br /><br />For more information on how these new tax reductions can impact your transaction and for insights on the continuing strength of the real estate market, <a href="mailto:sheldon@teamjohnston.com">contact us</a> and get the right advice.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115116773173575371?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1150951941534296312006-06-21T22:39:00.000-06:002006-06-21T22:52:21.823-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.intlistings.com/luxuryhomesforsale_canada/060205pic8.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.intlistings.com/luxuryhomesforsale_canada/060205pic8.jpg" alt="" border="0" /></a>Here is an interesting report put out by Re/Max. What they've done decided what price point makes a home a luxury home in different markets across Canada. In Edmonton that point is $500,000, and in one year the number of homes that have sold over $500,000 has increased by 177 per cent. Here is what CBC had to say about the report...<br /><br /><span style="font-weight: bold;">More Albertans living in luxury: report</span><br />Last updated Jun 21 2006 02:21 PM MDT<br />CBC News<br />Luxury home sales are soaring in Alberta as a record number of affluent residents demand upscale properties, according to a survey by a real-estate organization.<br /><br />"Million-dollar home sales are climbing at a rate never before seen in major centres across the country," Michael Polzler, executive vice-president of Re/Max Ontario-Atlantic Canada, said in a release.<br /><br />"If the market continues at this pace, existing sales records for all types of real estate, including upscale properties, will be shattered by year end."<br /><br />The real-estate company established different thresholds in each city for what constituted a "luxury" home.<br /><br />In Edmonton, where the threshold is $500,000, 144 luxury homes have sold this year, a 177 per cent increase over this time last year. The most expensive sale was $1.6 million.<br /><br />In Calgary, 206 homes have sold for more than $1 million in 2006, up 124 per cent. The most expensive home sold in 2006 was $3.4 million.<br /><br />The Re/Max Upper End report said luxury home sales in 12 of 13 major markets in the first five months of this year were higher than last year's often much higher. Windsor was the lone market to see luxury home sales fall.<br /><br />Sales figures were taken from Multiple Listing Service reports in each city.<br /><br />Re/Max officials say the luxury boom is the result of a strong economy, solid consumer confidence, limited inventory at the top end of the market, and consumers cashing in on big equity gains to reinvest in more expensive properties.<br /><br />In addition, they say, more infill housing is being built in established areas close to downtown cores, "creating new upper-end enclaves."<br /><br />There are also more Canadian millionaires. A report by Merrill Lynch Cap Gemini published on Tuesday estimated the number of Canadian millionaires (at least $1 million US in assets, excluding their principal residence) has risen 7.2 per cent in the past year.<br /><br />Figures from the Canadian Real Estate Association said the average price of a resale home in Canada's major markets topped $300,000 in May for the first time ever.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115095194153429631?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1150761331259126452006-06-19T17:51:00.000-06:002006-07-25T20:34:02.313-06:00This was just posted on CBC.ca. In talking to our Calgary couterparts we've determined that Edmonton is just starting to experience what Calgary has been going through for the past year or two... this article proves it... exerpts below.<br /><br />Hot market drives Calgary investors to Edmonton<br />Calgary real estate investors are buying up houses, townhomes and condos in Edmonton — a market one real estate analyst is calling the top place in Canada to invest.<br /><br />Calgary residents are taking advantage of lower prices in Edmonton and travelling north to buy.<br /><br />Dan Heon, a Calgary mortgage broker who is in the process of buying Edmonton apartments, said the low rental-vacancy rate means it is easy to get tenants.<br /><br />"I think there is an $80,000 housing price difference, but yet the incomes are relatively the same. What that tells me is Edmonton has a lot more room to grow and so that's where I am taking my investment dollars."<br /><br />Sharon Trenaman took possession of three properties in Edmonton last week. The Calgary resident has been buying single-family homes and duplexes in the Alberta capital for about five years.<br /><br />Trenaman said that Edmonton real estate is moving more quickly than in the past, but she says it's worthwhile, with properties she bought in August in the $170,000 range now being worth between $225,000 to $235,000.<br /><br />The jobs they are creating up in the northeast region where they are thinking of building some new refineries that are $7 billion each — that will increase the demand for Edmonton.<br /><br />Thinking of investing in Edmonton? <br /><a href="http://www.edmonton-homes.ca/Search_MLS_Listings/page_1120712.html">Search all Edmonton</a> and area MLS listings days before they are available on MLS. ca.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115076133125912645?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1150323397429801232006-06-14T16:00:00.000-06:002006-06-14T16:17:32.146-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.madison.com/images/articles/tct/2005/04/11/14731_thumb.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.madison.com/images/articles/tct/2005/04/11/14731_thumb.jpg" alt="" border="0" /></a>Found this quote from an article in the Globe and Mail, it's by TD Bank economist Sébastien Lavoie:<br /><br />"Alberta is in a league of its own. They are a bit like the Tiger Woods of housing -- they are at the top of the leader board on every measure."<br /><br />Thought that was kind of cute. Anyway, there are more stats from CMHC and CREA below to support the above statement. These excerpts are taken from two articles in the Globe and Mail.<br /><p>Canada's housing market is increasingly becoming a tale of two solitudes -- Alberta and the rest of the country -- and two key numbers released yesterday provide further evidence of the trend. </p><p>Huge increases in Calgary and Edmonton helped push the national monthly rise in new home prices to the highest levels in 17 years in April. As well, housing starts for the country as a whole barely budged last month, but those in the Prairie region, which includes Alberta, where up 9 per cent. Most industry watchers say that number would have been much higher but for a shortage of land and labour in the province. </p><p>The incredible increase in new home prices in the province shows just how wide the gap is becoming. In the past twelve months, the cost of a new home in Calgary jumped close to 35 per cent, Statistics Canada reported yesterday. In Edmonton, the increase was 18.6 per cent. For the country, the annual rise was 8.2 per cent and only one city outside Alberta had a double-digit increase. That was Winnipeg at 10.7 per cent. </p> <p>The cost of a new home rose 4.7 per cent in Calgary in April alone, Statscan said, and it was up 3.9 per cent in Edmonton. It attributed the jump to high demand, along with higher material and labour costs and increased land values. </p> <p>For housing starts, May marked the fourth month in a row of gradually declining activity in the core single-family category, Canada Mortgage and Housing Corp. said. Starts of single family homes in urban centres were down 1.3 per cent, compared with April, on a seasonally-adjusted basis. Multiple starts slipped 0.1 per cent. </p> <p>While start levels are still above last year's numbers for the same period, the decline is in line with an expected moderating trend, CMHC economist Brent Weimer said. This is the "soft landing," many economists have predicted for the industry as pent-up demand wanes and rising prices and interest rates make home ownership less affordable. </p> <p>The market in Alberta is anything but soft. Indeed, some economists have begun to fret that strong activity and rising prices may be laying the groundwork for bubble conditions. </p> <p>Mr. Weimer does not believe the market is in danger of overheating, but he, too, said the province is bucking the national trend. "Definitely the story is different in Alberta," he said. "A lot of it is demand driven . . . You do not have a lot of units to choose from and a whole lot of potential buyers chasing those units."</p> <p>Under such conditions, he said, double-digit price increases are not a surprise.<br /></p><p> The average national price of an existing home in Canada surged above $300,000 for the first time ever in May, with actual sales activity smashing through all previous records as buyers rushed to buy a house while they can still afford to do so. </p> <p> The latest data shows that despite forecasts of a slowdown, Canada's sizzling housing market continues to fire on all cylinders, particularly in oil-rich Alberta. </p> <p> The price of a residential home in Canada surged 12.9 per cent from a year ago to $303,836 in May, topping $300,000 for the first time, according to sales tracked through MLS by the Canadian Real Estate Association. The 12.9 per cent rise is the biggest year-over-year increase in two years.</p><p> ”May marks the fourth consecutive month in which the major market average residential price broke all previous records,” CREA chief economist Gregory Klump said. </p> <p> Soaring house prices have resulted in a growing shortage of lower-priced homes in the resale market, he said, which is crimping sales of lower-priced homes and driving up the national average price.</p> <p> "With prices on the way up and a shortage of listings in lower price ranges, some buyers may feel that if they don't buy now, they may not be able to afford to later,” Mr. Klump said. </p> <p> Alberta's resale market led the gains, with home prices in Calgary soaring 43.6 per cent to $358,214. Home prices in Edmonton jumped 23 per cent to $242,936, in Vancouver they rose 23.7 per cent to $518,176, and in Toronto they rose 5.5 per cent to $365,537.<br /></p><p> New listings in May hit the highest level on record, but failed to match sales, leaving the market tighter.</p> <p> Mr. Klump attributed the continued strength in the housing market to a booming labour market, rising incomes and resilient consumer confidence. Those factors are boosting sales activity, despite rising interest rates and home prices. </p><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115032339742980123?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1150083435574844692006-06-11T21:33:00.000-06:002006-06-11T21:38:09.750-06:00This interesting article by Neil Waugh of the Edmonton Sun converts the average increase in housing prices in Edmonton to a daily increment. Apparently the average home owner is making $161 a day just sitting in their home! He then talks about the oil and gas industry and what is expected over the next few months, and how this relates to the Edmonton housing market. Very interesting and encouraging read...if you already live in Edmonton!<br /><br /><br />Congratulations. Since you woke up yesterday and poured your first cup of coffee this morning, you're $161 richer.<br /><br />I know it's not much. But compile it over 365 days and it works out to almost $58,000.<br /><br />Not bad, eh?<br /><br />And all you had to do - with the exception of mowing the lawn, taking out the trash and making the mortgage payments - was sit there and watch the money roll in.<br /><br />That's what happens when, as Edmonton Real Estate Board president Madeline Sarafinchan puts it, you're "riding the crest of a real estate wave."<br /><br />In May, the EREB house hustlers set records in all categories over where the market was performing at the same time last year.<br /><br />Home sales up 25%<br /><br />There were 3,002 total sales last month, up 25.7% from last year.<br /><br />For a value of $758 million - which is 58% more than a year ago.<br /><br />Sales for the year are $2.48 billion - a massive 45.8% increase.<br /><br />And 2,565 residential units changed hands, 22.3% more than in May 2005.<br /><br />But the line on Madeline's stats sheet that most folks go to is the average single-family dwelling selling price.<br /><br />And that's where your $161 daily windfall comes in.<br /><br />The three-bedroom bungalow with the mugo pine under the picture window and the weeping birch on the lawn (you can substitute a catoneaster hedge if you wish) changed hands for a remarkable $282,208 last month. The same time last year it was yours for just $223,219 according to the EREB computer. Five short years ago, the May selling price was just $174,916.<br /><br />Of course there is no "average" single-family dwelling. And there are many factors that can knock the "average selling price" out of whack.<br /><br />But even taking that into consideration, there's no doubt that the surf's up in the Edmonton real estate market.<br /><br />Of course, the great Edmonton housing boom is not something to be taken in isolation.<br /><br />There's a two-word reason for all this buying and selling. Oil and gas. Although I guess you could throw in oilsands, too.<br /><br />The real estate market is hot, hot, hot. And there's not even a storm cloud in sight in the Gulf of Mexico yet.<br /><br />Last week, the U.S. Department of Energy put out its short term energy price outlook. With a "special focus" on the hurricane season, which officially kicked off on June 1.<br /><br />During last summer's mother of all hurricane seasons, oil and gas production in the Gulf of Mexico was "significantly disrupted," 162 million barrels of crude production was lost, 784 billion cubic feet of natural gas production was suspended and "some of this production remains shut in today."<br /><br />With America's main oil and gas production area in turmoil and more production threatened in risky parts of the world, where "Yank" is a four-letter word, the premium of safe Alberta energy reserves suddenly grows a new focus.<br /><br />The storm chasers are once again predicting a "very active hurricane season this year," the DOE's Energy Information Administration report said.<br /><br />Although it did admit that "the location and intensity of future tropical storms are difficult to predict."<br /><br />Still, looming storm clouds "could add volatility to near-term prices." Especially in late summer.<br /><br />U.S. gasoline price hike<br /><br />So the benchmark West Texas Intermediate crude will average $68 US a barrel at least for the next two years. Retail gasoline in the U.S. will be 39 cents a gallon higher than last year.<br /><br />While world petroleum consumption will jump from 1.7 to 1.9 million barrels a day next year.<br /><br />"Most of this consumption growth will be met by increases in non-OPEC production," the document predicted.<br /><br />Which sounds like the Athabasca oilsands to me.<br /><br />Of course, all of this is only true "barring new, unanticipated supply disruptions."<br /><br />If the Gulf's energy complex gets hammered again, then all bets are off.<br /><br />And who knows, the $161 you made in the last 24 hours could grow larger.<br /><br />Easy money. Unless you are on the other side of the deal trying to buy an affordable house in a wild market like this.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-115008343557484469?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1149999261252590102006-06-10T22:05:00.000-06:002006-06-10T22:15:18.800-06:00<span style="font-size:100%;"><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://cdn.rsc03.net/ig.rsc03.net/responsysimages/hmt/LSO/072904_LSO_CustNONWebsites/FSBO.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://cdn.rsc03.net/ig.rsc03.net/responsysimages/hmt/LSO/072904_LSO_CustNONWebsites/FSBO.jpg" alt="" border="0" /></a></span><span class="021340920-10062006" style="font-size:100%;">We have recently helped a number of our clients purchase homes from sellers using Comfree to market their properties for sale. This has turned out to be a great deal for our clients as they have bought these properties well under market value. It seems many home owners think they will save money by selling their home themselves instead of using a real estate agent. </span> <p><span class="021340920-10062006" style="font-size:100%;">But that's not the point of this article... There will always be people who sell their home themselves, and our recent dealings with homes for sale by owner (FSBOs) have certainly not gone as smoothly as those where both sides are represented by agents. There have been numerous complications leading to late closings and unexpected expenses, that could have been avoided if the seller was better prepared. So, I have some suggestions for those FSBOs out there trying it on their own:</span></p> <p><span class="021340920-10062006" style="font-size:100%;">1. <span style="font-weight: bold;">Hire a very good real estate lawyer</span>. A couple of months ago one of our clients bought a home marketed on Comfree. They got it for a great price. Anyway, it is supposed to close in just over a week, and the discount lawyer that the seller hired has yet to forward all the necessary documents to our client's lawyer, and even lost a deposit cheque! This means it is going to close late, and it is going to cost the seller a lot of money. A reputable real estate lawyer would have made sure everything was taken care of well in advance to ensure a timely closing. </span></p> <p><span class="021340920-10062006" style="font-size:100%;">2. <span style="font-weight: bold;">Do not have a friend who almost has a real estate license, or used to have a license help you out</span>. We recently had a client offer significantly over list price to a FSBO but the "friend" helping out didn't even deliver the offer to the seller. How is that helping a friend out?<span class="264005603-11062006"> </span>Three weeks in real estate school does not make anyone an expert. I have years of experience in this industry and am still learning because it is always changing. You are trusting your biggest asset with someone who barely know<span class="264005603-11062006">s </span> anything more than you do about real estate. Plus, your friend will get in a boatload of trouble if they are reported - but they should already know that since they are <span style="font-style: italic;">almost </span>a real estate agent. <span class="264005603-11062006"> </span></span></p> <p><span class="021340920-10062006" style="font-size:100%;">3. <span style="font-weight: bold;">Get a current real property report</span> - not one that is 1 or 2 or god forbid 10 years old, a current one. The real estate purchase contract used by real estate agents in Alberta states that the seller must supply a current real property report. It takes time to get the report, and you've got problems if it doesn't comply. The buyer's mortgage company requires a current report in compliance, that shows the current state of the property. If it is more than six months old it is likely that the mortgage company will require a new one in order to provide funding to the buyer, especially since it's a FSBO deal (the mortgage companies are much more finicky when it comes to FSBOs). That funding is what is going to pay you for your property, so it is in your best interest to get a current report ASAP. </span></p> <p><span class="021340920-10062006" style="font-size:100%;">4. <span style="font-weight: bold;">Work with agents representing buyers</span>. Over 90% of buyers in Edmonton work with real estate agents. If an agent has called you and would like to show your home, that means their buyer is under contract with them, and the only way that buyer could buy your home is through their agent. Should that buyer decide to make an offer on your home, you will be presented with a Customer Disclosure Form which basically states that the agent is representing the buyer, not you - you are unrepresented. The good news for you is, at least the agent will know what is going on and help move the process along as smoothly as possible.</span></p> <p><span class="021340920-10062006" style="font-size:100%;">5. <span style="font-weight: bold;">Answer your phone and be available to show the property</span>. There are a ton of people relocating to Edmonton these days. Out of town buyers almost always have an agent and almost always look at properties during the week, during business hours. If you can't take appointments and show your home at these times you are missing out on the most motivated category of buyers out there, and motivated means they are willing to pay! </span></p> <p><span class="021340920-10062006" style="font-size:100%;">6. <span style="font-weight: bold;">Consider listing with an agent</span>. The last three homes we've helped clients buy that were listed on Comfree sold for $30,000-$50,000 below market value, including the fact that our fee was added into the purchase price. On a $200,000 property our company's listing fee is typically $5000, which means if those sellers had listed with us they would currently have $25,000-$45,000 more in their pockets, let alone the fact that we routinely sell our listings well above market value (see <a href="http://www.justsoldedmonton.com/">www.JustSoldEdmonton.com</a> for examples). </span></p><span class="021340920-10062006" style="font-size:100%;"> <p><span class="021340920-10062006">I am the first to admit not every real estate agent is created equal, and I have seen cases where home owners have hired real estate agents and in the end would have been better off selling on their own. So perhaps really what I'm trying to say is, listing with the <span style="font-style: italic;">right</span> agent <strong>will </strong>net you more money than selling on your own. Finding the <span style="font-style: italic;">right agent</span> is the key. Interview more than one agent and ask them to show you examples of recent sales and what they sold for compared to the market, ask to see examples of how they market their listings. Remember, just because one agent says they can sell your home for way more than another doesn't mean they can - ask for proof. And lastly, you set the asking price for your home, not the agent, and most importantly, you decide how much and what offer you will accept for your home.