Calgary Real Estate Blog

The Calgary Herald, whose paywall experiment seems to have gone away, reports today that there’re more houses being sold and bought than you can shake a stick at, despite July traditionally being a slower month, what with the Stampede taking everyone’s time (and speaking of Stampede: bacon-wrapped corn dog. That is all). The Herald uses the word ‘deluge’ to describe the rush of buyers looking to enter the market or move somewhere not described as a flood plain.

I’ve never been one to complain about having too much work, despite it elbowing its way into my personal life more and more (I continued negotiations on two offers during an intermission at Stage West not long ago) and leading to a highly irregular meal schedule, so this is great news for me. I’m still camping with the family (mobile Internet is a beautiful thing for telecommuting from the mountains), still enjoyed some Stampede shenanigans, and still managed to help some great families find great homes. This pace won’t continue forever, so right now I say, “bring it on!”.

With relatively low inventories – and not just because of flood damage – the Calgary real estate market is on fire right now. The Calgary Herald reports that condos, bungalows, and two-storey homes have all increased in price by 6 to 7 percent in the second quarter, year-over-year, as listings regularly receive multiple offers. The flood certainly didn’t help with the inventory crunch, but the overall trends shouldn’t be affected long-term by that mess; this isn’t a short term blip, it’s a larger trend.

And it’s not just the common-man homes that are moving: a record number of $4 million-plus homes have been sold so-far in July (and it’s only the 9th). There’s more inventory available in the luxury market, and the higher prices and low availability of mid-range homes, combined with interest rates that look like they’ll stay low for another couple of years, are all factors encouraging people looking to move up.

So, if you’re thinking about selling your present home and move into something larger, be prepared to act fast once you find that perfect place. And have a solid idea of the maximum you’re willing to spend – those susceptible to getting caught up in a bidding war could take a hit in today’s market. Smart buyers approaching transactions logically and not emotionally, however, should still be able to find the right home at the right price.

After the absolutely devastating flood that hit Calgary, the title of this post may seem self-explanatory, and indeed, it is: the unforeseen happens, property can be wiped out with little warning and even less that you can do about it, and rebuilding is expensive. Yet, so many people have less insurance coverage than they should on their home and contents.

A standard homeowner’s policy will insure the cost of the home (not the cost you paid for it – that included the price of the land – but the amount to rebuild the property) and the contents within. It is important, however, to conduct an inventory to be sure, should the worst case scenario happen, you have sufficient coverage, rather than just assuming the standard amount will be fine. Have an extensive collection of something, or some specialized equipment? Make sure it’s covered. Bumping up the amount of coverage often incurs an insignificant increase in premiums, even when increasing by thousands of dollars.

Same goes for personal liability, which covers you and your family for property damage or injury inadvertently caused against others. Most insurance brokerages will only write policies with at least $500,000 in coverage, and $1 million is the standard low-end recommended. In this day and age, though, $1 million wouldn’t go that far in the event of a serious lawsuit or major accident. Increasing liability coverage to $2 million, $3 million, even $5 million, will hardly affect your monthly premiums while giving much greater protection.

Homeowners insurance policies can range from comprehensive (the most coverage, with the highest premiums) to ‘no frills’ (the least coverage, with the lowest premiums). Compare all of your options, and shop around. Some insurance companies offer additional perks, like emergency babysitting services or legal assistance, while others are bare bones. If we’ve learned anything recently, it’s that disaster can indeed strike, and unexpectedly. For your and your family’s sake, review your policy and be sure it will protect you when you need it most.

With all the destruction from the floods there is real need to pull together and help each other through this.  If anywhere can do this it’s Calgary!

Here are some links / numbers for donations:

Red Cross – 1-800-418-111

YYCHelps

Place2Give

The City of Calgary is currently not accepting donations or volunteers at its reception centres.  Keep an eye on the webpage for updates.

For anyone struggling or needing support during this major flood crisis, here are some key resource links:

City of Calgary News

Calgary Newsroom Evacuation Plan

Alberta Government Transportation – Alberta Emergency Alert

Stay safe and dry!

Alright, maybe not ever, but it’s pretty good; from Monday’s Financial Post: “Prices remain stable, perhaps maddeningly so for the legions of bubble mongers,” said Douglas Porter, chief economist at BMO Capital Markets.

Yes, thanks to some new data from the Canadian Real Estate Association, there seems to be a turn in public opinion as to whether or not Canada’s in the midst of a housing bubble. More rational discourse has replaced the nearly-apocalyptic cries of some who still expected our country’s real estate market to follow the United States’ lead into a precipitous plunge.

