What will 2014 bring for the Calgary real estate market? We had a glimpse at CREB’s forecast yesterday.
The RE/MAX Housing Market Outlook is also projecting another year of growth for Calgary as average prices are expected to increase by 2.5% while sales are to rise 9%.
“What do you expect a real estate company to say?” the skeptic in you might ask. Before dismissing the report, let’s take a look at how accurate RE/MAX’s forecast for 2013 was.
This is an excerpt from their 2013 outlook report:
Calgary is expected to head into 2013 with a level of momentum not seen in years. Solid economic performance and strong consumer confidence are forecast to propel the residential housing market forward.
The number of homes sold in Calgary is predicted to experience yet another double-digit increase, rising 10% to 28,100 units by year end. Modest appreciation is expected for housing values in the centre, with average price climbing two percent to $423,000 in 2013.
Let’s compare those figures to the 2013 year-end estimates from the current report.
The average price was forecast to be $423,000. The estimate for 2013 is now $437,000. RE/MAX underestimated price growth by $14,000 or 3.3%.
Sales were forecast to be 28,100 in 2013. Their updated estimate is now 27,500, a change of 2% or 600 sales.
Considering that many were predicting that 2013 was going to be the year of the “Great Canadian Real Estate Crash”, RE/MAX deserves credit for a forecast that was fairly spot on.
Please note: If you’re trying to reconcile where the figures in the report are coming from, RE/MAX is using CREA’s statistics which don’t line up exactly with CREB’s.