</span></p> <p><span class="021340920-10062006">Learn more about how we market our properties at <a href="http://sellformore.edmonton-homes.ca/">http://sellformore.edmonton-homes.ca</a>.</span></p></span><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114999926125259010?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com3tag:blogger.com,1999:blog-17592735.post-1149806523125378042006-06-08T16:40:00.000-06:002006-06-09T09:50:16.986-06:00Surprise surprise, Alberta is boosting the country average in new home sales prices too. This article is from today's Globe and Mail and talks about statistics released by stats Canada. On a national basis new home prices have gone up 8.2% in one year, in Calgary that number is 34.8% and Edmonton is 18.6%. Compared to resales, new homes have increased slightly less with resale prices up 23% in Edmonton since last May. Here are the complete details:<br /><br /><span style="FONT-WEIGHT: bold">New-house prices shoot higher</span><br />ROMA LUCIW<br /><br />Prices for new homes shot through the roof in April, recording their largest monthly rise in 17 years.<br /><br />Statistics Canada said the new housing price index rose by 1.2 per cent from May, the most significant national price increase since April, 1989.<br /><br />As has been the case for months, Alberta's two major cities drove the increase, as the oil-rich province continues to benefit from an influx of people and a flood of construction that have created tight housing market conditions.<br /><br />Contractors' selling prices have jumped 8.2 per cent from a year ago on a national basis, Statscan said. The 8.2 per cent year-over-year topped consensus expectations for a rise of 7.6 per cent, and was the strongest 12-month change since the January, 1990, increase of 9.5 per cent.<br /><br />”New house price gains are trending toward levels not seen since the real estate boom of the late 1980s,” said Ted Carmichael, an economist with J.P. Morgan Securities Canada Inc.<br /><br />New house prices are being boosted by continued gains in land values, building material prices and labour costs, he said. ”The rise in new house prices will gradually feed into the CPI for shelter, putting steady upward pressure on core services inflation.”<br /><br />The Statscan report showed that the new housing price gains were widespread, rising in 14 of the 21 metropolitan areas.<br /><br />Alberta led the charge, with prices in Calgary jumping 4.7 per cent on a month-over-month bases and Edmonton experiencing a rise of 3.9 per cent in May.<br /><br />On an annual basis, prices for new homes in Calgary surged 34.8 per cent - leading the way for the seventh straight month - followed by Edmonton, which saw a 18.6 per cent rise.<br /><br />”High demand for new housing, coupled with higher material and labour costs and increased land values, were cited as the main reasons for these increases,” Statscan said.<br /><br />Stewart Hall, a fixed-income strategist at HSBC Securities Canada Inc., said that growth in new home prices has been running at almost five times the rate of growth for core inflation.<br /><br />”Rising land prices, labour and material shortages are now constant fixtures in the report, and hint at the existence of bottlenecks in the sector,” he said. ”Despite lofty pricing metrics for housing relative to other domestic pricing measures, there appears to be little concern emanating out of the Bank of Canada that Canada faces an asset bubble in this particular sector.”<br /><br />Although the market continues to expect the housing sector to settle down over the course of this year, the pace of activity continues to defy expectations, Mr. Hall said.<br /><br /><a href="http://www.edmonton-homes.ca/Search_MLS_Listings/page_1120712.html">Search all Edmonton and area MLS listings</a>.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114980652312537804?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1149572000873177172006-06-05T23:23:00.000-06:002006-07-25T20:04:17.866-06:00Prices are up again. Here are the brief real estate market stats for the month of May in Edmonton. More details coming shortly when the complete stats are published by the real estate board...<br /><br />-3,002 - # of sales (previous record 2,448 in June last year)<br />-$242,936 - average price<br />-$282,208 - average price single family home<br />-23% - percent prices are up over May 2005<br />-$2.48 billion - record volume in real estate sales for the first five months, up 45.8%<br />-20 - average number of days on market (last year....46)<br />-1,857 - number of homes for sale at the end of May<br /><br />wow!<br /><br />Looking to buy? Time is of the essence in this market! Don't wait for new listings to appear on MLS.ca - <a href="http://www.edmonton-homes.ca/Daily_Market_Update/page_1120705.html">get them by e-mail</a> as soon as they're listed.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114957200087317717?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1149042654330467692006-05-30T20:23:00.000-06:002006-05-30T20:30:54.673-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.acicis.murdoch.edu.au/hi/img/duit.gif"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 128px; height: 124px;" src="http://www.acicis.murdoch.edu.au/hi/img/duit.gif" alt="" border="0" /></a>The Calgary real estate market is now so hot, that buyers are putting deposits on new homes, without knowing the final price. You heard me, putting down a deposit and signing a contract to buy a house, that isn't built yet, for an unknown price. Wow! Rumour has it this trend could move its way north to Edmonton soon too... here's the article from today's National Post:<br /><br /><span style="font-weight: bold;">Buyers putting deposits on lots without final price of houses</span><br />Desperation in Alberta<br />Garry Marr, Financial Post<br />Published: Tuesday, May 30, 2006<br /><br />Consumers in Alberta are now putting down deposits on housing lots without knowing what the final price for the finished home will be, in the latest example of the desperation for housing in the province.<br /><br />The bizarre situation in which consumers are contractually bound to pay a final price yet to be determined has been going on for the past few months, said Allan Klassen, president of the Alberta chapter of the Canadian Home Builders' Association.<br /><br />"That's how people are securing housing now," said Mr. Klassen, adding the situation is being driven by demand for housing as opposed to greed from builders. He added it's the only way builders can agree to sell a home because their costs are rising so quickly.<br /><br />The influx of out-of-province workers into Calgary, flush with cash from jobs connected to the energy sector, has created a surge in demand for homes. The Calgary real estate board said last month existing home prices were up more than 37% from a year ago.<br /><br />New-home prices are rising quickly in the province, up about 30% in Calgary in the past year. Canada Mortgage and Housing Corp. said this month Alberta is one of the few provinces in the country where new construction activity will rise this year from 2005.<br /><br />The flipside to all the demand has been rising expenses. Builders taking an order today at a set price could end up spending more money building a home than the price paid, Mr. Klassen said.<br /><br />"One of the reasons we capped sales is because we couldn't guarantee our costs," said Mr. Klassen, referring to the fact his company, Albi Homes, stopped selling houses it couldn't guarantee would be built in the next year.<br /><br />To combat price worries, builders are now willing to let consumers guarantee themselves a space in a development if they are willing to put a deposit on a lot. Mr. Klassen said that deposit can sometimes be about 20% of the value of the lot.<br /><br />For that deposit, consumers are usually signing a contract that binds them to buy the house once it is completed. The final price is dependent on what type of costs the builder incurs. The prices rise as costs rise.<br /><br />The deposit contracts vary from builder to builder but Mr. Klassen said most builders are willing to let consumers have their deposit back if they are unhappy with the final price because the current market conditions are strong.<br /><br />It's a dangerous game for consumers, according to Brian Hollohan, manager of market analysis for CMHC in Calgary. "It's not something I would do," he said. "But there are a lot of unusual transactions taking place and people are taking unusual measures to secure a home."<br /><br />Ron Odynski, a partner with law firm Ogilvie LLP, said it is possible to draw up a contract that binds a consumer to pay for a finished home based on fluctuating costs. He said you would have to take a close look at the terms of the contract, adding, "It's the type of contract you would want a lawyer to look at."<br /><br />Consumers looking for more price certainty in the existing-homes market are out of luck. Kevin Clark, president of the Calgary Real Estate Board, said the average price of a home in the city was rising as much as $500 per day.<br /><br />"The resale market is quite insane," said Mr. Clark, whose board is expected to release another set of stellar numbers on Friday that will almost certainly surpass the record high for home prices in the city set last month.<br /><br />The level of unsold inventory in Calgary is just 16 days, meaning at the present pace of sales all the homes on the market would be sold in 16 days. Normal unsold inventory levels are 120 days.<br /><br />Mr. Clark said it's no wonder people are willing to put deposits on new homes without knowing the final price. "If they don't there is another person right behind who will," he said.<br /><br /><a href="http://www.edmonton-homes.ca">Search all Edmonton MLS listings.</a><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114904265433046769?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1149033007224978642006-05-30T17:45:00.000-06:002006-05-30T17:50:08.096-06:00There is always someone who has to cry "the sky is falling" and today it is a senior investment bank economist. The article below has some excellent points, and in comparing the current boom to those of the late 70's and late 80's does find some rather scary comparisons. What is missing though are the other factors in the economy like the strong job market and low interest rates we are currently experiencing. Lucky for us Edmonton was over-looked (as usual) in this article so I guess everything here is just hunky-dory.<br /><br /><span style="font-weight: bold;">Western Canadian housing market overheating: BMO-NB economist</span><br /><br />Canadian Press<br />Published: Tuesday, May 30, 2006<br /><br />TORONTO (CP) - Just when the U.S. home-price boom is abating, Canada's housing market is accelerating to a potentially dangerous level, a senior investment bank economist warned Tuesday.<br /><br />"Bubble-like activity" is concentrated in the West, Douglas Porter of BMO Nesbitt Burns (TSX:BMO) wrote in a report, but "that doesn't make it any less real."<br /><br />He said the American real-estate surge is drawing to a close after sales peaked last summer, "but just as U.S. housing is finally cooling down, there are signs that the Canadian housing market is actually heating up, potentially dangerously so."<br /><br />Canadian price increases have surged ahead of U.S. trends, Porter writes, because Canadian interest rates are lower and because the boom took longer to get rolling in Canada, while Canadian employment growth has more than doubled the U.S. pace.<br /><br />"To those in Central Canada, it may seem passing strange to talk about a housing boom, since conditions in Ontario and Quebec are far from frothy," Porter noted.<br /><br />"But just because bubble-like activity is concentrated in only some regions - pretty much anything west of Lake Superior - doesn't make it any less real. The much-ballyhooed U.S. bubble was largely relegated to the coasts and sun-spots."<br /><br />Almost every major city in Western Canada has posted double-digit percentage increases in home prices so far this year, "led by a jaw-dropping 28.9 per cent spike in Calgary," Porter said.<br /><br />"Vancouver is not far behind at 21.7 per cent, and average prices there have pushed above the $500,000 barrier."<br /><br />Conditions have "become even more torrid in recent months," and residential construction's share of the total economy is approaching the level at the past two major cycle peaks, in the early 1970s and the late 1980s.<br /><br />"While the first episode was largely justified by underlying labour force trends, the latter was not, and it ended in tears," he concluded.<br /><br />"The longer the current boom lasts and the higher it climbs, the greater the risks of an ugly end to this housing cycle."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114903300722497864?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com5tag:blogger.com,1999:blog-17592735.post-1148961512189899652006-05-29T21:54:00.000-06:002006-05-29T21:58:32.286-06:00Well, when I read this article I wish she'd mentioned our blog in her list of links! Oh well... So everyone is hearing about the market being hot. This article by Kelly Keehn from the Edmonton Sun brings up some good points about the price of real estate and what the rest of the economy is doing...<br /><br />Unless you've been cryogenically frozen for the past decade, you know the Alberta real estate market is hot! The questions remain, how high can this market climb, and are there still profits to be had?<br /><br />Hot for how long?<br /><br />Without the absolute clarity of a crystal ball, the simple answer is, it's anyone's guess. However, even the most "cracked" fortune teller can follow some simple fundamentals in predicting future growth or an '80s bust.<br /><br />Les Michaelson of the Edmonton Revenue Property Investors Association points to a steady supply of jobs and a seemingly endless supply and demand for oil in Alberta.<br /><br />Both are paramount for sustainable growth in provincial real estate. He points out that others have seen the beginnings of a real-estate bubble-burst, in Nevada and Florida for example.<br /><br />Low inventory of homes for sale in Edmonton, particularly in April, fuelled a seller's market, said Michaelson, who believes the market is a little over-inflated. Buyers who hold on until the summer or fall might find a better deal.<br /><br />On new home construction, increasing costs for labour and supplies like lumber raise questions about how many developments will finish on schedule, he said. So resale on existing homes is a simpler purchase. More buyers move to that market, thereby driving up values.<br /><br />The Edmonton Real Estate Board reports that so far this year sales have risen 12.4% and prices are 18% ahead of the same time last year.<br /><br />"Prices are increasing steadily but housing is not overpriced," said Madeline Sarafinchan, board president. "Mortgage rates remain low and consumer confidence is high."<br /><br />Even in a seller's market, Don Campbell, author of Real Estate Investing in Canada, outlines some simple techniques you can employ to ensure that the ball falls in your financial court. Campbell suggests that you write a simple cover letter to the seller.<br /><br />If you're a family of four and love the treed yard and can see your grandchildren coming over for Sunday dinner in a decade, let the seller know that.<br /><br />It seems like an insignificant thing to do, but if the seller has kids of their own and suspects that the other buyers will tear down the home to build something different, you just might secure the sale, and even at a lesser bid.<br /><br />Any room for profit making?<br /><br />Randy Keehn, owner of the Renovation Store and a real estate flipper, is confident: "There are still deals to be had." Keehn cautions that you'd better have your chequebook ready to take advantage of these opportunities because asking for a condition for financing can lose you the deal.<br /><br />Resources for the real estate mogul<br /><br />Not sure whether you should sell your shack or cash in immediately? Check out these real estate resources that can support the "Trump" within:<br /><br />Edmonton Revenue Property Investors Association: www.realestatepays.com/erpianewsletters<br /><br />Edmonton Real Estate Board: www.ereb.com<br /><br />Motiva Group: www.motivagroup.com<br /><br />Edmonton Apartment Association: www.eaa.ab.ca<br /><br />Real Estate Investment Network: www.reincanada.com<br /><br />Red hot or not? As with any investment, careful evaluation of real estate and how it fits in to your financial plan requires some research and professional advice. And that magic eight ball couldn't hurt either.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114896151218989965?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com2tag:blogger.com,1999:blog-17592735.post-1148674449319415012006-05-26T14:08:00.000-06:002006-05-26T22:44:22.936-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.waynewatsonfan.com/WayneWatson/articles/m&h.GIF"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 246px; height: 189px;" src="http://www.waynewatsonfan.com/WayneWatson/articles/m&h.GIF" alt="" border="0" /></a>Business Edge published the following article yesterday, explaining just how well real estate is doing in the entire province, be it resale, new construction or commercial. They predict this will continue for at least another couple of years.<br /><br /><span style="font-weight: bold;">Real estate scene land of milk and honey</span><br />Experts predict markets still haven't peaked<br />By Laura Severs - Business Edge<br />Published: 05/25/2006 - Vol. 6, No. 11<br /><br />It's still a lot of boom but very little bust for Alberta's residential real estate sector.<br /><br />Despite markets that have been overheating for the past few years, industry professionals predict the peak has yet to be reached.<br /><br />"I've been in the business for 34 years and I've never seen a market like this," Doug Kelly, senior vice-president with Calgary-based Carma Developers LP, said at a recent real estate forum held in Edmonton.<br /><br />"Where are we in the residential cycle? We haven't reached the top yet and it probably won't happen for another couple of years."<br /><br />Land prices five years ago were $20,000 to $30,000 an acre, Kelly notes. "Now it's being bid up to over $100,000 an acre. I'd guess you'd say it's out of control. Where it's going to end, I'm not sure."<br /><br />Canada Mortgage and Housing Corp. (CMHC) senior market analyst Richard Goatcher said Edmonton's residential market is so strong that demand for single-detached homes is up 35 per cent for the first four months of this year, compared to last year when it set a record with more than 7,000 units. On the resale side, he noted, "the big story is that there is very little inventory and it's selling very fast."<br /><br />But it's not just housing that's hot in Edmonton. Retail is staging its own rally in Alberta's capital.<br /><br />There are 18 possible projects on the drawing table that could add 400 acres, or five million square feet, of leasable space - the majority of which are grocery-anchored, neighbourhood based strip malls.<br /><br />"We sit at No. 1 in terms of retail space per capita right now, at 29.7 feet per person, and if you add another five million square feet, that's another five square feet per person," said Brad Merchant, president of the Northern Alberta Shopping Centre Association.<br /><br />Edmonton reclaimed the top spot from Calgary and London, Ont., the latter being a market that grew with strong power- centre development.<br /><br />"It's population growth, it's high discretionary income, it's buoyant retail sales, are all attracting more retail interest," said Merchant, adding retailers are also interested in Calgary.<br /><br />Demand for space is coming from those already in the market and new entrants trying to capitalize on the growth they're seeing. While lack of skilled construction workers was a frequent theme throughout the one-day forum, there was also concern about retailers being able to find enough staff for their new stores.<br /><br />Randy Ferguson, senior vice-president of Westcorp. Inc., an Edmonton-based real estate management and development company, noted one way to address the labour shortage is to set your company apart by making it more attractive to employees.<br /><br />But while attention is already being paid to the labour shortage by all levels of government, forum participants warned that it will likely be the unexpected that will pull the rug out from under the real estate market.<br /><br />Larry Pollock, president and CEO of the Edmonton-based Canadian Western Bank, noted that the growing middle classes in China and India could exert tremendous pressure on consumption-based economies.<br /><br />On the other hand, he added, American consumers are just about tapped out and the growing U.S. deficit can only make things worse for that economy.<br /><br />Others at the forum talked of how a major terrorism-related event or a pandemic could change Alberta's still-bullish real estate outlook. But most agreed that the province's vast oil reserves would act as a buffer to any major derailment of the real estate sector.<br /><br />Meanwhile, CMHC officials said nationally, new housing construction is expected to cool off this year after a stronger-than-expected start.<br /><br />Higher mortgage interest rates and soaring prices are proving to be a drag on the industry, CMHC noted.<br /><br />Housing starts will likely reach 222,200 units this year, down from 225,481 units in 2005, but will continue above the 200,000 mark into 2007 for the sixth consecutive year, the agency said in its latest quarterly outlook.<br /><br />"Housing starts this year will be stronger than previously forecast, mainly due to persistent strong demand in Alberta and British Columbia, but will not match last year's pace," CMHC chief economist Bob Dugan said in a release.<br /><br />"Higher mortgage carrying costs, due to modest increases in mortgage rates, and rising house prices will temper housing demand this year and next."<br /><br />Residential construction will continue to ease in 2007 to 204,100 units, the CMHC said.<br /><br />Resale homes will register their second-best year at 478,400 units in 2006, down 0.9 per cent from 2005, according to data from the Multiple Listing Service.