The residential real estate market is Calgary is currently in a phase commonly known as a Buyer’s Market. Like all businesses, real estate markets ebb and flow. The ebbs and flows of the real estate market are heavily influenced by factors such as interest rates, the local economy, and government policies. The last few years in Calgary have been characterized by a high demand for housing in all quadrants of the city resulting in favourable market conditions for Sellers. With the downturn in the economy, migration into Calgary has started to slow down which is easing some of the housing pressure in the city. There are fewer Buyers right now but there is still a healthy inventory of homes for sale.
People often assume that a Seller’s Market benefits only the Sellers through inflated home prices and multiple offers. They also assume that in a Buyer’s Market, Sellers come up short while Buyers get their dream home for a fraction of the list price. There is a little more to it than that. As we navigate this current Buyer’s Market, here are some important myths and facts to keep in mind as you prepare to buy or sell a home.
Myth: Houses languish on the market for months in a Buyer’s Market.
Fact: This simply is not true. Even today in Calgary, many homes are selling quickly and some are receiving multiple offers. Houses that are priced right and properly prepared to dazzle Buyers get attention and sell.
Myth: Since prices are down, a homeowner will pocket more money by selling their own home.
Fact: Some homeowners do sell their homes on their own but unfortunately, most do not. Research has shown that homeowners who sell on their own typically end up losing money due to incorrect pricing and mistakes throughout the process. A highly skilled Realtor can help you to prepare your home so that it attracts top dollar. Realtors can bring more traffic to your door through their network of Agents and prospective Buyers as well as important tools to help with maximum market exposure.
Myth: Buyers will be able to get rock bottom prices on any home.
Fact: Homes in Calgary continue to sell for fair market value and some are receiving multiple offers. While there are always deals to be found in real estate, they typically come with conditions. A Buyer may get a great deal on a home right now but will be responsible for major clean up upon possession of the home or they may need to factor in expensive repairs or remediation in the near future.
Regardless of if you are in a Buyer’s or Seller’s market, the best strategy for anyone looking to buy or sell a home is to do your homework and understand the market activity in the area you are buying or selling.