Photo: Tony Hisgett/Flickr
The aggregate price of a Calgary home was $457,044 in the third quarter of 2016, and while that’s down 1.6 per cent from a year ago, Royal LePage believes it’s not a bad result.
In its latest House Price Survey, released October 13th, the company notes that Alberta’s energy sector slowdown has negatively impacted home prices in the province’s key housing markets, but emphasizes that so far prices have fallen less than many experts predicted.
“Even in the hardest hit oil patch regions, prices have held up well, with small single-digit declines, year-over-year,” said Royal LePage President and CEO Phil Soper in a release accompanying the survey.
Another bright spot is that Calgary’s lower home prices are making it an appealing location for first-time buyers. While condos are easily the least expensive type of home in Calgary — they had a median price of $287,986 in Q3 compared to $502,213 for a two-storey home and $458,933 for a bungalow — Corinne Lyall, broker/owner at Royal LePage Benchmark, said that many first-time buyers in the city can afford larger homes.
Cliff Stevenson, president of the Calgary Real Estate Board, raised the same point this past summer, noting at the time that due to low home prices and high inventory levels, many buyers were considering “previously unattainable” homes.
Royal LePage concludes by commenting that some market watchers believe that Alberta has withstood the worst of its economic decline, and anticipate “the relative low cost of housing compared to other major centres [being] a supportive factor in the long run.”