<br /><br />Growth in the average MLS price is expected to accelerate from 10.2 per cent in 2005 to 11.2 per cent in 2006, "due entirely to a pickup in Alberta and B.C. Growth in houses prices is expected to slow in the rest of the country," the agency said.<br /><br />"Over the medium term, housing starts will continue to slow gradually, reaching 184,400 units by 2010," Dugan noted. "The decrease in starts in the medium term will be more pronounced for single homes than for multiple-family dwellings, because multiple dwellings are less expensive than single homes. The aging population and increases in immigration will also contribute to the relative strength of multiple starts."<br /><br />www.edmonton-homes.ca<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114867444931941501?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1148527746102405452006-05-24T21:23:00.000-06:002006-05-24T21:29:06.420-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.abelrealty.com.au/_images/rates_sign.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.abelrealty.com.au/_images/rates_sign.jpg" alt="" border="0" /></a>If you are considering buying a home in the coming months, do yourself a favour and call a mortgage broker first thing in the morning tomorrow and reserve a rate. It won't cost you anything, in fact, it will save you thousands if you do decide to buy a home. They should give you a rate guarantee for 90-120 days, giving you time to get some real estate at today's price (well, at today's mortgage rate anyway....). The bank of Canada increased interest rates today and that means a mortgage rate hike should come tomorrow....<br /><br />Bank of Canada boosts interest rates<br />Last Updated Wed, 24 May 2006 19:50:33 EDT<br />CBC News<br /><br />The Bank of Canada raised a key interest rate once again by one-quarter of a percentage point to 4.25 per cent, but signalled that its recent string of rate hikes may be at an end.<br /><br /><a href="http://www.cbc.ca/news/background/economy/"> * INDEPTH: Interest Rates - the rising cost of money</a><br /><br />The increase to the overnight rate — what major banks charge each other for overnight loans — is the seventh increase since last fall, when the Bank of Canada started edging rates up gently to slow down a red-hot economy and keep inflation in check.<br /><br />In a commentary accompanying Wednesday's rate decision, the Bank of Canada dropped any suggestion that modest further rate hikes may be necessary to keep the economy rolling and inflation in check — a phrase that had been common in previous announcements.<br /><br />Instead, the bank said the overnight rate is now at a level that is expected to keep the Canadian economy healthy and to return inflation to the bank's two per cent target.<br /><br />The country's major banks responded by boosting their prime rate, which is what they charge top customers.<br /><br />In the wake of Wednesday's increase, consumers should expect to see higher interest rates for such things as lines of credit and variable rate mortgages.<br /><br />The latest increase in interest rates comes as Canada enjoys solid economic growth, low unemployment and relatively benign price inflation.<br /><br />The core inflation rate — which excludes eight volatile components identified by the Bank of Canada — surprisingly slipped to 1.6 per cent in April from 1.7 per cent in March. Many economists had expected the core rate to rise to 1.8 per cent.<br /><br />Canada's jobless rate increased slightly to 6.4 per cent in April as job growth slowed, Statistics Canada said earlier this month. The rate rose a tenth of a percentage point from March, but still remained near 30-year lows. Additionally, the economy grew by 3.3 per cent between February 2006 and the same month last year.<br /><br />Economists see rates hikes at an end<br /><br />"In our opinion, there is a good chance that we have seen the last tightening in the current cycle," said TD Bank deputy chief economist Craig Alexander.<br /><br />"There are clear signs that housing markets in the U.S. are cooling, which will erode the housing-wealth effects that have been a powerful catalyst to American consumer spending in recent years," he said.<br /><br />BMO Nesbitt Burns senior economist Michael Gregory said the Bank of Canada appears to have “officially” paused but still probably retains a bias to tighten.<br /><br />"The data, inevitably, will determine the length of pause and the post-pause policy direction," he said.<br /><br />The Canadian dollar closed up 0.14 of cent on Wednesday at 89.31 cents US.<br /><br /><a href="http://www.edmonton-homes.ca">Search all Edmonton and area MLS listings before they hit MLS.ca</a>.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114852774610240545?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com3tag:blogger.com,1999:blog-17592735.post-1148425578175843352006-05-23T17:03:00.000-06:002006-05-23T17:06:18.380-06:00As you know, housing costs are quickly increasing in Edmonton, due in part to the number of people moving to the area. This study from KPMG shows Edmonton as the least expensive place in Western Canada to run a business. This could mean more business will open up offices here, increasing the number of jobs and therefore the number of people relocating here and in a round about way could further increase the demand for housing...here is the article:<br /><br />Edmonton has the lowest business costs of any major city (500,000-plus population) in Western Canada … and western North America, according to an independent report released by KPMG.<br /><br />Edmonton is second only to Saskatoon, Saskatchewan in comparison with 31 cities of all sizes evaluated in western North America. And Edmonton is second only to Quebec City, Quebec in comparison with 20 global cities with populations between 500,000 and one million.<br /><br />Business costs are expressed as an index, with the United States being assigned the baseline index of 100. An index less than 100 indicates lower costs than the U.S. Edmonton’s business cost index is 93.3 … just 3.2 points from the top-ranked Canadian city (Sherbrooke, Quebec).<br /><br />All 17 business operations measured in Edmonton have low index ratings, ranging from clinical trials (85.9) to telecommunications (96.8). Eight of these business types in Edmonton —advanced software, telecom equipment, specialty chemicals, food processing, pharmaceuticals, medical devices, electronics assembly and shared services centres — are ranked among the top-10 globally for cost-effectiveness.<br /><br />The 2006 Competitive Alternatives study measured 27 cost components — including labour, taxes, real estate and utilities — as applied to business operations in nine countries: Canada, France, Germany, Italy, Japan, the Netherlands, Singapore, the United Kingdom and the United States. Business cost comparisons were provided for 95 cities in these countries based on start-up and operational costs for 17 types of businesses over a 10-year planning horizon.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114842557817584335?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1147901209474276162006-05-17T15:19:00.000-06:002006-05-17T15:26:49.950-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.legis.state.pa.us/WU01/VC/visitor_info/quiz2/pics/milk.gif"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.legis.state.pa.us/WU01/VC/visitor_info/quiz2/pics/milk.gif" alt="" border="0" /></a>This report was just released by Century 21, and dicusses the increase in housing prices in a number of Canadian markets in the past five years. What is really interesting about the survey, is they compare the increase in housing prices, to other things like the cost of milk, or gas. It definitely puts things in perspective.<br /><br />VANCOUVER, May 17 /CNW/ - Increases in Canadian house prices over the past five years - dramatic in Alberta and British Columbia and strong in the rest of the country - are the result of a robust economy that has also seen a dramatic rise in key Canadian economic indicators and popular lifestyle and<br />consumer items, according to an analysis by CENTURY 21 Canada released today.<br /><br />Price increases over five years for typical homes across the country in a selection of markets surveyed by CENTURY 21 range from as high as 129 per cent in Vernon, in British Columbia's Okanagan Valley, to as low as 12 per cent in Thunder Bay, Ontario.<br /><br />Other hot housing markets surveyed include Calgary north-east, up 121 per cent; Fort McMurray, up 105 per cent; Kelowna, up 89 per cent; North Vancouver, up 87 per cent; Quebec City, up 67 per cent; the Winnipeg suburb of St. Vital South, up 64 per cent; Peterborough, up 54 per cent; and Dartmouth, up 46 per cent.<br /><br />Don Lawby, President of CENTURY 21 Canada, says Canada's housing prices are the result of strong economic performance in every region of the country. "The economy continues to provide the job stability and consumer confidence combined with moderate mortgage interest rates to bring continued, stable house price growth on the Prairies, in Central Canada and in Atlantic Canada," said Lawby. "In British Columbia and Alberta, the same economic factors plus booming energy and construction sectors have produced dramatic house price increases."<br /><br />"Our five-year National House Price Survey includes non-housing benchmarks because we want to put the housing market into perspective with other economic indicators and some popular consumer items that Canadians will be choosing this summer," said Lawby.<br /><br />Indeed, house prices haven't risen in isolation. During the period from 2001 to 2006, other key consumer and economic benchmarks have also turned in impressive performances(1):<br /> - The price of a litre of regular gasoline increased in Edmonton to $1.02 from 68.8 cents, up 48 per cent, and in St. John's, to $1.16 from 88.4 cents, up 31 per cent.<br /> - A litre of homogenized milk increased to $1.86 from $1.55, up 20 per cent.<br /> - The manufacturers' suggested retail price for a base model (DX sedan) of the best-selling car in Canada, the Honda Civic, increased to $19,405 from $17,650, up 10 per cent.<br /> - Average undergraduate university tuitions increased 22 percent overall and ranged from an increase in British Columbia to $4,874 from $2,592 per year, up 88 per cent, to a decline in Newfoundland and Labrador to $2,606 from $3,373, down 29 per cent.<br /> - The most affordable ticket at the 89th Grey Cup Game in 2001 in Montreal when the Calgary Stampeders defeated the Winnipeg Blue Bombers 27-19 was $58, compared with the posted price of $75 for the most affordable ticket at the 2006 Grey Cup to be played in Winnipeg<br /> November 19th, up 29 per cent.<br /> - The fee to hike the world-famous West Coast Trail on Vancouver Island has increased to $110 per person in 2006 from $70 per person in 2001, up 57 per cent.<br /> - A grounds pass to the final day of the 2001 Canadian Open Golf Championship at the Royal Montreal Golf Club was $65, compared with $70 for the final day of the 2006 event to be played at the Hamilton Golf & Country Club September 4-10, an increase of 8 per cent.<br /> - The TSX Composite Index increased to 11,933 from 8,146, up 46 per cent.<br /> - The Canadian dollar versus the American dollar increased to 90.2 cents from 64.5 cents, up 41 per cent.<br /> - The Consumer Price Index (CPI) increased to 129.3 from 116.4, up 11 per cent.<br /><br /> At the same time, a few items actually declined:<br /> - The price of an Olympus C-3000 digital camera with 3.34 mega pixels declined to $400 in 2006 from $400 in 2001, down 125 per cent.<br /> - The Canadian unemployment rate declined to 6.7 per cent from 7.0 per cent, down .3 per cent.<br /> - Mortgage rates have also posted a moderate decline over the past five years. The posted interest rate for a conventional five-year mortgage was 7.75 per cent in May 2001, 5.7 per cent in June 2005 and 6.75 per cent May 15, 2006, contributing to the activity in the<br /> housing market and the resulting price increases.<br /><br /> The CENTURY 21 Canada National House Price Survey reflects the price of a typical home in communities across Canada. A "typical home" is the type of home that occurs most frequently in any given neighbourhood or community.<br /><br />These homes are not identical, but meet a fairly narrow range of criteria including size and design. The survey included 38 markets across the country.<br /><br />Hottest housing markets surveyed in British Columbia are Vernon, where the price of a typical home described as a 1,200-square-foot bungalow with three bedrooms and two bathrooms on a 55x100-foot lot increased to $355,000 in the spring of 2006 from $155,000 in the spring of 2001, an increase of 129 per cent; Kelowna, where the price of a typical home, described as a <br />2,006-square-foot split level with four bedrooms and three bathrooms on a 65x120-foot lot increased to $350,000 from $185,000, an increase of 89 per cent; and North Vancouver, where the price of a typical home, described as a 1,800-square-foot bungalow with three bedrooms and two bathrooms on a 50x150-foot lot has increased to $650,000 from $348,000, an increase of 87 per cent.<br /><br />Hottest housing markets surveyed in Alberta are Calgary north-east, where the price of a typical home described as a 1,090-square-foot bungalow with three bedrooms and two bathrooms on a 50x110-foot lot increased to $363,000 in the spring of 2006 from $164,000 in the spring of 2001, an increase of 121 per cent; and Fort McMurray, where the price of a typical home described as a 1,200-square-foot bungalow with three bedrooms and 11/2 bathrooms on a 65x100- foot lot increased to $410,000 from $200,000, an increase of<br />105 per cent.<br /><br />Hottest housing market surveyed on the Prairies is the Winnipeg suburb of St. Vital South, where the price of a typical home described as a 1,500-square-foot two-storey home with three bedrooms and 21/2 bathrooms on a 50x110-foot lot increased to $200,000 in the spring of 2006 from $122,000 in the spring of 2001, an increase of 64 per cent.<br /><br />Hottest housing markets surveyed in Ontario are Peterborough, where the price of a typical home described as a 1,050-square-foot bungalow with three bedrooms and 11/2 bathrooms on a 50x150-foot lot increased to $202,000 in the spring of 2006 from $131,000 in the spring of 2001, an increase of 54 per cent; and Kitchener-Waterloo, where the price of a typical home described as a 1,200-square-foot two-storey home with three bedrooms and two bathrooms on a 45x120-foot lot increased to $245,500 from $163,000, an increase of 51 per cent.<br /><br />Hottest housing market surveyed in Quebec is Quebec City, where the price of a typical home described as a 1,000- square-foot bungalow with three bedrooms and one bathroom on a 50x100-foot lot increased to $150,000 in the spring of 2006 from $90,000 in the spring of 2001, an increase of 67 per cent.<br /><br />In Atlantic Canada, the hottest housing market surveyed is Dartmouth, Nova Scotia, where the price of a typical home described as a 1,500-square-foot bungalow with four bedrooms and two bathrooms on a 55x110-foot lot increased to $155,000 in the spring of 2006 from $106,000 in<br />the spring of 2001, an increase of 46 per cent.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114790120947427616?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1147812866652053072006-05-16T14:51:00.000-06:002006-05-17T12:33:35.226-06:00No sooner do I post that CREA released stats about the resale housing market with nothing specific about Edmonton and Calgary, do I find this article. Although sales are down nationally this April compared to last, Edmonton and Calgary are WAAAAAAAY up... Add to that the two cities lead the country in a drop in new listings. More sales, fewer listings = higher prices (a little elementary economics for you). From the Calgary Sun:<br /><br />Calgary and Edmonton have achieved record resale housing activity so far in 2006.<br /><br />By IAN WILSON, BUSINESS EDITOR<br /><br />Calgary and Edmonton have achieved record resale housing activity so far in 2006, pushing national home sales to new heights, according to the Canadian Real Estate Association.<br /><br />Across Canada, transactions for the year-to-date in April were 5.1% ahead of the number of sales posted during the first four months of 2005, putting the residential resale sector on track for a sixth consecutive annual record in 2006.<br /><br />In Calgary, there were 12,354 sales from January to April, marking a 23% increase from a year ago.<br /><br />Edmonton, meanwhile, recorded 6,822 sales in that time, up 21% from the first four months of 2005.<br /><br />The two cities had the greatest increase in activity of any other Canadian market.<br /><br />And as residential sales shoot through the roof, Edmonton and Calgary also lead the country when it comes to a drop in new listings.<br /><br />Calgary experienced an 11% decline in new listings in the first four months of the year, compared to 2005, and Edmonton saw a 15.5% plunge.<br /><br />“The market remains tight and this is reflected in rising prices,” said CREA chief economist Gregory Klump.<br /><br />“There aren’t enough new listings coming onto the market to meet consumer demand in many urban areas, so prices will continue to rise over the rest of the year and next.”<br /><br />Average residential resale prices in Calgary hit $341,838 in April, a shocking 37% increase from the same month last year.<br /><br />And the average home resale price in Edmonton climbed 18% to $226,846 from April 2005 to last month.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114781286665205307?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com6tag:blogger.com,1999:blog-17592735.post-1147811657028388962006-05-16T14:29:00.000-06:002006-05-16T14:34:17.586-06:00CREA (Canadian Real Estate Association) just realeased the following press release. Existing home sales fell in April in Canada. There is no information specific to Alberta in the press release, although previous releases from the Edmonton Real Estate Board showed increases in both volume and price. As interest rates and prices continue to rise there is bound to be a slowing in the number of sales. This could be a welcome breather for the buyers in Edmonton who've been facing multiple offers and sale prices over list price everywhere they turn. From where we're sitting, we don't see any slowing in the Edmonton market, yet.<br /><br />Canada's April Existing-Home Sales Fall 3.2%; Prices Rise<br /><br />May 16 (Bloomberg) -- Canadian existing-home sales fell 3.2 percent last month, led by Toronto and Vancouver, as prices and borrowing costs rose.<br /><br />Sales in 25 major markets fell to a seasonally adjusted 27,746 homes in April, the Ottawa-based Canadian Real Estate Association said in a statement today. Sales fell 5.4 percent to 8,631 units in Toronto, the country's largest city, and 18 percent to 3,434 homes in Vancouver, the third-largest.<br /><br />The average resale price rose 12 percent in April from a year earlier to a record C$297,609 ($268,000), the association said. Prices advanced 10 percent or more each month this year. Borrowing costs also are increasing, with the rate on a five- year conventional mortgage rising to an average 6.6 percent in April from 6.3 percent at the end of 2005.<br /><br />``Resale housing demand is still very strong and the market remains tight, and this is reflected in rising prices,'' Gregory Klump, the real estate association's chief economist, said in the statement.<br /><br />Year-to-date sales increased 6.5 percent to an unprecedented 114,321 and sales for all of 2006 will probably reach a sixth straight record, the association said.<br /><br />Existing home sales, new home construction and new home prices all reached record highs in the first quarter, spurred in part by a 31-year-low jobless rate.<br /><br />Fewer people put their homes on the market in April, with new listings falling 0.9 percent to 45,654 units.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114781165702838896?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1147386463680033842006-05-11T16:24:00.000-06:002006-05-11T16:27:43.760-06:00Average residential resale prices in Alberta will surpass Ontario next year, according to the Canada Mortgage and Housing Corporation. Here are the details from the Edmonton Sun:<br /><br />The CMHC's housing market outlook, released today, calls for average prices in the province to rise 23.7% this year to $270,000, before climbing another 8.1% to $292,000 in 2007.<br /><br />That compares with the average resale price in Ontario reaching $279,000 this year, followed by a 2.9% jump next year to $287,000.<br /><br />In Edmonton, home prices have been on a tear for years, riding the oil-fuelled blitz.<br /><br />The average price for a residence (house, condo or duplex) in Edmonton hit a new all-time high of $226,846 in April (up 3% from the previous month).<br /><br />The average resale price of an Edmonton house in April was $265,557, according to the Edmonton Real Estate Board. That's up from about $256,000 in March, and up from about $218,000 in April last year.<br /><br />Edmonton prices are already 18% ahead of last year, the board said.<br /><br />April condo prices were up 3.6% to $162,565, while average prices on duplexes and rowhouses were $221,941,up from $193,000 last month.<br /><br />More than 40% of single family homes on the Multiple-Listing Service sold at more than the list price during April.<br /><br />A home sold in April was listed for an average of 23 days. A year ago, the average was 46 days.<br /><br />Calgary, meanwhile, is experiencing "the highest rate of resale price growth on record," said Richard Corriveau, a regional CHMC economist, in his spring forecast for the city.<br /><br />The average price for all residential units in Calgary hit $308,576 during the first quarter of this year, marking a 26% increase from a year ago. By 2007, that average price is expected to hit $341,000.<br /><br />Corriveau said higher levels of migration to Alberta and low mortgage rates are fuelling demand as "the prospect of higher prices and mortgage rates in the future has created a sense of urgency for first-time buyers, prompting many of them to make a purchase."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114738646368003384?