When searching for real estate in Calgary, deciding whether to purchase a home or a condo boils down to two main factors:
- What is your price range/budget
- What is your lifestyle
The answer to these two questions will help narrow down the preferred choice when it comes to buying a home in Calgary. It’s important to note the real estate trend for home prices in the last quarter of 2018 in Calgary.
According to CBC.ca, the average price of homes in Calgary increased by 1.3%, increasing the average rate for a two-storey home to $539,840 and $517,573 for bungalows, which increased by 1.7%. Condos in Calgary, on the other hand, saw a decrease in the price, falling to an average price of $279,745, lowering the price by 3.5%. For buyers who are looking for a condo, the downward market trend plays to their advantage, making it a buyer’s market. Despite the slight increase of home prices, compared to the national average, homes in Calgary still appeal to buyers given the lower national average price. While other provinces saw an aggregate price increase of approximately 4%, the real estate market in Alberta, except for Fort McMurray, only saw a slight improvement.
Home prices in Edmonton were only marginally higher than Calgary, with the average two storey home price being $385,550, an uptick of 1.6%. The fluctuating market can be attributed to the change in oil prices, increased interest rates and the new mortgage rule which took effect on January 1, 2018. The new mortgage rule shifted buyers to opt for a home that was typically 20% cheaper than their original budget. Taking these factors into consideration, in part two of this blog, we will go over how it home buyers can calculate and assess which home would be the right home for them to purchase. Using vectors such as lifestyle, budget, additional costs, mortgage payments and strategies to maximize the value of their, buyers can narrow down their choice.
For any related questions about home buying, click here to reach out to one of our specialists today, and we will be happy to help.