Lacombe Market Update June 1, 2019

The central Alberta market continues to make buyers happy with great prices, ample inventory and attractive interest rates.  Sellers, on the other hand, will have to wait a little for their sunshine to arrive, still experiencing low prices and more supply than demand.

It’s hard to accurately calculate how much house prices are down since they last peaked in 2014, but we believe the average drop is 10% – 12% depending on a number of factors – location, age, price range etc.  For those who purchased homes in 2014 and paid those higher prices, there is some good news.  If you borrowed $400,000 over 25 years at 3.5%, 5 years ago, you will have now paid that mortgage down about $55,000 to $345,000.  The value of your home may be down, but you should now have your original equity (or more) back.

That leaves people who had no options in 2016, ’17 and ’18 with equity and the ability to move on if they wish.  The house they buy after they sell their current home has been price adjusted too.  The biggest obstacle holding back the housing market now is the, irrational for Alberta, mortgage stress test that CMHC and the federal government continue to defend and are likely to maintain.  Hopefully the Provincial Government’s promised solution is coming soon.

Blackfalds Market Update June 1, 2019

The central Alberta market continues to make buyers happy with great prices, ample inventory and attractive interest rates.  Sellers, on the other hand, will have to wait a little for their sunshine to arrive, still experiencing low prices and more supply than demand.

It’s hard to accurately calculate how much house prices are down since they last peaked in 2014, but we believe the average drop is 10% – 12% depending on a number of factors – location, age, price range etc.  For those who purchased homes in 2014 and paid those higher prices, there is some good news.  If you borrowed $400,000 over 25 years at 3.5%, 5 years ago, you will have now paid that mortgage down about $55,000 to $345,000.  The value of your home may be down, but you should now have your original equity (or more) back.

That leaves people who had no options in 2016, ’17 and ’18 with equity and the ability to move on if they wish.  The house they buy after they sell their current home has been price adjusted too.  The biggest obstacle holding back the housing market now is the, irrational for Alberta, mortgage stress test that CMHC and the federal government continue to defend and are likely to maintain.  Hopefully the Provincial Government’s promised solution is coming soon.

Sylvan Lake Market Update June 1, 2019

The central Alberta market continues to make buyers happy with great prices, ample inventory and attractive interest rates.  Sellers, on the other hand, will have to wait a little for their sunshine to arrive, still experiencing low prices and more supply than demand.

It’s hard to accurately calculate how much house prices are down since they last peaked in 2014, but we believe the average drop is 10% – 12% depending on a number of factors – location, age, price range etc.  For those who purchased homes in 2014 and paid those higher prices, there is some good news.  If you borrowed $400,000 over 25 years at 3.5%, 5 years ago, you will have now paid that mortgage down about $55,000 to $345,000.  The value of your home may be down, but you should now have your original equity (or more) back.

That leaves people who had no options in 2016, ’17 and ’18 with equity and the ability to move on if they wish.  The house they buy after they sell their current home has been price adjusted too.  The biggest obstacle holding back the housing market now is the, irrational for Alberta, mortgage stress test that CMHC and the federal government continue to defend and are likely to maintain.  Hopefully the Provincial Government’s promised solution is coming soon.