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1147386204624623022006-05-11T16:18:00.000-06:002006-05-11T16:23:24.930-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.rentexhomes.com/edmonton_apartment.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.rentexhomes.com/edmonton_apartment.jpg" alt="" border="0" /></a>This report by Remax shows demand for condos is increasing faster in Edmonton and Calgary than anywhere else in Canada while prices are considerably lower than Toronto or Vancouver...<br /><br />Condominium sales post double-digit gains in Q1 2006 in most major Canadian centres, says RE/MAX<br /><br /> "For some first-time buyers, condominiums represent the only means of<br /> homeownership."<br /><br /> MISSISSAUGA, ON, May 11 /CNW/ - Unprecedented demand for condominium<br />apartments and town homes has sparked double-digit gains in unit sales in most<br />major Canadian centres during the first quarter of 2006, according to a report<br />released today by RE/MAX.<br /><br />The RE/MAX Condominium Report found that both sales and prices were<br />climbing in the eight markets examined, including Halifax, Ottawa, Toronto,<br />Calgary, Edmonton, Kelowna, Victoria, and Vancouver. The highest percentage<br />increases were found in Alberta, with sales in both Calgary and Edmonton ahead<br />of 2005 first quarter figures by approximately 40 per cent. The number of<br />condominiums sold in Victoria, Kelowna, and Toronto were up in excess of <br />10 per cent, while more moderate gains of five, four and three per cent were<br />reported in Vancouver, Ottawa, and Halifax respectively.<br /><br />"Rapid price appreciation has had a definite impact on condominium sales<br />across the country," says Michael Polzler, Executive Vice President and<br />Regional Director, RE/MAX Ontario-Atlantic Canada. "As the cost of more<br />conventional housing rises, condominiums represent the only means of home<br />ownership for some first-time buyers."<br /><br />Western markets, in particular, are reporting strong upward pressure on<br />overall residential average price (includes all single-family dwellings,<br />including condominiums). To illustrate, housing values in Calgary rose a<br />substantial 26 per cent to just over $308,000 year-to-date while average price<br />in Vancouver jumped 22 per cent over the 2005 level to more than $482,000.<br /><br />Although Toronto experienced a more modest increase of approximately six per<br />cent over Q1 2005, hot pocket areas are seeing even greater appreciation.<br /><br />"Affordability has become a serious issue across the country," says Elton<br />Ash, Regional Executive Vice President, RE/MAX of Western Canada. "Despite<br />relatively low interest rates and the availability of longer amortization<br />periods, many first-time buyers are finding they have to stretch their budgets<br />to realize the dream of home ownership. Condominiums are the easy answer for<br />most because they offer the best of both worlds -- affordability and<br />location."<br /><br />Entry-level purchasers and move-up buyers, typically aging baby boomers,<br />are most active in the condominium market. The most popular price point is<br />$150,000 - $250,000, although in markets like Vancouver and Toronto, the<br />strongest segments are closer to $300,000 - $400,000. Luxury sales are brisk<br />from coast to coast, with almost all markets surveyed reporting an upswing in<br />sales over $500,000. In Toronto, sales of condominiums priced in excess of<br />$500,000 have risen 68 per cent to 170 units year-to-date, compared to <br />101 units during the same period in 2005.<br /><br />"For many years, young professionals under the age of 40 dominated<br />Toronto's condominium market," says Polzler. "The pendulum is now starting to<br />shift, with baby boomers between 50 to 60 years of age emerging as a force in<br />the marketplace. The condominium lifestyle is the major attraction for most<br />mature buyers."<br /><br />In Vancouver, more and more upscale developments are coming on-stream,<br />especially in the Coal Harbour and the Beach Crescent neighbourhoods.<br /><br />"With Canada's economic engine firing on all cylinders, and no dark<br />clouds on the horizon, it's relatively safe to say that 2006 will be a banner<br />year for condominium sales across the board," says Ash. "This is particularly<br />true in the West, where condominiums are becoming an increasingly attractive<br />alternative to single-detached housing."<br /><br /> Highlights:<br /><br /> - Inventory levels were an issue in many markets examined, resulting in<br /> upward pressure on condominium values.<br /> - Multiple offers were commonplace in three markets during the first<br /> quarter of 2006 - Vancouver, Calgary, and Toronto.<br /> - Condominiums accounted for close to 50 per cent of total residential<br /> sales in the Greater Area Vancouver between January - March 31, 2006.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114738620462462302?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com16tag:blogger.com,1999:blog-17592735.post-1147198306773084522006-05-09T12:10:00.000-06:002006-05-09T12:11:47.413-06:00Here is an interesting article from the Edmonton Journal... Seems it took a Calgary investor to spark a recent increase in lease rates downtown...have a read:<br /><div class="header"> <h2>Calgary investor bullish on Edmonton</h2> <h4>Scott Hutcheson sees bright downtown future</h4> </div> <div class="feed_details"> <h4>Ron Chalmers, The Edmonton Journal</h4> Published: Tuesday, May 09, 2006 </div> <p>EDMONTON - Calgary investor Scott Hutcheson saw Edmonton office space as seriously underpriced so he bought three buildings -- and led the trend to higher rents.</p><p>"We decided that Edmonton was a great opportunity, and we came in and purchased a big piece of the downtown," says Hutcheson, president of Aspen Properties Ltd., which he co-founded with three partners in 1998.</p><p>The company bought 16 buildings in downtown Calgary, including the Calgary Tower -- then turned to Edmonton. Aspen bought the ING Building in 2003, a half interest in Scotia Place in 2004 and the Allstream Tower in 2005.</p><p>In the three years since Aspen arrived, Edmonton's downtown office vacancy rate has dropped from almost 12 per cent to under six per cent.</p><p>"Aspen's timing was impeccable," says Alan Menon, a commercial realtor with CB Richard Ellis.</p><p>As leases were renewed, Aspen raised rents -- and inspired other owners.</p><p>"They have been very bullish," Menon says. "They started pushing and all the others jumped on board."</p><p>Some Calgary offices rent for $40 per square foot per year, so Hutcheson could see that Edmonton was underpriced.</p><p>"When we started to purchase, with $7 base rents, it was clear that there would be a shortage within five years," he says.</p><p>Vacancies fell steadily until, suddenly, our downtown was almost full.</p><p>"In the last two months, we have seen four or five leases done in excess of $20," says commercial realtor George Dawson of Colliers International.</p><p>"Previously, that was unheard of. Six months ago, the benchmark would have been probably less than $14."</p><p>Today's rents still are below the $25 to $30 that developers say they would need to start new construction.</p><p>Aspen's aggressiveness has helped create "a new mindset" among owners, Menon says. "It used to be that one would undercut the other, but now it is almost a race to raise rates."</p><p>Hutcheson, a member of the Canadian Alpine Ski Team from 1978 to 1982, agrees that his attitude is contagious. "We were optimists, and when we started to talk about what we saw, a light went on with many others."</p><p>Local landlords and tenants had suffered "20 years of lethargy," he says</p><p>"We came in with a very different outlook. We started to talk about what we saw, and said, 'Wake up, guys.' "</p><p>But in real estate -- as in ski racing -- cheerleading alone does not define reality.</p><p>"All we did was vocalize what a great place Edmonton was and would be," Hutcheson insists. "I'm not sure that our presence changed the market dynamics. We did not change supply or demand."</p><p>Our economy is spurred by support services to northern oil sands, exploration, diamond mines and pipelines -- but Hutcheson also sees another angle.</p><p>"Within the next decade, Calgary will burst at the seams and costs will go up," he predicts. "Edmonton will become a great alternative for a lot of business and back offices."</p><p>Demand for downtown space will soon exceed our small supply.</p><p>Compared to Calgary's 30 million square feet of office space, "Edmonton is quite a small downtown market, with only about 13 million square feet, including government," Hutcheson says.</p><p>But Edmonton's economy has been growing strongly for five years -- so why have rents escalated only with the recent arrival of a Calgary company?</p><p>"Sometimes it may take somebody who is not local to say, 'Look what is happening here,' " Hutcheson says.</p><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114719830677308452?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1147139168540430172006-05-08T19:40:00.000-06:002006-05-08T19:46:09.080-06:00Seems CREA has revised their forecast for home sales in Canada for '06. Everything is well ahead of what was originally forecast and new records are being set all over the place. Here is their release:<br /><br />MLS® home sales on track to set new records in 2006<br />OTTAWA – May 4, 2006 – Canada’s resale housing market will set new records in 2006, according to a revised forecast prepared by The Canadian Real Estate Association (CREA).<br />After setting the fifth consecutive annual record in 2005 at 483,250 units, CREA expects national resale housing activity to inch even higher by 1.0 per cent to 488,160 units in 2006. Activity is then projected to ease by 3.3 per cent in 2007.<br /><br />Rising interest rates have so far done little to cool resale housing transactions this year. In the first quarter of 2006, sales activity reached its highest level for any quarter on record in Alberta, Prince Edward Island and Newfoundland, and remained exceptionally strong in all other provinces. Alberta is expected to post the biggest annual increase in transactions this year, which reflects its upbeat economic, employment and population growth prospects arising from investment in the energy sector.<br /><br />After climbing 10.2 per cent in 2005, CREA projects that the national MLS® residential average price will increase by a further 6.1 per cent in 2006 and 4.7 per cent in 2007. Annual increases in average price are expected to remain above 10 per cent in British Columbia and Alberta, where resale housing markets should remain tight.<br /><br />“Further increases in home prices and interest rates may cause resale housing activity to ease next year, but housing demand will remain very strong and support further price increases,” said CREA’s Chief Economist Gregory Klump.<br /><br />“Rising household incomes will help to support housing affordability,” says Klump. “The tax cuts outlined in the 2006 Federal Budget will ease the overall tax burden for individuals, put money back in the pockets of Canadians, and increase consumer confidence about making major purchases.”<br /><br />“The reduction in the GST rate to six per cent and the one per cent reduction in the federal portion of the HST will reduce the costs associated with buying, selling and owning a home,” Klump continues.<br /><br />“With all of these new tax reductions and the continuing strength of the real estate market, consumers can count on their REALTOR® to have the most up-to-date information on how the changes will impact them,” said Alan Tennant, FRI, President of The Canadian Real Estate Association.<br /><br />CREA’s Chief Economist notes that the GST is charged on professional services used by consumers during the course of a housing transaction, such as fees paid to lawyers, appraisers, home inspectors and REALTORS®. The tax is also charged on the goods and services purchased by consumers when they move from one home to another. These include moving costs, renovations, and the purchase of furniture and major appliances.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114713916854043017?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1146934135731492602006-05-06T10:39:00.000-06:002006-05-06T10:49:20.923-06:00Here is the monthly news release produced by the Edmonton real estate board. Being out in the market everyday, I can say there is a very high demand for housing. We've recently sold 3 homes for $10,000-$15,000 over list price, with multiple offers, the first day on MLS. Here are the stats...<br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.infoedmonton.com/images/2002vg/neighbourhood.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www.infoedmonton.com/images/2002vg/neighbourhood.jpg" alt="" border="0" /></a>Edmonton, May 2, 2006: The Edmonton Real Estate Board reports that the resale housing market remains animated. The booming economy and high demand are causing housing prices to rise beyond forecast expectations. In January EREB forecast that residential sales would remain at last years record levels but that prices would rise 8%. So far this year sales have risen 12.4% and prices are 18% ahead of the same time last year.<br /><br />“This market is nothing like the 80’s boom,” said Madeline Sarafinchan, EREB President. “Prices are increasing steadily but housing is not overpriced. Mortgage rates remain low and consumer confidence is high.” She added that there is no increase in foreclosures and resale property retains its value because it is priced well below new construction.<br /><br />Inventory levels for resale housing are lower than typical. The MLS® residential inventory at the end of April was 2,219 as compared to 4,810 last year. As a result sales are animated and buyers are forced to make decisions quickly when they see an attractive property.<br /><br />Average days on market in April was just 23 days. Slightly slower than March (19 days) but still half of last year’s April figure of 46 days.<br /><br />The average price* for single family dwellings rose 3.7% over March to $265,557. Condo prices were up 3.6% to $162,565. Average prices on duplexes and rowhouses finally topped $200,000 at $221,941 up from $193,000 last month.<br /><br />The average residential price hit a new all time high of $226,846 in April (up 3.0% from the previous month).<br /><br />Over 40% of single family homes on MLS® sold at or over the list price in April. “In the market today you need to have a sophisticated pricing and negotiation strategy,” said Sarafinchan. Last April less than 15% of sales met or exceeded the list price. “Solid, reliable information about recent sales and neighbourhood trends can only be obtained from your REALTOR® who has records of 91% of the residential sales in Edmonton.”<br /><br />Highlights of MLS® activity<br />April 2006 activity Record * % change from 2005<br />Total MLS® sales this month 2,300* 12.9%<br />Value of total MLS® sales -<br />month $532 million* 33.9%<br />Value of total MLS® sales -<br />year $1.72 billion* 45.0%<br />Residential¹ sales this month 2,026* 12.4%<br />Residential average price $226,846* 18.2%<br />SFD² average selling price -<br />month $265,557* 21.3%<br />SFD² median³ selling price $254,900* 21.9%<br />Condo average selling price $162,566* 20.9%<br /><br />¹. Residential includes SFD, condos and duplex/row houses.<br />². Single Family Dwelling<br />³. The middle figure in a list of all sales prices<br /><br />* Average prices indicate market trends only. They do not reflect actual prices, which may vary.<br /><br />If you're thinking of buying or selling, <a href="mailto:sara@teamjohnston.com">contact us</a> for information and advice on dealing in this incredible active market.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114693413573149260?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1146764796398714522006-05-04T11:44:00.000-06:002006-05-04T11:46:36.796-06:00According to the "Real Estate Investment Network" and an article in the Vancouver Sun this morning, Edmonton tops the list of places to invest in Canada.<br /><br />Alberta touted as hot spot for real estate investment<br />Mario Toneguzzi, CanWest News Service; <br />Published: Thursday, May 04, 2006<br /><br />CALGARY - Alberta is the best place in the country to buy residential real estate for long-term investment, according to the Real Estate Investment Network.<br /><br />In a list of top places in Canada to invest, Edmonton, Grande Prairie, Alta., and Calgary are noted as the hot spots in the country for buyers to make money in residential real estate.<br /><br />"This is for long-term fundamentals. Long-term hold,'' said Don Campbell, a real estate consultant, author and president of the Real Estate Investment Network.<br /><br />"The next three years all kinds of regions across the country are going to look spectacular. But these ones will outperform over the long period of time.''<br /><br />The rest of the top places for residential real estate investment include Kitchener-Waterloo in Ontario, Fort St. John, B.C., Barrie, Ont., Halifax and Hamilton.<br /><br />Richard Corriveau, regional economist for the Canada Mortgage and Housing Corp. for the Prairies and Territories, said the "one thing you can bank on is future appreciation.''<br /><br />"The difficulty for investors will be how do you cash flow a property. You purchase a new condominium, a new single-family home (they) might be very difficult to cash flow a property. A renter might not pay your carrying costs but you'll get the return at the back end of the sale once your home appreciates,'' Corriveau said.<br /><br />He said it is difficult to determine how many people are buying residential real estate for purely investment purposes as opposed to living in the properties.<br /><br />"Anecdotally we hear upwards of a quarter of all new condominiums,'' Corriveau added.<br /><br />"The question remains whether they are speculative investors and they intend to flip the property prior to the structure even being completed or whether they intend to rent it to people.<br /><br />Campbell said that in British Columbia there's no question the Fort St. John region (and Dawson Creek) is "the No. 1 place to buy for investors.''<br /><br />In Ontario, it's the Kitchener-Waterloo and Cambridge triangle.<br /><br />"We're actually calling that the economic Alberta of Ontario. It's got strong, strong growth and lots of in-migration and average income is increasing quickly. If I was to invest anywhere outside of Alberta, that would be my second choice. Absolutely,'' Campbell said.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114676479639871452?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1146694585497989622006-05-03T16:13:00.000-06:002006-05-03T16:16:25.860-06:00This article from the Edmonton Journal compares today's real estate market with that of spring 1981, when housing prices hit a record level. By including inflation, today's mortgage payment is actually still less than the previous records in 1981. Here are the details...<br /><br />Ron Chalmers, The Edmonton Journal<br />Published: Wednesday, May 03, 2006<br /><br />EDMONTON - Edmonton-area home prices have soared for five years, yet have barely reached the heights of 1981 -- after adjusting for inflation.<br /><br />With today's low interest rates, the monthly costs of home ownership remain far lower than during the ruinous inflation of the early 1980s.<br /><br />In April 1981, average home prices hit a then-record level of $94,223 before slumping all through the '80s.<br /><br />Exactly 25 years later in April 2006, prices "hit a new all-time high of $226,846," the Edmonton Real Estate Board reported Tuesday.<br /><br />After adjusting for inflation, however, that figure compares directly to prices of 25 years ago. In today's dollars, homes sold in 1981 for an average of $213,359.<br /><br />But prices are only half of the story.<br /><br />With a further adjustment for mortgage interest rates, the monthly cost of home buying now is far less than in 1981.<br /><br />Anyone buying an average Edmonton-area home today, with a 10 per cent down payment and a mortgage rate of 6.75 per cent, amortized over 25 years, would pay about $1,400 per month.<br /><br />In April 1981, with mortgage rates at 16.5 per cent, the payment on an average home was about $1,150 -- or $2,600 in today's dollars.<br /><br />"This market is nothing like the '80s boom," Madeline Sarafinchan, president of the Edmonton Real Estate Board, said Tuesday.<br /><br />"Mortgage rates remain low and consumer confidence is high," she said. "Housing is not overpriced."<br /><br />Resale homes are priced below new construction, and foreclosures are not rising, Sarafinchan said.<br /><br />Research in the U.S., where prices have surged in the past decade -- after two decades of slow growth -- also has found little sign of a housing price bubble.<br /><br />"Recent price growth is supported by basic economic factors such as low real, long-term interest rates, rapid income growth, and housing price levels that had fallen to unusually low levels during the mid-1990s," reports the National Bureau for Economic Research in its April, 2006 NBER Digest. It cites a recent study of 46 U. S. housing markets, which found that prices have not been fuelled by speculation. "Expectations of outsized capital gains appear to play, at best, a 'very small role' in house prices," the Digest reports.<br /><br />It cautions that a rise in real, long-term interest rates or a decline in economic growth could cause prices to fall.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114669458549798962?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1146455090505978262006-04-30T21:44:00.000-06:002006-04-30T21:44:50.946-06:00And the prices go up... if you've been out in the Edmonton market lately, you know it's hot. Excerpts from this article from CanWest News Service proves it...<br /><br />Eric Beauchesne, CanWest News Service<br />Published: Saturday, April 29, 2006<br /><br />OTTAWA - Home sales and prices hit all-time highs in the first quarter of this year, according to a report Friday which will add to puzzlement, and possibly more inflation worries, at the Bank of Canada.<br /><br />There were 125,142 existing homes sold from January through March, up 2.4 per cent from the fourth quarter of last year, and 0.2 per cent above the previous record high set in the third quarter of last year, the Canadian Real Estate Association said.