May 1-14, 2013 Calgary Real Estate Market Update

If the Canadian housing market is supposed to be slowing down this spring, Calgarians have yet to receive the memo.  May sales are on pace for the highest total since 2007 and currently up 7.8% year-over-year.

Sales growth is mostly attributed to the condo market segment: Condo-apartment sales increased 14.53% with 197 sales, while Condo-townhomes have jumped 30.16% with 164 sales.

Single family home sales are up a modest 2.62% to 783, but that’s still the highest 2-week total in May since 2007 as well.

Average and median prices are seeing price growth year-over-year across all three market categories with 16.5% of the properties selling for full asking price or higher.

There have been 33 properties that sold for a $1M or more month-to-date: 29 single family homes and 4 condos.  That’s off the record-breaking May from last year where 37 had sold during the same period.

Calgary Sales May 1-14 year-over-year comparison

Calgary Sales May 1-14 year-over-year comparison

(click to enlarge)

(click to enlarge)

6 responses to “May 1-14, 2013 Calgary Real Estate Market Update

  1. Thank you Mike. I just want you know that even though you don’t see people making comments to your blog, there are lots of readers waiting for reading your updates all the time. Keep going!

    Thanks, I appreciate it 🙂
    -Mike Fotiou

  2. Hi Mike
    I wonder if there is any explanation or analysis with respect to the variance between city assessed values, bank appraisal values and real estate CMA. While I understand they use different criteria, I would expect each to matter in the actual sale price. Do agents typically bring alert buyers to the property tax assessment value of the selected property?

  3. Some clients are interested in knowing what the tax assessed value is, but it shouldn’t be relied on for setting price when buying or selling for several important reasons:

    – Calgary’s assessment is based on July 1 market value, so today’s assessment is already almost a year behind
    – Assessed value of homes sold exactly on July 1st don’t even match the sold price.
    – None of the homes are individually visited. They don’t take into account any renovations, upgrades, maintenance issues, etc. Would you buy a home sight unseen? Not normally. So why would you base your decision on a mass assessment sight unseen?
    -Property taxes are determined by mill rate X assessed value. Does anyone complain when their assessment is too low resulting in lower taxes?

    Market value and bank appraisals are the two values that really matter.

  4. Hi Mike,
    Thanks for your previous comment. I always wondered what the correlation was between Calgary Assessment and Selling Price. I had heard years ago that you take the property assessment and add $50k to make the list price.
    Clearly such a rule of thumb is grievously prone to error for the reasons that you state.

    Anyways, I had to laugh about your comment regarding no one complaining that their Assessment is too low. We had a real busy body neighbour back when I was growing up and she was furious with the City when they assessed her house ‘too low’. She boasted about how She phoned the city and demanded that they increase the value! Some people eh?

    Have a great weekend

    Haha, that’s awesome – I can’t believe she did that. Have a great long weekend as well!
    -Mike Fotiou

  5. This makes sense since there has recently been an increase in the amount of immigrants from Asia and other parts of the world to occupy well-paying positions in the oil industry.

  6. Pingback: Why You Shouldn’t Rely On City Property Assessments For Buying or Selling Real Estate | Calgary Real Estate Review

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