Instead, we’re seeing healthier-than-expected growth, not just in Alberta, but nationwide. With a new Bank of Canada governor being installed, there’s the possibility of some minor policy shifts from the rockstar tenure (at least by banking standards) of outgoing governor Mark Carney, but I doubt any drastic moves will be made. They just don’t need to be. Household debt is a perennial problem, sure, but it’s not aggravated by an appetite for increasingly expensive homes; by and large, Canadians don’t especially care for being house poor.

I’m certain Alberta will continue to lead the country in home sales and rising property values, as we stand to be Canada’s turbocharged economic engine for some time to come, but it’s nice to see the rising tide lifting all of the ships, to mix some metaphors (unless the turbocharged engine was on a speedboat… Yeah, that’s it!).

The name Palliser is used in a few contexts in Alberta, thanks to the significance of explorer John Palliser’s efforts to map western Canada. One such namesake is Calgary’s nearly 50 year-old community of Palliser, in the city’s southwest.

There’s a focus on outdoor recreation opportunities in Palliser, located as it is along the edge of the Glenmore Reservoir and near the Weaselhead Flats: hiking, boating, and more are within easy reach of Palliser residents. Further, the Heritage Park historical village is in the same vicinity, with its renowned Sunday brunch (once frequented by Calgary Flames goalie Miikka Kiprusoff), rides for the kids, and ambience linked to our shared history. With Heritage Drive, Glenmore Drive. Crowchild Trail, and Macleod Drive all nearby, this community is an easy drive from nearly all Calgary has to offer.

Served by four elementary schools, five middle schools, and three high schools (including public, separate, and private options), Palliser has an abundance of options for the 400 or so school-age children in the neighbourhood. Its population has remained steady in recent years – growing only 0.3% from 2007-2011, compared with the city’s 7% growth overall – and so its a good place for people looking to put down roots and build relationships with neighbours.

To see homes available in Palliser, do a Quick Search.

To get a complete market report on Palliser, or any other neighbourhood you are interested in, use our quick and easy market report request.

It’s from a few months ago, but I thought it still worth drawing readers’ attention to: here’s an article from January’s Financial Post positing that so-called stubborn sellers are preventing a burst real estate bubble in Canada. It’s a good read.

Now this doesn’t really speak specifically to Calgary’s situation – we continue to set sales and price records, and I continue to work my butt off – but it does say something about the market’s health nationally. Sales are down in much of the country, yet prices aren’t really dropping. Without finding themselves suddenly underwater like so many unfortunate souls in the U.S., Canadians aren’t motivated to drop their selling price to move their properties quickly, and that means the market as a whole is remaining pretty stable. Barring a massive wave of unemployment or interest rates jumping up several points overnight, the spectre of a bursting real estate bubble in this country is, in my opinion, wildly overhyped.

Just one man’s opinion, of course, but it’s hard to see the future as dire when I so rarely get a day (or night) off.

For this installment, let’s look at another wonderful community on the city’s edge, Woodbine. Bordering on the Tsuu T’ina First Nation in Calgary’s Southwest, Woodbine is a 33 year-old community 10,000 people strong, that’s become popular with higher income earners (median income is in the mid-$80,000s) and those appreciating quick access to mountain getaways.

The Woodcreek Community Association recently completed an addition to its popular community centre, making it even more versatile for the varied groups using the facility; Girl Guides, Boy Scouts, a Lions club, seniors groups, and the Bulldogs football club are just some taking advantage of the centre’s playing fields, tennis courts, skating rinks, halls, boardrooms, and other amenities.

Within Woodbine’s 3.5 square kilometres is also a karate studio, a dance studio, and a fitness centre, along with both public and separate elementary schools. Fish Creek Park and Glenmore Park are both in close proximity.

One attractive feature of Woodbine is it’s low crime rate compared to the rest of Calgary: in 2006 and 2007, the community recorded the lowest person and property crime rates in the city, according to the Calgary Police Service.

To see homes available in Woodbine, do a Quick Search.

To get a complete market report on Woodbine, or any other neighbourhood you are interested in, use our quick and easy market report request.

Another of the city’s more populous neighbourhoods, the 22 year-old community of Coventry Hills is home to nearly 16,000 people, with a well above-average median income and a large number of families (almost a third of all residents are under the age of 19). Located in Calgary’s north-east, Coventry Hills is near the northernmost limit of the city. However, having Deerfoot Trail, Sarcee Trail, and Country Hills Boulevard on its borders, commuting time is less than you might expect, which somewhat explains the popularity of this suburban community.

Children in Coventry Hills attend one of five elementary schools, four junior highs, and three high schools in the public, separate, and private systems. Represented by the Northern Hills Community Association, residents have access to community garden plots, inspirational speaker events, and other activities. The northern location also has easy access to Crossiron Mills shopping centre, including restaurants and a state-of-the-art movie theatre.