<br /><br />Earlier in the week, Bank of Canada governor David Dodge said ``we're a little bit surprised'' at the strength of the housing market considering the steady climb in interest rates and prices since last summer.<br /><br />And real estate association chief economist Gregory Klump agreed it was a surprise that sales hit new record highs.<br /><br />``Rising household incomes and upbeat consumer confidence are keeping resale housing activity on a tear, even with rising home prices and interest rates,'' Klump said.<br /><br />The industry association reported sales reached their highest level of any quarter on record for both the number of units sold and the total dollar volume. The value of sales reached $33.4 billion, a 5.8 per cent increase from the final quarter of 2005, and the highest level ever, with records set in most provinces.<br /><br />New quarterly sales records were set in Alberta, Nova Scotia, Prince Edward Island and Newfoundland and Labrador.<br /><br />While sales slipped in March, the average home price continued to rise to reach a record $274,163, up 12.4 per cent from a year earlier. The average price in the quarter was up 12.1 per cent from the same quarter in 2005, which was the steepest increase since the 1980s housing boom, which eventually went bust.<br /><br />In March, the average price of a home was at an all-time high in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, and Prince Edward Island. And during the quarter, the average price was at an all-time high in every province except Quebec.<br /><br />The average price of a home sold in March was highest in British Columbia at $383,712, up nearly 20 per cent from a year earlier. The steepest increase in the average price was in Alberta at 24.7 per cent to $267,641.<br /><br />While most analysts continue to predict housing sales should eventually slow this year and price increases moderate, they say that unlike during the 1980s, there is no housing bubble to burst.<br /><br />``Interest rates are widely expected to be near their peak,'' Klump noted. ``The continued ability to negotiate rates is also helping to keep sales activity high by keeping monthly payments down and affordability reasonable.''<br /><br />The posted five-year closed mortgage rate is now 6.6 per cent, which is up less than a full percentage point from a low of 5.7 per cent last July, before the Bank of Canada resumed raising rates.<br /><br />``It's not a substantial increase,'' Klump said, noting a recent survey by mortgage brokers found even with the higher rates, families are finding their housing payments manageable.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114645509050597826?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1146343249308199302006-04-29T14:37:00.000-06:002006-04-29T14:40:49.590-06:00Just found this article in the Vancouver Sun. It's a huge deal, and I can't believe it hasn't been picked up by more of the media. Alberta and BC have officially opened their borders to become the 2nd largest economy in Canada! Here is the article:<br /><br /><br />Miro Cernetig and Fiona Anderson, Vancouver Sun; with files from Canadian Press<br />Published: Saturday, April 29, 2006<br /><br />B.C. and Alberta have announced they will form a new trading bloc to create a regional economy within Canada that will usurp Quebec as the country's No. 2 economy and be second only to Ontario as the country's economic engine.<br /><br />The agreement, endorsed by B.C. Premier Gordon Campbell and Alberta Premier Ralph Klein in Edmonton Friday, promises to give workers and companies free access to Canada's two westernmost provinces, now in the midst of an oil, commodities and real estate boom.<br /><br />"We have become the second-largest economy in Canada," Campbell said shortly after signing the deal. "This will be noticed across the country."<br /><br />The deal, signed after years of negotiations, and in the midst of the bitter lumber war between Canada and the U.S., promises "the most open economies in Canada, if not North America."<br /><br />It says "investment rules will be the same in each province; businesses only need to register once for both provinces; standards and regulations will be reconciled, transportation will be streamlined and workers certified for an occupation will have their qualifications recognized in both provinces."<br /><br />It is also, according to the B.C. government, going to translate into economic growth.<br /><br />In dollar terms, Campbell estimates that after the deal is put in place, by 2009, B.C. will see about $4.8 billion a year in benefits and the creation of 78,000 new jobs. But there's also a long-standing political message: With its booming commodity-based economy, its increasing population and with a prime minister who has his base in the West, there's a power-shift away from the east.<br /><br />"We're perhaps seeing the building a B.C. and Alberta political axis in Confederation," said Norman Ruff, a political scientist the University of Victoria. "Of course, we'll have to see if it continues after Campbell and Klein [leave power]."<br /><br />The deal which comes into effect April 1, 2007, and includes a transition period to April, 2009 promises some major changes on the right of workers to cross the provincial border. Reducing inter-provincial trade barriers has been a long-standing goal among provinces, but B.C. and Alberta have come up with specific details that would make it easier to do business between the provinces or even transfer technical skills without having to undergo the complex, time-consuming and expensive business of re-certification.<br /><br />"Frankly, it's a groundbreaking agreement for both provinces and the country," said Campbell. "It will mean a flow of people and services back and forth across the border without impediment.<br /><br />"We've talked in Canada about free trade across the country. It's time we actually did something about it."<br /><br />The new agreement was unanimously applauded as a positive step forward.<br /><br />"I don't think this is earth-shaking stuff, but you are moving in the right direction when you start removing those barriers," Laura Jones, vice-president of the Canadian Federation of Independent Business for B.C. and the Yukon said in an interview.<br /><br />"And any time you are talking about regulatory barriers often the progress that you make in a specific area can seem kind of small but the whole overall regulatory burden is so large it is important to make these small steps."<br /><br />"It can't hurt and it hopefully will be a model for other provinces to follow," Jones added.<br /><br />Dave Park, chief economist, Vancouver Board of Trade also called the agreement a step in the right direction and hopes it will eventually extend across the country.<br /><br />"Basically we are able to trade between the U.S. and Canada at this point for the most part better than we can between provinces," Park said. "The freer the trade [and] the fewer the impediments the better it is for the economies on both sides."<br /><br />A DONE DEAL<br /><br />The agreement between B.C. and Alberta will create a combined economy that:<br /><br />n Is the second-largest in Canada, with joint gross domestic product 30 per cent larger than that of<br /><br />Quebec.<br /><br />n Could potentially add $4.8 billion to its joint GDP.<br /><br />n Could lead to 78,000 new jobs in B.C. alone.<br /><br />FREE-MOVING PROFESSIONS<br /><br />Current regulations restrict the movement between B.C. and Alberta of certain occupations that require licensing in each province, such as lawyers and dentists. The provinces have agreed to amend their regulations by April 2009 so 65 professions will be able to move freely between the two provinces. Besides lawyers and dentists, the affected occupations include:<br /><br />Teacher<br /><br />Architect<br /><br />Chiropractor<br /><br />Forester<br /><br />Funeral director<br /><br />Geo-scientist<br /><br />Elevator Constructor<br /><br />Medical laboratory technologist<br /><br />Motor vehicle salesperson<br /><br />TWO ECONOMIES JOIN FORCES<br /><br />Separately, here's how the provinces compare:<br /><br />B.C. Alberta<br /><br />Population in 2005 4,254,500 3,256,800<br /><br />GDP in 2005 $168 billion $216 billion<br /><br />Number of employees March 2006 1,748,400 1,504,800<br /><br />Average wage March 2006 $19.71 $20.76<br /><br />Source: Statistics Canada<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114634324930819930?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1146028402747146302006-04-25T23:12:00.000-06:002006-04-29T17:52:11.420-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.wtvt.com/Images/ir/ir5-9-05/bench.jpg"><img style="float:right; margin:0 0 10px 10px;cursor:pointer; cursor:hand;width: 320px;" src="http://www.wtvt.com/Images/ir/ir5-9-05/bench.jpg" border="0" alt="" /></a><br />As I drove around on appointments today I passed by several bus benches and a bill board from an agent in our market. When I was at my appointment the client mentioned this persons name and wanted to compare our online marketing. I was blown away with how lousy it was, and although I never mentioned this to my client I felt sorry for that seller. Just check out what we offer at http://sellformore.edmonton-homes.ca. Not only were there only a few pictures for this home listed just under a million dollars. Yet his seller is more than likely paying top dollar for this agent to continue his personal marketing, but this seller has chosen the agent who is spending their marketing efforts on their personal promotion on bus benches and billboards. Is that how you want your home marketed?<br /><br />If you want the most for your money possible for your home call us 780 486 8655 or <a href="mailto:sheldon@teamjohnston.com">email us</a> or visit <span style="font-weight:bold;"><a href="http://www.edmonton-homes.ca/Sell_Your_Home_for_More/page_1599718.html">sell for more</a></span><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114602840274714630?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1146027388183902482006-04-25T22:37:00.000-06:002006-06-14T16:27:04.446-06:00The following article illustrates the value of professional experience. The mistakes that rookie agents can be costly. You as a buyer or seller need to be aware of this. Today I met with a young couple who recently purchased a property from a new agent who had title insurance recommended for the purchase of their property and are now facing serious costs to get their property sold now. From their perspective there was now explanation whatsoever about why they didn't receive a Real Property Report with compliance and received title insurance instead. The following article from Money sense magazine goes a bit further in warning buyers and sellers. <br /><br />The 21st century has been a brave new world for real estate agents. For five sensational years, everyone connected with the business of buying and selling homes has seen their incomes soar faster than the price of a cute, three-bedroom starter in a trendy neighborhood. In big-city markets, particularly good orlucky agents are routinely making $10,000, $15,000, even $20,000 or more a month. Tantalized by visions of similar riches, thousands of would-be real estate agents are jostling to get in on the action. In Ontario alone, the number of students enrolled in the courses required to become an agent has tripled since 2000 to more than 13,000 people. Across Canada, the market is packed with more than 76,000 registered real estate agents, a record crowd large enough to populate a small city.<br /><br />What do the bulging numbers of real estate agents mean for home buyers and sellers? Among other things, it suggests that you should tread carefully. Most real estate agents are decent, reliable professionals, but your chances of dealing with an inexperienced agent are shooting up with each passing day. You are also more likely to be buying or selling a home in haste.<br /><br />Provincial real estate regulators say they are fielding hundreds of complaints from disgruntled home buyers and sellers. Some of the more common issues? Agents who didn't tell buyers about flooding in the basement or that the house used to be a marijuana grow-op. Often it's a lot of small stuff but, according to Bob Linney, a spokesperson for the Canadian Real Estate Association, "it can mean several thousand dollars worth of fines for the real estate agent if he's found to have been negligent in any way."<br /><br />To summarize this article. They suggest that you can save money by doing your self even though this is contrary to stats that show that in hot markets sellers who sell themselves sell for 16% less than market value. You also increase the risk to litigation from remorseful buyers who may feel later that they over paid. With no professional between you and the buyer it becomes your word against yours. Hopefully they are not professionals at law suits. <br /><br />We have been proudly serving the Edmonton community for the past four decades. We're not in this for the quick buck. If that's what you're looking for look for a brokerage that hires nothing but agents. Any Re/max or Realty executives office will do. If you're looking for a personalized service than our small family owned franchise is the place you want to be.<br /><br />www.edmonton-homes.ca<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114602738818390248?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1145754518986468202006-04-22T19:08:00.000-06:002006-04-22T19:08:40.583-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca/Shared/Cache/Listing/576521/Photo/10-Gallery.img?_Version=632809968737700000"><img style="float:right; margin:0 0 10px 10px;cursor:pointer; cursor:hand;width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/Listing/576521/Photo/10-Gallery.img?_Version=632809968737700000" border="0" alt="" /></a><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca/Shared/Cache/Listing/576521/Photo/1-Gallery.img?_Version=632812314718700000"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/Listing/576521/Photo/1-Gallery.img?_Version=632812314718700000" border="0" alt="" /></a><br />From time to time remarkable properties do come on the market. Located in one of the most desireable areas in St. Albert, Erin Ridge . This property is tucked away in a beautiful cul de sac has an open floor plan, gourmet kitchen with maple cabinets and an attractive functional island. Click here for a full <a href="http://erinridge.teamjohnston.com">virtual tour</a> and click here for a <a href="http://www.realestateshows.com/41529">home show </a><br /><br />This is truly an exceptional property and is perfect family home.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114575451898646820?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1145653753659368802006-04-21T15:07:00.000-06:002006-04-21T15:09:14.063-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://breckenridge-vacation-homes.com/cj-condo-32/1-32-condo-double-twin3.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://breckenridge-vacation-homes.com/cj-condo-32/1-32-condo-double-twin3.jpg" alt="" border="0" /></a>To avoid buying a "bad condo," whether it is brand-new or a resale unit, smart condo buyers ask at least these five key questions:<br /><br />1.) HOW DO THE MONTHLY CONDO FEES COMPARE WITH COMPETITIVE NEARBY CONDO COMPLEXES?<br /><br />Smart prospective condo buyers first ask, "What is included in the monthly assessment fee?" and then compare it with the fees charged at nearby competitive condo complexes.<br /><br />However, be sure to compare apples with apples. To illustrate, the condo that I own includes winter heat in the monthly fee, but not summer air conditioning. Similar nearby condos include these major expenses, but some include neither because their condo units have individual heat and cooling units.<br /><br />Closely related is the issue of adequate replacement reserves. Wise condo buyers carefully review the latest financial reports of the condo homeowner's association. If it is an older complex, the reserves should be relatively high per unit to provide for unexpected repairs. However, newer complexes usually don't need high maintenance reserves.<br /><br />2.) WHAT IS THE FINANCIAL CONDITION OF THE HOMEOWNER'S ASSOCIATION? ARE THERE ANY EXPECTED SPECIAL ASSESSMENTS?<br /><br />Before purchase, condo buyers must be given a copy of the CC&amp;Rs (conditions, covenants, and restrictions), by-laws, rules, and latest financial reports of the homeowner's association. In addition, smart buyers ask for and read the board of director's minutes for the last six meetings.<br /><br />A key question prospective buyers should ask is, "Are any special assessments under discussion or planned?"<br /><br />For example, I recently had lunch with a very successful real estate broker who told me about a condo he recently sold for an elderly seller. He explained that only after the sale was almost ready to close, it was discovered the condo owner's association planned to levy a $20,000 special assessment on each owner to pay for deferred maintenance.<br /><br />There is no specific maintenance reserve guideline. But two general rules are a) $2,000 to $3,000 per unit, and b) 25 percent of the annual gross income of the association should be in the reserve account.<br /><br />3.) IS THE CONDO ASSOCIATION PROFESSIONALLY MANAGED?<br /><br />Except for very small condo associations up to six units, every condo association needs a professional property manager. Prospective buyers should be wary of buying a condo in a complex that is self-managed, often by the owners or directors living in the property.<br /><br />A related question is, "How long has the complex been managed by the same company?" The longer the better. The condo association where I own my condo has had the same professional management firm for 30 years. The property manager assigned to our property has managed our property over 20 years. Needless to say, we are very satisfied.<br /><br />Professional managers usually "earn" their fees from expense savings. For example, our insurance policy recently came up for renewal. The professional manager shopped among many insurers. Since he also manages other condo complexes, he controls lots of potential business for insurers. Not only did he negotiate a big reduction in our premiums with the same coverage, but he also got the insurer to lock-in the same rate for up to three years, and we are free to shop among other insurers at each annual renewal.<br /><br />4.) WHAT IS THE PERCENTAGE OF RENTERS IN THE CONDO COMPLEX?<br /><br />If the answer is more than 10 percent, buyers should be cautious. If there are more than 20 to 30 percent renters, that's a very bad sign because mortgage lenders will either refuse to make loans in that complex or they will charge higher interest rates. Too many renters can hurt future condo sales.<br /><br />A key reason to avoid condo complexes with more than a few renters is absentee owners often don't care about maintenance of the property. The result can be declining quality of maintenance. Complexes with anti-renter rules are considered very desirable and often bring premium resale prices.<br /><br />5.) ASK SEVERAL CURRENT RESIDENTS, "WHAT DO YOU LIKE BEST AND LEAST ABOUT LIVING HERE?"<br /><br />A closely related question to ask is, "Would you buy a condo here again?"<br /><br />Most condo owner-occupants are very friendly and willing to share their good and bad experiences. While you are asking questions, don't hesitate to inquire, "How is the soundproofing here?" Poor soundproofing between condo units, upstairs and downstairs, as well as adjacent, is the number one complaint of condo owners.<br /><br />Lastly, when making a condo purchase offer, be certain it contains a contingency clause for a professional property inspection. After the condo seller accepts your offer, be sure to accompany your professional inspector to determine if there are any undisclosed defects in the unit or the complex that might cause you to reject the inspection report.<br /><br />The above article was written by Bob Bruss, from Inman News.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114565375365936880?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1145331898928295102006-04-17T21:34:00.000-06:002006-04-17T21:44:59.250-06:00Have you had a chance to check out the listings on my site? There is an unbelievable tool buyers looking for real estate in the Edmonton area can view through our site www.edmonton-homes.ca and Google Earth. Yes You can use to this to search properties. Google Earth uses satellite imagery to show you the world. On my site, listings are marked on Google maps and you can search and view these listings, it’s really amazing. <br /><br />It’s the most advanced way to explore a property today. You can see a listing within its own neighborhood and where it sits compared to schools, parks and roadways without actually having to drive to through the neighborhood. <br /><br />If you haven’t used Google Earth to search and view my listings, I would definitely encourage you to visit my site and give it a go. Even if you’ve used it already, try it out again as new listings are constantly being added. <br /><br />When you find a home you are interested in, I would love to hear from you. Or if you just have some questions about properties in the Edmonton area, please do not hesitate to contact me.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114533189892829510?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com2tag:blogger.com,1999:blog-17592735.post-1144775980967048172006-04-11T10:57:00.000-06:002006-04-11T11:19:41.403-06:00There is no better position to be in right now in Edmonton, than to be selling your home. There are half as many listings as there were at this time last year, and twice as many people wanting to relocate here. We have clients trying to buy homes, offering list price or higher and continually missing out in multiple offer situations.<br /><br />It is a frenzied feeling out there, one in which you definitely want experienced representation. We recently helped clients purchase a privately listed home, on which there were multiple offers; all other buyers were not professionally represented and our client won out, at well under current market value. In the few days while conditions were being removed the seller had 40 other people interested in the property and was hoping our buyers would back away. Our buyer definitley won in that situation, and had the seller been represented they would likely have gotten far more money for their property.