CALGARY HOUSING Single Family Detached, Town House and Condo Average Prices with Total Residential Listings and Sales and the TSX Energy Index
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NOTE: Condo data from July 2006 to November 2010 are CREB combined Strata. The TSX Energy Index is x15 to fit the chart.
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In June 2018 total residential sales in Calgary continued ticking up off their seasonal lows on a well established downtrend of lower highs that began mid-year 2013; the 5 year sales breakdown has capped prices while inventory has swelled in 2018. |
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In May 2017 real estate buyers heard Trumpets and moved the average price of a detached house to a historical peak and now 13 months later, the buy side of the market is thinning out as the sell side offers up a new high in listing levels since the listings low in January 2014. Pack up the pickup; you're going to move.
The employed in Alberta are enjoying a return to the average employment earnings range of the October 2014 $60,961 high as the latest earnings clock in at only 2% below that peak.
But Foreign Direct Investment in Canada has been negative for two decades and the trend spiked to a new wide in 2015, 2016 and 2017. That's a trend. Housing is a commodity as is heavy crude. Follow the money.
Here is another attempt to visualize the distortions of the market where the fundamental requirement of a yield to attract sustainable investment in real estate has been replaced with the lure of capital gains.
Here is another attempt to visualize the distortions of the market where the fundamental requirement of a yield to attract sustainable investment in real estate has been replaced with the lure of capital gains.
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The "improvement" that sits on the land is a wasting asset. If serviced land is so valuable, shouldn't the ratio be 1 house equals at least 3 townhouses? If the numbers don't make sense you can always rent. When MOI is low & MAR is high, developers and vendors have the edge.
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IN THE LAST 10 YEARS
AVERAGE SFD Prices are up: 109% in Vancouver 21% in Calgary 110% in Toronto WHILE Employment Earnings are up: 23% in BC 29% in AB 25% in ON |
