Real estate in Calgary - another bubble?

[you&me]

Originally Posted by Gundo

Yes to clarify we are selling our current home before our new house is completed.

Are you confident in the builder completing your new home on schedule? With how things are these days, I'd want to have a lot of latitude with possession dates.

[blankall]

Originally Posted by you&me

Are you confident in the builder completing your new home on schedule? With how things are these days, I'd want to have a lot of latitude with possession dates.

This is a major issue. There are serious supply shortages. Surprising things too. I've been waiting for a part for my furnace for months now....in the coldest winter on record in Vancouver.

[Weitz]

Yah a friend is now renting the condo they just sold because the house they are building has been delayed 4 months. Just getting soaked on rent too.

[moncton golden flames]

A builder will also come back to you and say this home costs 40k more, pay up or lose it.

[Weitz]

Originally Posted by moncton golden flames

A builder will also come back to you and say this home costs 40k more, pay up or lose it.

I guess if you signed a contract allowing such things. Maybe they are writing them that way now. But I’ve heard of lots of complaints from builders not making any money because of pricing changes.

[CroFlames]

Makes me almost want to sell my house and live with my parents. Almost haha.

[Acey]

I have a bit of inheritance money and I'm in the market for a 2 bedroom condo. Is now a good time in north Calgary or Airdrie?

[Weitz]

Originally Posted by Acey

I have a bit of inheritance money and I'm in the market for a 2 bedroom condo. Is now a good time in north Calgary or Airdrie?

Depends what your goal is. Make money? No. Somewhere to live? Sure.

[Acey]

Originally Posted by Weitz

Depends what your goal is. Make money? No. Somewhere to live? Sure.

I know I have a lot of research to do, I've never owned property. Not really looking to make money. Sounds like a lot of people have been losing money on their condos and a detached house is better in terms of retaining value but I plan on being single indefinitely and a house will be a lot of work.

[cKy]

I've only been following the last few pages so someone give me a quick schooling here. Being in Victoria (14 years now), the last 3-5 years have been basically what you guys are experiencing in Calgary now. Houses are selling for way more than they should, with no conditions, and usually before they hit the market (Realtors talking I assume).

Knowing a few people who moved from Calgary to Victoria in recent years, they had a hell of a time selling their condo/houses.

Is the change due to the interest rates increasing? More people going to Alberta? People upgrading? Just seems like hysteria there now. How long has this been trending?

[burn_this_city]

Originally Posted by cKy

I've only been following the last few pages so someone give me a quick schooling here. Being in Victoria (14 years now), the last 3-5 years have been basically what you guys are experiencing in Calgary now. Houses are selling for way more than they should, with no conditions, and usually before they hit the market (Realtors talking I assume).

Knowing a few people who moved from Calgary to Victoria in recent years, they had a hell of a time selling their condo/houses.

Is the change due to the interest rates increasing? More people going to Alberta? People upgrading? Just seems like hysteria there now. How long has this been trending?

$88 WTI this morning and a market that is affordable compared to all the other major urban centers.

[Maccalus]

Originally Posted by cKy

Is the change due to the interest rates increasing? More people going to Alberta? People upgrading? Just seems like hysteria there now. How long has this been trending?

We are in the process of getting our house ready to list now. Talking with our realtor, he says there is also a significant number of people coming in from vancouver/toronto to buy the more affordable properties here as investment properties. Don't know how much of that is just realtor speak though.

[cKy]

Originally Posted by Maccalus

We are in the process of getting our house ready to list now. Talking with our realtor, he says there is also a significant number of people coming in from vancouver/toronto to buy the more affordable properties here as investment properties. Don't know how much of that is just realtor speak though.

What area?

[jwslam]

Saddleridge and redstone of course!

https://www.realtor.ca/real-estate/2...y-saddle-ridge
https://www.realtor.ca/real-estate/2...lgary-redstone

[blankall]

Originally Posted by cKy

I've only been following the last few pages so someone give me a quick schooling here. Being in Victoria (14 years now), the last 3-5 years have been basically what you guys are experiencing in Calgary now. Houses are selling for way more than they should, with no conditions, and usually before they hit the market (Realtors talking I assume).

Knowing a few people who moved from Calgary to Victoria in recent years, they had a hell of a time selling their condo/houses.

Is the change due to the interest rates increasing? More people going to Alberta? People upgrading? Just seems like hysteria there now. How long has this been trending?

Calgary seems like a combo of an "affordable" market and a shortage of houses due to building labour/materials being in short supply. The feds have also been pumping endless amounts of cash into the system via low interest rates and various forms of stimulus. Also, there's increased demand for detached housing as people work from home more.

IMO, Calgary is due for a correction upwards. At the very least, you'd expect home prices to rise with inflation, which is going to be/has been very substantial (if you add up what's already occurred and what will occur over the next 2-3 years, I'd say 30+%).

[Flabbibulin]

Probably a tricky question, but anyone know what most builders are saying right for build times?

[CaptainYooh]

Anyone needing a home or condo in Calgary/Alberta would be smart to buy now, asap despite the bidding hysteria. All signs point to sharp increases in home prices this year due to inflationary pressure on pretty much all construction materials across the board. All signs point to increases in the interest rates as well, which will increase borrowing costs and make obtaining a mortgage a little more difficult due to qualifying. That may also put downward pressure on home prices in over-supplied situations, but we are far from being over-supplied here. There is a clear shortage of fee-simple product under $500,000.

[red sky]

I upsized in Sept 2020 and have stayed on my realtors distribution and the market is bonkers right now. Stuff selling 1 day on market, over list price, meaning there are zero conditions. While I could have got more money for the sale of my house, there is nothing available in my new neighbourhood and inventory that is listed sells for +20% higher than what I purchased for. Typically timing is not my friend so a nice change of pace.

[you&me]

Originally Posted by Flabbibulin

Probably a tricky question, but anyone know what most builders are saying right for build times?

A builder we've been talking to lately is saying 8-9 months once permits are in place... This is for a custom build on a redevelopment lot. As far as delays, he says the actual construction isn't as much of an issue as some finnish materials, appliances, etc.

[Hemi-Cuda]

Originally Posted by Acey

I know I have a lot of research to do, I've never owned property. Not really looking to make money. Sounds like a lot of people have been losing money on their condos and a detached house is better in terms of retaining value but I plan on being single indefinitely and a house will be a lot of work.

At the very least I would look at a townhouse vs an apartment style condo building. Those hold their value much better and you don't have to worry about neighbors above or below you, and you still get the benefits of a management company who takes care of maintenance