<br /><br />Ok...enough about that...Here are some exerpts from an article in the Edmonton Sun today called Hot Housing Market Leaves Out-of-towners Out of Luck. This really demonstrates how challenging the market is right now...<br /><br />Already stoked by hot demand, the Edmonton real estate market is now being fired on the supply side by fewer homes on the selling block. The inventory of listed homes has fallen by nearly half from last March, to 2,333 units versus 4,444 a year ago, says the Edmonton Real Estate Board.<br /><br />Re/Max realtor Pat Liviniuk blames the shortage on an influx of newcomers, and on construction delays in building new houses, which mean buyers are staying in their old homes longer, keeping them off the market.<br /><br />"We have four to five buyers going for each home and people who are relocating, unless they're here sitting with me 24/7 to get into these houses, they have no chance," Liviniuk said.<br /><br />Eric Nielsen, who moved here recently from Calgary, quickly discovered how tough it was going to be to buy a home in Edmonton. They wanted an executive home with three bedrooms up, two bathrooms and enough room to raise any future children in a nice neighbourhood close to good schools and a short commute to downtown jobs.<br /><br />After spending eight months viewing nearly 100 homes and writing five offers, the couple finally found a house for $5,000 above the listed price in the upscale Glenora neighbourhood. It's still not their dream house, but it will do for now, says Nielsen.<br /><br />"You can do it in just a day or two but you're not going to get what you want," Nielsen said.<br /><br />Relocations are a growing segment of Edmonton real estate buyers. Alberta's population grew by 25,100 people in the final three months of 2005 -- a high not seen since the oil boom of 1979-80 and more than five times the national average, according to Statistics Canada.<br /><br />Royal LePage Relocation Services noted: "We've seen almost 100 per cent growth in relocations to Alberta or in Alberta in the last three years," said Tim Verbic, director of business and marketing for Royal LePage.<br /><br />While not as hot a market as Calgary, the prices and shortage of houses in Edmonton still shocks many newcomers, especially those from cooler markets, said Liviniuk.<br /><br />For those relocating, it's often a matter of coming in for four or five days, powering through homes and putting an offer on the best of the lot, she said.<br /><br />The Nielsens tried that, but after looking in vain on two weekends, they decided to rent a house they found on one trip and based their search from there.<br /><br />Nielsen advises other newcomers to find a realtor by referral, as he eventually did, and ask about the neighbourhoods the agent specializes in.<br /><br />"And I'd just pull the trigger," Nielsen said. "Instead of thinking about it, if I saw something that was even the least bit reasonable, I would have just bought it. Just act fast."<br /><br />Finding a home in Edmonton's frenzied housing market is becoming increasingly competitive. The unusual numbers tell the story:<br /><br />- Brisk sales: In March, homes sold in an average of only 19 days, a record. A year ago the average was 40 days.<br /><br />- Rising prices: The average price for a single-family dwelling hit $256,159, up 18.5 per cent from last year.<br /><br />- Date Edmonton hit $1-billion mark in sales in 2006: March 21<br /><br />- Date to hit $1-billion mark in sales in 2005: April 19<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114477598096704817?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1144555832684371912006-04-08T22:02:00.000-06:002006-04-08T22:10:33.016-06:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://wwp.greenwichmeantime.com/time-zone/north-america/canada/_derived/index.htm_txt_canada-map.gif"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;width: 200px;" src="http://wwp.greenwichmeantime.com/time-zone/north-america/canada/_derived/index.htm_txt_canada-map.gif" border="0" alt="" /></a><br />The other day Royal Lepage real estate service published a report on the cooking hot Canadian Real Estate market. Not to dwell on this but this has been reported on for a few months now. However, they do have some interesting stats compiled in a thorough format. To read the article <a href="http://www.royallepage.ca/CMSTemplates/Toolbox/News/NewsTemplate.aspx?id=1053">click here</a><br /><br />There is a pdf version of the report you can download as well. To read more about the piping hot Edmonton real estate market just keep an eye on Edmonton's most current real estat blog.<br /><br />and maker sure to visit www.edmonton-homes.ca for all your real estate needs.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114455583268437191?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1144378015046663872006-04-06T20:37:00.000-06:002006-04-06T20:47:00.640-06:00Released by the Edmonton real estate board this news release reflects the current markets challenge for buyers. With multiple offers at just about every turn it is definitely not a market for the faint of heart. In a market where the most motivated often wins we have picked off some excellent deals especially off of Com Free owners who have clearly underprice and were definitely under represented. In one such case we estimate we obtain the property for our buyers at least $20,000 under market. The buyer feels we saved them much more. <br /><br />Homeowners challenged by brisk Edmonton housing market<br /><br />Edmonton, April 5, 2006: Brisk sales continue to topple real estate records. REALTORS® sold over $1 billion in real estate in the first quarter. The benchmark figure was set on March 21 with sales of 4,607 units worth $1.004 billion. The same mark was set on April 19 in 2005. <br /><br />“The housing market is very challenging right now for both buyers and sellers,” said the EREB President. “REALTORS® are reporting an increasing number of sales with multiple offers and sellers demanding offers with no conditions.” Anxiety is high on both sides of the transaction and REALTORS® have to exert a calming influence to maintain peace of mind for their clients. <br /><br />The strong demand for housing and low inventory levels has resulted in unprecedented brisk sales with homes being on the market for just 19 days on average. The previous low DOM was set in April 2002 at just 25 days. With 2,333 properties on hand at the end of March, the MLS® has enough inventory to last just 36 days. However, it is replenished with over 70 new properties being added each day. <br /><br />The average price* for single family dwellings rose 2.49% over February to $256,159. Condo prices were up 6.84% to $156,988. Even lower average prices on duplexes and rowhouses (down 2.5% to $193,378) weren’t enough to influence the average residential price. The average residential price hit a new all time high of $220,124 in March; up 4% from a month ago. <br /><br />“Establishing a pricing strategy has become very complicated,” said Sarafinchan. “Both buyers and sellers are advised to work closely with their REALTOR® who has access to up-to-the-minute pricing data and experience at working with this competitive market.” She is aware of homes that have sold for amounts well over the asking price and buyers who have upped their offer dramatically after losing out on two or three bidding battles. “Every buyer will eventually find a new home but it takes patience, nerves of steel and an ability to react quickly when the right home comes along.” <br /><br />March 2006 activity Record * % change from 2005 <br />Total MLS® sales this month 2,282* 20.50% <br />Value of total MLS® sales - month $519 million* 41.20% <br />Value of total MLS® sales - year $1.18 billion* 44.40% <br />Residential¹ sales this month 2,016* 20.00% <br />Residential average price $220,124* 16.10% <br />SFD² average selling price - month $256,159* 18.50% <br />SFD² median³ selling price $246,250* 21.90% <br />Condo average selling price $156,988* 17.40% <br /><br />¹. Residential includes SFD, condos and duplex/row houses. <br />². Single Family Dwelling <br />³. The middle figure in a list of all sales prices <br /><br />* Average prices indicate market trends only. They do not reflect actual prices, which may vary.<br /><br />For more information and for your edge in this red hot market <a href="mailto:sheldon@teamjohnston.com">contact us</a> today<br /><br />www.edmonton-homes.ca<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114437801504666387?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1144270911820971342006-04-05T14:56:00.000-06:002006-04-05T15:02:37.396-06:00Yesterday Scotia econmics released its glowing report of the Alberta economy. In their report you'll find they talk about declining conventional oil supplies while in the same breath talking about Alberta going from 8th largest producer in the world to 5th.<br /><br />Of other interest was the cumulative value of economic development for the Alberta region lists 1148 venture projects as "on the books" with a cost of $123 billion.<br /><br />So if you are wondering why the housing market in Edmonton is so hot and why home prices in the Edmonton area have increased so dramatically in the last while then maybe you should read their <a href="http://www.scotiacapital.com/English/bns_econ/ppalberta.pdf">entire article</a>. Looks like Edmonton is no longer just a great place to live its a great place to prosper.<br /><br />www.edmonton-homes.ca<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114427091182097134?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1144029057559541932006-04-02T19:46:00.000-06:002006-04-02T19:50:57.906-06:00We all know Alberta is booming, more and more people are moving here. Calgary is seeing huge gains in population and traffic jams... Edmonton is growing at almost the same speed, but the traffic isn't... Here are some exerpts from an aritcle in today's National Post on the subject:<br /><br />John Cotter, Canadian Press<br />Published: Sunday, April 02, 2006<br /><br />EDMONTON -- With its prosperity cheques, low taxes and voluminous pages of help-wanted ads, Alberta has become the Big Rock Candy Mountain to thousands of Canadians seeking a better life.<br /><br />Recent figures from Statistics Canada show the province's population is increasing at more than five times the national average, and there's no end in sight to the migration.<br /><br />But as the booming economy gobbles up every worker it can find, the newcomers are bloating Alberta's structural waistline to the bursting point. And the riches are causing tummy rumbles as communities struggle to deal with the influx.<br /><br />"The traffic everywhere in Calgary is bumper to bumper and if anything goes wrong, we hit gridlock pretty fast," says Calgary Ald. Gord Lowe, who notes the city is hundreds of millions of dollars behind in housing, roads, schools, hospitals, libraries and recreational facilities.<br /><br />"The third-largest city in Canada last year was all the people who moved to Calgary. That sums it up."<br /><br />Nor are the inherent problems associated with massive growth limited to Calgary's gleaming office towers.<br /><br />Forests of construction cranes mark the horizons of Red Deer, Edmonton, Grande Prairie and Fort McMurray as those cities ride the swollen crest of high oil and natural gas prices.<br /><br />In January, the government had so much cash it sent out $400 prosperity cheques to just about every man, woman and child in the province.<br /><br />Housing all the newcomers represents another challenge.<br /><br />Firms are short of carpenters and other trades needed to build new homes, apartments, sewage and water systems.<br /><br />Real estate prices and rents are climbing dramatically in many communities -- if a place to live can be found at all.<br /><br />While housing prices aren't as high as in Vancouver or Toronto yet, they are on the march. And rental rates are among the highest in the country.<br /><br />Average rent for a two-bedroom apartment in the oilsands capital of Fort McMurray in December was $1,478. That compared to just over $1,000 for a similar apartment in Toronto or Vancouver.<br /><br />The average selling price of a home in Calgary last month was $305,000 -- up almost 25 per cent in one year.<br /><br />"We are getting tremendous pressures on housing prices," says Darrell Toma, president of the Alberta Chambers of Commerce.<br /><br />The province is trying to meet the challenges of explosive economic growth head-on, but it's hard to keep pace when its population of more than three million people grew by more than 25,000 last fall alone.<br /><br />The provincial government has earmarked $13.3 billion for infrastructure projects over the next three years -- a total bigger than the entire budgets of many provinces.<br /><br />That doesn't include money for new primary or secondary schools, however.<br /><br />But Toma says while the challenges are daunting, he wouldn't trade Alberta's situation for the problems of less economically robust parts of Canada.<br /><br />"We have a debt-free economy and people are fully employed. Wages and house prices are going up. It is a great problem to have."<br /><br />As civic leaders beam with pride at Alberta's astonishing economic muscle, there are inklings of fear that the rich gravy train might not chug along forever.<br /><br />Lowe shudders at memories of the way Alberta's last big boom -- fuelled in large part by the energy industry -- quickly melted in the 1980s like snow during a chinook when oil prices fell.<br /><br />"Those of us who went through that are keeping a very wary eye about what is going on," he says.<br /><br />"But all the studies from the banks and think-tanks suggest the boom is going to continue for the next six to 10 years."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114402905755954193?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1143784600327223062006-03-30T22:52:00.000-07:002006-03-30T22:56:40.733-07:00Well at least our real estate market is. The Edmonton housing market is on fire with a 22% annual increase in the average price since last February. The current average price for a residential home in Edmonton is $250,000. Yep. That's the average and its growing fast. The following discusses the Canadian real estate market which is just a little unnder the Alberta redline.<br /><br />Canadian existing-home sales via the Multiple Listing Service rose to their fifth-highest seasonally adjusted monthly level on record in February, and average prices hit new highs, according to statistics released by The Canadian Real Estate Association.<br /><br />According to CREA's statistics, seasonally adjusted MLS home sales in February rose by two-tenths of a percentage point to 41,555 units compared to the previous month. A monthly increase in sales activity in Ontario and Quebec more than offset a decline in transactions in British Columbia. The number of MLS home sales in the first two months of 2006 are running 10.7 percent ahead of levels posted during the same period last year, CREA reported.<br /><br />Sales activity reached its highest monthly level on record in Alberta, and set new records for the month of February on a national basis and in Manitoba, Ontario, New Brunswick, Nova Scotia, and Newfoundland.<br /><br />Seasonally adjusted MLS residential new listings declined by one half of a percentage point to 64,382 units in February compared to January. The small decline in new listings and small increase in sales caused the national resale housing market to tighten slightly in February compared to the previous month.<br /><br />The minor tightening of market conditions does not explain the large gains in national MLS residential average price, which shot up to $268,215 in February compared with $258,274 in January, CREA reported. The monthly average price increase of 3.8 percent was the second-largest gain posted in the last 15 years, and is attributed to large monthly price gains in British Columbia, Alberta, and Ontario. Average price was also up 12.3 percent compared to levels recorded in February 2005.<br /><br />MLS residential average price reached its highest monthly level on record nationally, and in British Columbia, Alberta, Manitoba and Ontario. Average prices set new records for the month of February in all other provinces.<br /><br />"The resale housing market remains tightest in Western Canada," said CREA Chief Economist Gregory Klump. "A shortage of homes available for sale and the continuation of strong resale housing demand in Western Canada are resulting in substantial price increases there."<br /><br />"Although the national resale housing market has so far shown few signs of slowing, rising interest rates and home prices are expected to gradually slow resale housing market activity this year," Klump added.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114378460032722306?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com1tag:blogger.com,1999:blog-17592735.post-1143696442854367932006-03-29T22:09:00.000-07:002006-03-30T09:13:03.746-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/NorthGlenora.jpg"><img style="FLOAT: left; MARGIN: 0pt 10px 10px 0pt; CURSOR: pointer" alt="" src="http://photos1.blogger.com/blogger/4765/1475/400/NorthGlenora.jpg" border="0" /></a>The graph to the left compares the list price and sale price of 10 homes that sold in North Glenora in 2006. North Glenora is a popular community in West Central Edmonton. The graph is an excellent example of how pricing your property can affect the sale price...<br /><br />As you can see, the first property sold significantly below list price (about $10,000 below, and $30,000 below the original list price) after sitting on the market for over three months. Compare that to the 7th property that sold after only two days for $17,000 over list price.<br /><br />It is likely that the 7th property attracted multiple offers because it was priced smartly, thereby probably getting more money in the end than if they'd listed $20,000 higher.<br /><br />At Coldwell Banker Johnston we provide our sellers with a comprehensive market analysis to help them price their property smartly. Remember, listing price is always the home owner's choice, making an informed decision on who represents you and how is your first step to a successful sale.<br /><br />Get a <a href="http://cma.edmonton-homes.ca">free online home evaluation</a> at <a href="http://www.edmonton-homes.ca">www.edmonton-homes.ca</a>.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114369644285436793?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143690527522851732006-03-29T20:39:00.000-07:002006-03-29T20:48:48.293-07:00That's ok you are not the only ones. Stats Canada reports that a growing number of people are moving to Alberta for a number of reasons. Here in the Edmonton area we are seeing a large number of those people. If you are moving here you need someone is in constant contact and has experience in this market. You need someone who has your interests in mind. We'd like to apply for the position of your life long Realtors. Our <a href="http://www.edmonton-homes.ca/Ultimate_Service/page_1217109.html">Ultimate service</a> promise guarantees our commitment to you. You can search for everything you need on our website. Neighborhood information for all Edmonton communities, you can search all MLS listings and much more. Just visit www.edmonton-homes.ca for all your real estate needs. Below is an article from CBC online about the stats can report.<br /><br />Alberta's population grew by more than 25,000 in the final three months of last year, Statistics Canada reported Tuesday.<br /><br />"Record numbers of people flocked to the booming province from other regions of Canada," the agency said. "Only during the oil boom period of 1979-1980 was there similar growth."<br /><br />Two-thirds of the new arrivals came from other provinces.<br /><br />The population is growing faster than builders can finish homes in some areas, and is pushing real estate prices through the roof.<br /><br />Oilsands boomtown Fort McMurray considered setting up work camps to handle the influx of incoming workers.<br /><br />As people move to Alberta, the population in other provinces and territories fell.<br /><br />"Seven of Canada's 13 provinces and territories experienced a decline in their population during the fourth quarter," StatsCan said.<br /><br />It's only the second time in 35 years that so many regions reported a drop in population during the same quarter.<br />Aside from Alberta, only British Columbia and Nunavut reported growth above the national average. Ontario, Quebec and Manitoba also grew.<br /><br />Newfoundland and Labrador lost 2,300 people to about 514,400.<br /><br />With the new arrivals, Alberta's total population is more than 3.3 million.<br /><br />In some provinces, immigrants helped offset the population loss to Alberta.<br /><br />Canada took in 55,400 immigrants in the quarter, the second-largest quarterly gain since 2000.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114369052752285173?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143568193852670442006-03-28T10:43:00.000-07:002006-03-28T10:49:54.353-07:00We recently sold a half duplex for over $8600 more than the average selling price for 2006 half duplexes in this area! Larkspur and Wildrose are seeing extremely quick sales; the average number of days on market for half duplexes in this area is 6.6 days, while the Edmonton market as a whole is 34 days.<br /><br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/WildRoseMar2706.jpg"><img style="margin: 0px auto 10px; display: block; text-align: center; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/320/WildRoseMar2706.jpg" alt="" border="0" /></a><br />If you are thinking of selling contact <a href="mailto:sara@teamjohnston.com">Coldwell Banker Johnston</a> for <a href="http://ultimate.teamjohnston.com">Ultimate Service</a>.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114356819385267044?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143566813607532512006-03-28T10:26:00.000-07:002006-03-28T10:26:54.173-07:00<p>Coldwell Banker Johnston Real Estate now offers <a href="http://www.edmonton-homes.ca/Neighbourhood_Reports/page_1554831.html">neighbourhood reports</a> to our web site visitors. Just go to <a href="http://www.edmonton-homes.ca">www.edmonton-homes.ca</a> and click on neighbourhood reports, indicate the neighbourhood you are interested in and we will send a report of recent sales in the area including number of days on market and sale prices. As reports are requested we will also post some of the information from the reports here, on our Edmonton Real Estate blog.<br /></p><p>Jasper Park: there is a very large demand for homes in this area. The chart below shows the sales of single family homes in the area in 2006. As you can see, sale prices are very close to list prices and, with the exception of one property, are selling very quickly.<br /></p><p style="text-align: center;"></p><center><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/4765/1475/1600/JasperParkMar2706.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer;" src="http://photos1.blogger.com/blogger/4765/1475/400/JasperParkMar2706.jpg" alt="" align="middle" border="0" /></a></center><p></p><p><a href="mailto:sara@teamjohnston.com">Contact us</a> today for more information. </p><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114356681360753251?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143491283243976502006-03-27T12:52:00.000-07:002006-03-27T13:28:03.593-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://photos1.blogger.com/blogger/5256/1475/1600/springscreenshot.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer;" src="http://photos1.blogger.com/blogger/5256/1475/200/springscreenshot.jpg" alt="" border="0" /></a><br />Spring is in the air in the Edmonton and area real estate market. So in the spirit of keeping things fresh our award winning website www.edmonton-homes.ca has been revamped by our marvelous marketing and technology department (Sara). Its fresh new look is very consumer friendly.<br /><br /><ul><li>Get access to a<a href="http://www.edmonton-homes.ca/Search_MLS_Listings/page_1120712.html">ll Mls listings in the Edmonton area </a>with no sign up or registration recquired.</li><li>Receive <a href="http://www.edmonton-homes.ca/Search_MLS_Listings/page_1120712.html">instant notification of new listings in the Edmonton area</a><br /></li><li>Instant <a href="http://www.edmonton-homes.ca/Home_Evaluation/page_1120706.html">online market evaluations</a> for homes, acreages and recreational properties in the Edmonon area</li><li>Access to Our extesive client resource centre (<a href="http://edmonton-homes.blogspot.com/">blog</a>) with current and archived information on market statistics, and news affecting the Edmonton area real estate market</li></ul>Check out our new features to as we expand to service all your real estate needs.<br /><br /><ul><li>(New) <a href="http://www.edmonton-homes.ca/Neighbourhood_Reports/page_1554831.html">Neighbor hood reports</a> that will give you historical information on an area you are interested in.</li><li>(New) And lastly the, <a href="http://www.edmonton-homes.ca/Selling_Price/page_1554794.html">How much it sold for tool</a>. If you have a neighbor who sold their property on MLS or not, or you were interested in buying a home in the Edmonton area and now want to know what someone else paid, we can answer that question for you.<br /></li></ul><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114349128324397650?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143488896387383942006-03-27T12:47:00.000-07:002006-03-27T12:48:16.783-07:00Even in a market as hot as Edmonton, nay in any market there are at least 5 questions a buyer should know the answer to. Some of these we can easily answer since we have access to a tremendous amount of information. I strongly recommend you consider asking these to us, your agent or the seller directly. However caveat emptor applies. Except for Latent defects the seller is under no obligation to disclose information correctly to you. It is the job of your brokerage to verify the answers to your questions. Here we go. Sellers you should be prepared to answer these.<br /><br /><br /><span style="font-weight: bold;">1. Why are you selling this lovely home?</span><br />The buyer wants to know just how desperate the seller is. Desperation equals a lower offer, so answer carefully. <br /><br /><span style="font-weight: bold;">2. How much did the seller pay for this house?</span><br />The amount is a matter of public record and a real estate professional can find it easily. In the Edmonton area market the answer to this may indeed be irrelevant, but it may prove to be very relevant indeed. At Coldwell Banker Johnston we have 24/7 access to land titles. This enables us to verify the purchase price and date according to the title.<br /><br /><span style="font-weight: bold;">3. What defects does the home have and have there been any recent professional home inspections?</span><br />In many cases the sellers had an inspection report done when they purchased. Their report will have outlined some things they were to have done. Many sellers will have at least begun work on some of those things. This may indicate to you as a buyer what level of pride and maitenance the owner undertook.<br /><br /><span style="font-weight: bold;">4. What problems have you had with this home?</span><br />In most cases sellers are not required to reveal patent defects. As a buyer it is up to you to do your due dilligence in determining what defects there are. There is the exception of latent defects however since I am not a lawyer and I am not giving legal advice I suggest you contact your lawyer to review this concept with.<br /><br /><span style="font-weight: bold;">5. What other properties in the area have sold recently?</span><br />Not only should you ask for this information we will review it with you. So that you can make an informed decision about the home you are buying.<br /><br />I have often explained to my buyers that there is no such thing as a bad questions. So ask, ask, ask.<br /><br />For all your real estate needs in the Edmonton market area contact us directly at 780 486 8655 or by <a href="mail%20to:%20sheldon@teamjohnston.com">email</a><br />Source: Inman News, Robert Bruss (3/24/06)<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114348889638738394?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143341410276645482006-03-25T19:40:00.000-07:002006-03-25T19:52:31.156-07:00Incredible opportunity to own 145+ feet of Prime Lake front property only 1 hour North West of Edmonton on fully paved access. Property includes a beautiful 2900 square foot two story home that is loaded with extras. <a href="http://www.edmonton-homes.ca/Barrhead/Alberta/Homes/Barrhead/Dunstable/Agent/Listing_545570.html">Click here for more details</a>.<br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca/Shared/Cache/Listing/545570/Photo/9-Gallery.img?_Version=632771002158900000"><img style="float:right; margin:0 0 10px 10px;cursor:pointer; cursor:hand;width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/Listing/545570/Photo/9-Gallery.img?_Version=632771002158900000" border="0" alt="" /></a><br /><br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca/Shared/Cache/Listing/545570/Photo/7-Large.img?_Version=632771002158730000"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/Listing/545570/Photo/7-Large.img?_Version=632771002158730000" border="0" alt="" /></a><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114334141027664548?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143340290730545282006-03-25T19:19:00.000-07:002006-03-25T19:31:32.363-07:00Do you own a rental house in the Edmonton area. Maybe you recently renovated it and now want to rent it to tenants. Maybe you've had previous long term tenants. Maybe you were not the most diligent landlord and they took advantage of you. This time you want to screen prospective tenants and want to know the best way to do that? <br /><br />Qualifying a rental tenant isn't difficult. Of course, insist on a written rental application and a deposit that is fully refundable if you don't select the applicant. That may help weed out the less serious applicants. Of course this depends on the rental market or vacancy rate in your area.<br /><br />It is perfectly legal to take several applications for the same rental, check each applicant, and select the best-qualified applicant. Then promptly refund the deposits of the applicants you don't accept. Of course, the first step is to verify employment and income.<br />Next, be sure to get a credit report on all applicants. Better yet, ask all applicants to supply their credit report which they can obtain for about $30. through equifax. We do offer a rental check service for our investor clients. For more information on this please contat us by email or call us at 780 486 8655.<br /><br />However, be sure to also phone the applicant's two or even three previous landlords to inquire why the applicant moved out. My experience is landlords are usually very truthful on the phone (except perhaps the current landlord who might want to get rid of the applicant). <br />My final question to prior landlords is always, "Would you rent to this tenant again?" You will instantly know if you found a good tenant. You may also want to engage the service of a professional property manager to do these things for you.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114334029073054528?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1143064879186987202006-03-22T15:00:00.000-07:002006-03-22T15:01:19.313-07:00No this isn't a prison sentence. If you are a first time homebuyer, it may feel like one though. It is not uncommon in Europe for mortgages to be generational and the way housing prices are going in the Edmonton area this well help some buyers get into the escalating market whilst maintaining some sustainable payment level.<br /><br />Friday, March 17, 2006<br />PATRICK BRETHOUR - From Friday's Globe and Mail<br /><br />CALGARY — The 35-year mortgage has arrived in Canada, giving overstretched first-time buyers the chance to plunge into the heated real estate market -- for the long term. But it might just mean that they end up making the last payment from their Canada Pension Plan cheques.<br /><br />In Canada, the 25-year mortgage has been the standard maximum, but the rapid escalation of housing prices has now shattered that previously ironclad limit. Genworth Financial Canada said yesterday that it will start insuring 35-year and 30-year mortgages, trumping a move by larger rival Canada Mortgage and Housing Corp.<br /><br />CMHC said three weeks ago that it would begin to insure 30-year terms. Both firms charge fees to insure low down-payment mortgages provided by financial institutions, but do not lend money directly.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114306487918698720?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142994232115704642006-03-21T19:16:00.000-07:002006-03-21T19:23:52.450-07:00Yesterday in Edmonton, King Ralph (The moniker for the popular 4 term premier of Alberta) made some announcements regarding the upcoming budget and planned tax cuts for Albertans. The fortunate people of Alberta will continue to prosper at least for now and that is very favorable to the Edmonton real estate market and housing prices and demand in the Edmonton area.<br /><br /> Check out the article from the Globe and Mail <a href="http://www.newalberta.net/news/2006/03/21/245">here</a>.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114299423211570464?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142886057673757792006-03-20T13:15:00.000-07:002006-03-20T13:48:46.716-07:00If you are considering selling your property, consider your options wisely. If you already have an agent or brokerage in mind, are <a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.edmonton-homes.ca/Shared/Cache/HtmlText/1735035/Photo/60-Original.img?_Version=632777069228400000"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.edmonton-homes.ca/Shared/Cache/HtmlText/1735035/Photo/60-Original.img?_Version=632777069228400000" alt="" border="0" /></a>they able to offer the best online marketing for your home? Everyone claims to have the best technology - who cares? Here's why you'll get more for your money by hiring us for all your Edmonton and area real estate needs.<br /><br />We've hired one of the best marketing and technology people in the real estate business. So not only are you getting 3 agents for the price of one, you are getting full time marketing and technology experience from one of the industry’s best and brightest <a href="http://www.edmonton-homes.ca/About_Us/page_1120714.html">Sara Maclennan</a><br /><br />We also think we have the best real estate shows in the business. These are in addition to our online pictures and virtual tours that on their own are better than the most in the industry. Compare <a href="http://video.edmonton-homes.ca">www.realestateshows.ca</a> to what other agents are offer. You be the judge, after all it is your money. These shows have a major emotional impact on the buyer and gives your home the professional representaion it deserves.<br /><br />Our award winning website <a href="http://www.edmonton-homes.ca">www.edmonton-homes.ca</a> is just one of our many online portals to our clients' listings. Our listings can be found on<br /><br /><a href="http://www.edmonton-homes.ca">www.edmonton-homes.ca<br />www.realestate-edmonton.ca<br />www.alledmontonhomes.ca<br />www.teamjohnston.com</a><br /><a href="http://www.mls.ca">www.mls.ca</a><br /><a href="http://www.coldwellbanker.ca">www.coldwellbanker.ca</a><br />...and hundreds of other agent's sites through our affiliations with Coldwell Banker, Point2Agent and the Edmonton Real Estate Board.<br /><br />Our real estate blog is the most popular and one of the first in Edmonton. A blog provides information to buyers and sellers who are interested in the current state of the Edmonton area real estate market. We built this blog as part of our effort to stay on top of trends that affect our market place and we have thousands of visitors come to our blog for this information. Our blog has brought us buyers from New York, Las Vegas, Sweden and the United Kingdom, to name a few. We give full access to information and buyers have rewarded us with their loyalty.<br /><br />So when you have a moment, compare how we market our listings to what any other agent offers does, then give us a call. Our family business always has room for another special client.<br /><br />Call us today and let us show you how we can benefit you. 780 486 8655 or toll free t 1 888 336 7356<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114288605767375779?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142885240514755202006-03-20T12:55:00.000-07:002006-03-20T13:07:21.173-07:00According to CBC news, it will be 4 days before all the streets in Edmonton are plowed...<br /><br /><img src="http://www.edmonton.ca/portal/server.pt/gateway/PTARGS_0_2_238_214_0_43/http%3B/CMSServer/NR/rdonlyres/474254E6-E2E0-4BE0-B598-C4ECF46146E9/0/snow_route_tim_edit_178.gif" align="left" border="0" />City officials in Edmonton are working as quickly as they can to clear snow after Saturday's late winter thumping that set a new snowfall record for March.<br /><br />Most buses were on schedule by Monday but about 20 buses were caught up on unplowed residential routes in the north and south ends of the city. The LRT was running fine.<br /><br />City officials relaxed the parking ban along designated snow-routes. Usually, parking is prohibited along major roadways so crews can clear the street right to the curb.<br /><br />Cleaning crews are more concerned with getting traffic lanes cleared as soon as possible, said Barry Belcourt, of the City Transportation Department. The total cost of cleaning up could reach $2.5 million.<br /><br />Broke 1967 record<br /><br />The blizzard easily broke a 1967 record for the snow in March. That record had been a meagre 9 cm.<br /><br />The snow clearing started off slowly. When the city put out a call for more equipment and operators, less than half the usual number showed up. They were already working elsewhere.<br /><br />It could be four days before all residential routes are cleared, Belcourt said.<br /><br />"If I was to take equipment and put it into residential, then there is no equipment to deal with the bus runs. So you would get out of the residential and you wouldn't be able to get out the bus runs to get to the main road," he said.<br /><br />Snow brought out community<br /><br />Not everyone was put out by winter's final desperate act to leave its mark.<br /><br />On a CBC radio phone-in line, people reported all sorts of neighbourly moments brought out by having to shovel 22 inches of snow to get anywhere.<br /><br />"I played in the snow all weekend. And I made some tunnels, and I went tobogganing. I made a fort. I love the snow!" said an exuberant girl named Alicia.<br /><br />Another caller described an impromptu group effort to clean the streets the old fashioned way.<br /><br />"In our neighbourhood, something surprising and encouraging happened sort of spontaneously. All of our neighbours that lived up and down our block helped each other in shovelling out the snow in front of street so that we could all have places to park and not get stuck."<br /><br />Yet another female caller told how members of her co-op pulled together to shovel out. Many cars were pushed, laughs were had, while children played all around.<br /><br />"I quite enjoyed the snowfall, and I think it was about time that we had one. Now if it will just go away so we'll have a good spring, that would be great."<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114288524051475520?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142791130947599182006-03-19T10:54:00.000-07:002006-03-19T10:58:51.083-07:00Traditionally, furnace filters were designed to protect the furnace and fans. With increased air quality awareness, some filters are now being installed to reduce exposure to particles which can affect your health. <p>There is a wide variety of furnace filters available. However, you may find it confusing to select one which is suitable. <a href="http://www.cmhc.ca/en/co/maho/gemare/gemare_008.cfm">This document from CMHC</a> provides you with guidance when selecting your furnace filter.</p><p><br /></p><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114279113094759918?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142790833738589262006-03-19T10:52:00.000-07:002006-03-19T10:54:05.073-07:00At some time, most homeowners will hire someone for repairs or renovations. Even a homeowner experienced in home repairs may have to hire a contractor or renovator because of the size or level of difficulty of the job. <a href="http://www.cmhc.ca/en/co/renoho/refash/refash_009.cfm">This fact sheet</a> from CMHC will help you choose a contractor and work effectively and fairly with the contractor to achieve the results you desire.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114279083373858926?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142370372649693332006-03-14T14:02:00.000-07:002006-03-14T14:06:16.516-07:00Exceprts from an article from the Edmonton Sun below show that the West is Best for those that want to work. Over half of western Canadian employers plan to hire this spring, leading not only Canada, but the whole world:<br /><br />"Things are probably a little stronger than people anticipated in our last survey," Manpower vice-president Dan Luft said on Monday. "The challenge is to fill vacant positions."<br /><br />The outlooks are plus 47 per cent in Edmonton, 67 per cent in Red Deer, 60 per cent in Calgary, 45 per cent in Vancouver, 53 per cent in Saskatoon, 50 per cent in Regina and 37 per cent in Winnipeg.<br /><br />"Heavy-duty mechanics, pipefitters and welders are the three biggest-demand skills for now," Luft said of the local market.<br /><br />Engineers are needed. So are accountants, "even for higher positions, such as chief financial officers and controllers," he said.<br /><br />To serve clients in Western Canada, "we're working with our 54 offices across the country," Luft said. "We had to fly to Toronto and make a presentation on the oilsands before it hit home."<br /><br />As easterners and central Canadians become more aware of western activities, more will consider careers here, he hopes.<br /><br />But job markets are strong across the country, and Western Canada also must recruit workers from abroad, Luft said.<br /><br />The Canadian employment outlook is plus 29 per cent.<br /><br />Worldwide, Canada trails only Japan, at 43 per cent, and India, at 40 per cent -- all below the western Canadian outlook. The European outlook ranges from minus one in Italy to plus 17 in Spain.<br /><br />Of the 10 industry sectors surveyed, the most brisk results were in mining, followed by public administration, then finance, insurance and real estate, and wholesale and retail trade.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114237037264969333?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142276065418533082006-03-13T11:54:00.000-07:002006-03-14T21:37:35.386-07:00<span style="font-family: arial;">One of the most valuable services we offer to our clients in the Edmonton area is assistance in staging their homes for sale. When requested, we will make recommendations to improve your home's value. Not only will we provide recommendations, we will provide the necessary referrals to professionals that maybe needed in order to properly stage your property. A properly staged home will sell sooner and for more money. It has been our pleasure to offer this service to our clients in the Edmonton area for the past 42 years.</span><br /><br /><span style="font-family: arial;font-family:Times New Roman;" >Sellers shouldn’t look at the cost of staging a home. Instead, they should consider how much more it will allow them to make on their house, says Peggy Selinger-Eaton, who has recently published a book and DVD entitled, <i>Stage Your Home for Profit</i>.<br /><br />Here are Selinger-Eaton’s suggestions for do-it-yourself stagers:</span><ul style="font-family: arial;"><li>Remove clutter except for a few wisely chosen accessories (candles, fresh flowers, crystal). </li><li>Bedrooms should have beds: If you're a bed short, use an inflatable mattress and some boxes to create a faux bed. </li><li>Light and more light: Raise window blinds and remove screens from windows to let in as much natural light as possible. </li><li>Modernize fixtures: Replace boring or tarnished light fixtures. Trade in old lampshades for new ones. Replace sink and tub fixtures with modern, shiny ones. </li><li>Deep-six shabby furniture. Selinger-Eaton recommends buying cheap-chic replacements at Target. </li><li>Create life: Set the table, leave on the big-screen TV, play background music. </li></ul><span style="font-family: arial;font-family:Times New Roman;" >Source: <i>Christian Science Monitor</i>, Keith Rockmael (03/13/2006)<br /><br /><a href="mail%20to:%20sheldon@teamjohnston.com">Get a free evaluation with recommendations for home staging now</a><br /><br /><a href="http//www.edmonton-homes.ca">View our listings online</a><br /></span><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114227606541853308?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142055229350607042006-03-10T22:27:00.000-07:002006-03-10T22:49:02.760-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.richardz.com/blog/2005/05/28/slimer.jpg"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 118px; height: 94px;" src="http://www.richardz.com/blog/2005/05/28/slimer.jpg" alt="" border="0" /></a>From time to time, usually through no fault of its own a property under goes a traumatic event that "stigmatizes" its value. How this affects the property's value may be debateable especially if you are the seller. In Edmonton we have seen all kinds of stigmatized properties come up including former grow-ops. The following is information from the Real Estate council of Alberta's website and deals strictly with this issue.<br /><br />Sometimes when dealing in real estate, the onus will be on you, the client, to ask questions regarding issues of specific importance to you and your family, rather than relying on a real estate agent to try to anticipate all of your needs.<br /> <span class="subtitle2"><br /> Concerns Not Physical, Structural, or Obvious</span><br />When selecting a property to buy, most often the physical appearance of a property and the neighbourhood will be obvious. If you are concerned about the less obvious structural and mechanical aspects of the house, you can have a property inspection done. However, consumers may have other areas of concern that would cause them to avoid a property. Certain events may cause a property to be described as a “stigmatized property.” This term is sometimes applied to a property that has had some circumstance occur in or near it, but which does not specifically affect the appearance or function of the property itself.<br /> <br /> Examples of these might include: <table style="width: 353px; height: 148px;" border="0"> <tbody><tr> <td><ol><li>a pedophile is reported to live in the neighbourhood</li><li>a former resident was suspected of being an organized crime gang member</li><li>a death occurred in the property</li><li>the property was robbed or vandalised</li><li>there are reports that the property is haunted</li></ol></td> </tr> </tbody></table> <span class="subtitle2">Significance Varies Individually</span><br />The significance of these or any other occurrence will be affected by a person’s values and perceptions, ethnic background, religion, gender, age and other individual concerns. Therefore, to determine with any certainty all the possible occurrences that might cause a property to be considered “stigmatized” is daunting if not impossible. Further, in the event of a lawsuit resulting from an undisclosed stigma, the buyer would have to prove what harmful effect the stigma had because these issues are often personal ones that do not affect the appearance, function or use of the real estate.<br /><br /><span class="subtitle2">Information Upon Request</span><br />In Alberta, it is important for consumers to know that real estate seller and the seller’s agents are not required by provincial legislation to disclose this type of information about a property unless asked. Therefore, Alberta consumers, who are concerned about certain types of events in regard to a property, are responsible to make inquiries of their real estate industry member and the property owner. When asked, your agent must make the appropriate inquiries and sellers and their agents must respond truthfully.<br /> <span class="subtitle2"><br /> Stigmas Are Difficult to Define</span><br />The following may help to answer these questions and show the difficulty in defining a stigma. Think about your response to this question:Some would say “Yes, absolutely!” However, consider the following situations:<br /><br />Would it matter to you if a death had occured in a property you were interested in buying?<br /><br />Some would say "yes, absolutely!" however, consider the following situations:<br /><br /> <table style="width: 410px; height: 238px;" border="0"> <tbody><tr> <td><ol><li>Would you find a death caused by a violent act or suicide unacceptable? </li><li>What if the family brought an elderly grandmother home to die in the comfort of her family and familiar surroundings? </li><li>Suppose it were a crib death of a newborn? </li><li>What if you learned the owner’s pet had recently died in the home? Would you feel differently if the death was natural or if poison was suspected? </li><li>Would you be concerned if a person had been killed by a car on the street in front of the house? </li><li>Would you be as concerned by a death that occurred 50 years ago as you would with a recent one? </li></ol></td> </tr> </tbody></table> These examples illustrate how difficult it is to clearly define what a “stigmatized” property might be. What one person might find unacceptable may be of little or no importance to another.<br /> <br /> <span class="subtitle2">Treading Carefully</span><br />It is impossible to anticipate all the areas of sensitivity individuals may have. While the feelings and concerns of individual buyers are understandable, it's also easy to see that sellers might be unfairly hurt by a requirement to disclose such things. For instance, if the law required that all deaths in properties must be disclosed, regardless of how and when they occurred, the act of bringing a grandmother home to die may cause the owners to lose property value.<br /> <br />It may seem unfair to place the onus on the buyer to make such inquiries about a property they are interested in. On the other hand, would it be fair to require a home-owner to label his property as stigmatized without a clear understanding of what the term means, or when it means different things to different people? Is it fair to hold a seller’s real estate agent responsible if an event was not disclosed to the buyer, even when the agent was not advised by the buyer that such events are important to them?<br /> <br /> <span class="subtitle2">Protect Yourself</span><br />You can take steps to avoid buying a property you might consider to be stigmatized by discussing your individual concerns with your agent and instructing the agent to ask specific questions about the property.<br /> <br />For example, suppose a family has had a tragic experience wherein their daughter was sexually assaulted while she was alone at their home. She is no longer comfortable in that home and this is their reason for moving. If she was to learn their new house had a similar event occur in it, she would be understandably upset.<br /> <br />To avoid this, the buyers should instruct their agent to make inquiries on their behalf. This can be done professionally and while maintaining a level of privacy. For instance, the buyer’s agent could ask the seller and the seller’s agent, “Have been any violent crimes committed in the property?”<br /> <br /> <span class="subtitle2">Duty to Disclose</span><br />When asked, the seller and their agent must disclose the information that is known to them. However, keep in mind the current owners may have no knowledge of events that occurred before their ownership or the property may have been rented out and the seller may not know of events that occurred during the rental period. For serious concerns, consumers are advised to make inquiries of the local police service.<br /> <br />Home sellers and seller’s agents who are concerned that some event may cause the seller’s property to be considered stigmatized will face a dilemma - do we disclose and risk harming our property value, or do we not disclose and risk the buyer learning the information later and pursuing us for damages? Prudent agents will discuss all the variables with the seller and should suggest obtaining a lawyer’s advice as to the seller’s rights and obligations.<br /> <br />Home sellers are cautioned to keep in mind this issue differs from the responsibility to disclose material latent defects. A latent defect is a material defect not generally visible, such as a serious crack in the foundation that has been covered over with paneling or improper wiring covered by drywall. Sellers and their agents must disclose all latent defects about a property to potential buyers, or otherwise risk being liable to the buyer for the costs of repairing the defect.<br /> <span class="subtitle2"><br /> Summary</span><br />Alberta legislation does not define stigmatized properties. It also does not require real estate industry members to disclose events which some may consider as stigmas, unless asked about them.<br /> <br />Buying consumers are advised to carefully consider the areas of concern they have, discuss them with their agent and ensure the necessary inquiries are made to avoid purchasing a property they will not feel comfortable living in. Sellers should consider the consequences of disclosure compared with no disclosure and seek legal counsel.<br /><br />With over 100 years experience we have the ability to assist you whether you're buying a stigmatized property in the Edmonton area. <a href="mail%20to:sheldon@teamjohnston.com">Contact us </a>for further information and assistance.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114205522935060704?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142054277479714442006-03-10T22:11:00.000-07:002006-03-10T22:26:30.630-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.fullspectrumremodeling.com/images/question-mark.gif"><img style="margin: 0pt 0pt 10px 10px; float: left; cursor: pointer; width: 101px; height: 170px;" src="http://www.fullspectrumremodeling.com/images/question-mark.gif" alt="" border="0" /></a>Gotta love a little trivia every now and then.<br /><br />The City of Edmonton manages 12 areas of infrastructure:<br /><br />- Drainage<br />- Road right-of-ways<br />- Parkland transit facilities and equipment<br />- Fleet such as buses and city vehicles<br />- Buildings Traffic control and street lighting<br />- Recreation facilities<br />- Affordable housing<br />- Waste management facilities<br />- Technology equipment<br />- Other services such as emergency response and police equipment and library contents<br /><br />source city of Edmonton.<br /><br />For facts and trivia related to real estate <a href="mail%20to:sheldon@teamjohnston.com">contact</a> Sheldon or Ken Johnston with Coldwell Banker Johnston and their team. Put their 100 plus years of combined real estate experience to work for you in the Edmonton real estate market.<br /><br />780 486 8655<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114205427747971444?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1142052456463499872006-03-10T21:40:00.000-07:002006-03-10T21:47:36.970-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.digitalrealtytrust.com/uploads/bfyvJCD352.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 158px; height: 123px;" src="http://www.digitalrealtytrust.com/uploads/bfyvJCD352.jpg" alt="" border="0" /></a><br />The Globe and Mail published an article today about a development wave in the commercial real estate market in Canada. Experts are predicting big increases in this sector of the Canadian real estate market. ROI on real estate investment in Canada was up 18.7% in '05, lead by Edmonton and Calgary at 23.4% and 26.5% respectively. Here are some exerpts:<br /><br />TORONTO -- A "mini development wave" is taking hold in the commercial real estate market as high prices and an abundance of capital are turning investors into builders and private owners into sellers, says a leading executive in the industry.<br /><br />As prices continue to rise across the country and the competition for existing buildings becomes more fierce, an increasing number of institutional investors are teaming up with private partners on construction projects, said Blake Hutcheson, Canadian president of CB Richard Ellis. At the same time, many private owners are taking advantage of the rising market to sell at least some of their holdings, he said.<br /><br />"We are at the point that it may not be a bad time to take some money off the table," Mr. Hutcheson said yesterday at the RealCapital conference in Toronto, which focuses on investment in the industry. The coming year will likely see an increase in privately held portfolios coming on to the market, he predicted during his firm's annual forecast presentation.<br /><br />He also predicted increased merger and acquisition activity this year and said he anticipates some institutional investors will sell parts of their holdings in order to reinvest their gains in areas where they can get a higher return, perhaps in foreign markets. They also may put some of those gains into new construction.<br /><br />"Watch for a mini development wave across all sectors," Mr. Hutcheson said, noting that higher downtown office rents in markets such as Calgary and Toronto have made new construction in this sector a real option for the first time in several years.<br /><br />Even with new supply, Mr. Hutcheson expects rents to rise in most sectors and prices to continue to climb. These favourable conditions also will lead to an increase in the value of properties trading hands, he said.<br /><br />A string of blockbuster deals, such as the sale of the O&amp;Y portfolio, pushed the value of commercial real estate transactions up to almost $20-billion in 2005 from $16.8-billion in 2004. That activity should rise even further this year, Mr. Hutcheson said. "We are going to see some major deals."<br /><br />That kind of activity would be welcome by many speakers at yesterday's conference who identified the lack of available product as a major issue in the Canadian market.<br /><br />"There is a perception that the highest-quality real estate in Canada is locked up for good by Canadian institutions," said Amy Erixon, who runs the North American operations of industrial developer Giffels Management Ltd. and is based in the United States<br /><br />The head of North American investment for a major German fund agreed. "The industry is very centralized," said Christian Strauch of KGAL Group. "It does not take long to know everybody because there are just a handful of people."<br /><br />Despite rising prices, the Canadian real estate market continues to offer investors attractive returns. New figures released this week by the Canadian Institute of Canadian Real Estate Investment Managers show that total return on real estate in 2005 was 18.7 per cent, up from 13 per cent in 2004.<br /><br />Returns on office properties showed the biggest gains, almost doubling to 18 per cent. The hottest markets were Calgary with a 26.5-per-cent return and Edmonton with 23.4 per cent.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114205245646349987?l=edmonton-homes.blogspot.com' alt='' /></div>Sara MacLennanhttp://www.blogger.com/profile/04939525986941465788noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1141966025192867022006-03-09T21:24:00.000-07:002006-03-10T08:30:41.220-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www2.triathlon.org/world-champs/wch-2001/events/edmonton2001/photos-logos/city-hall-fs.gif"><img style="margin: 0pt 10px 10px 0pt; float: left; cursor: pointer; width: 200px;" src="http://www2.triathlon.org/world-champs/wch-2001/events/edmonton2001/photos-logos/city-hall-fs.gif" alt="" border="0" /></a>The Edmonton Journal reported today that the mayor of Edmonton is looking about 8.6 billion dollars. Phew. I thought it was going to be some stratospheric amount. I should mention that he is asking for that over the next 10 years and it is supposed to help pay for all kinds of much needed infrastructure work. It seems to me though that the province collects the windfall of the oil boom here and hands out useless $400 cheques, our cities have to go hat in hand for money.<br /><br />That's ok though, in a separate article in the Journal today the mayor mused on the inability to find a way to give post secondary students their bus passes for free.<br /><p>Mayor Stephen Mandel says a special transit pass for post-secondary students will face delays unless the city agrees to subsidize the program. </p><p>The idea for a specially priced U-pass has been discussed for years as a way to encourage students to take the bus and the LRT. </p><p>But plans have been held up, in part by a dispute over how much students should pay. </p><p>A University of Alberta referendum held in 2004 found students would agree to pay $60 per semester, while the city has said it needs at least $120 per semester to cover the costs of extra transit vehicles and staff. </p><p>To break the stalemate, the city may have to swallow some of those costs, Mandel said. He agreed that $120 per semester is too much for students to pay.</p>I'd personally be willing to let the students ride for free. If they'd agree to community service. I know, I know, life's tough but in one of the greatest places on earth to live this is what we have to cry about.<div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/17592735-114196602519286702?l=edmonton-homes.blogspot.com' alt='' /></div>Sheldon Johnstonhttp://www.blogger.com/profile/11986731032951320849noreply@blogger.com0tag:blogger.com,1999:blog-17592735.post-1141795326459123642006-03-07T22:21:00.000-07:002006-03-10T22:28:05.136-07:00<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://www.westcanoon.com/images/edmonton.jpg"><img style="margin: 0pt 0pt 10px 10px; float: right; cursor: pointer; width: 200px;" src="http://www.westcanoon.com/images/edmonton.jpg" alt="" border="0" /></a>Challenges lie ahead for the inexperienced. If you are so inclined to tackle this robust market without professional help you are as likely to miss out on a great opportunity as make the wrong move at the wrong time. Experience is crucial in an environment such as this. If you are looking for professional help in what's being called 'boom Berta' then we are your team. <a href="mailto:sara@teamjohnston.com">Contact us</a>. The following is the Edmonton Real Estate Board's press release for February's market statistics.<br /><span class="heading2"> </span> <p>Edmonton, March 2, 2006: February is supposed to be a relaxing month for REALTORS®. Consumers are typically in hibernation or on winter vacations and sales are slow but steady. But no one had their feet up this month with residential sales in February up 27% over last February and up 36% over January 2006.</p> <p>“REALTORS® have been kept busy responding to the atypical consumer demand for housing,” said Madeline Sarafinchan, EREB President. “Over 80 homebuyers found their new home through the Multiple Listing Service® each business day in February.” Over 1,000 single-family detached homes, 500 condos and 59 duplex and rowhouses were sold in February. Records for sales in February were set in each category. </p> <p>A decrease in the number of days on market was an indicator of the intense market activity. Homes sold in February were on market for an average of just 35 days: down from 45 days in February 2005. The sales activity also encouraged listings; 1,835 residential properties were listed in February. That is 220 more than were listed in January 2006. At the end of February, there were 2,595 residential properties available on the Edmonton MLS®. </p> <p>Single-family home selling prices climbed to an average price* of $249,925 in February: up 6.25% from last month. Condo prices of $146,933 on average were below the record prices set in August 2005 ($149,500) but up almost 10% from last month. Duplex and rowhouse prices hovered near record level highs at $198,394 in February. The average price for all residential property was $211,531 – up over $28,000 from last February and a new all time record high.</p> <p>“Inventory is still available for 1.6 months at current sales levels,” said Sarafinchan. “In 1990 inventory levels dropped to around 1,600 properties so there is no need for alarm. The inventory selection changes constantly with up to 100 properties being added to the inventory each day.” REALTORS® have access to computer records, which are updated with new listings every three minutes. </p> <p>The strength of the Alberta economy may be reflected in the sale of vacant acreages and recreational properties. Average prices tripled from $59,914 in February 2005 to $184,997 this February. Sales of recreational properties with a home also tripled since last February although prices dropped slightly. </p> <p>In the commercial division, total sales are double the previous two Februarys. Total commercial sales were $21 million in February 2006, up from just over $10 million in 2005 and 2004. Land sales are double last year and apartment sales rose from $2.8 million to $6.6 million in one year although unit sales only increased from seven to eight. In the Businesses category, just seven sales generated $2.5 million compared to 10 sales last February for $1.5 million.</p> <table style="width: 429px; height: 380px;" class="content" cellpadding="5"> <tbody> <tr> <td width="250"><b>February 2006 activity</b></td> <td align="center" valign="center" width="125"><b>Record *</b></td> <td align="center" valign="center" width="125"><b>% change from 2005</b></td></tr> <tr> <td>Total MLS® sales this month</td> <td align="center" valign="center">1,794*</td> <td align="center" valign="center">27.40%</td></tr> <tr> <td>Value of total MLS® sales - month</td> <td align="center" valign="center">$395 million*</td> <td align="center" valign="center">49.50%</td></tr> <tr> <td>Value of total MLS® sales - year</td> <td align="center" valign="center">$665 million*</td> <td align="center" valign="center">47.00%</td></tr> <tr> <td>Residential¹ sales this month</td> <td align="center" valign="center">1,605*</td> <td align="center" valign="center">27.70%</td></tr> <tr> <td>Residential average price</td> <td align="center" valign="