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January 2023 - Calgary Real Estate Market Update

The level of new listings in January fell to the lowest levels seen since the late 90s. Sales activity slowed compared to the high levels reported last year but remained consistent with long-term trends. Detached homes only comprised 47% of all sales.

With 2,451 units available in inventory, levels remain 43% lower than long-term trends for the month. Homes priced under $500,000 reported year over-year inventory declines of nearly 30% while inventory levels improved for homes prices above that level.

The benchmark price reached $520,900, 5% higher than last January, but still well below the May 2022 high of $546,000.

If you or someone you know have questions about how this may impact your home selling or buying decision, send me a message!

Jason Streich⁠
Greater Calgary Real Estate⁠
403 807 2204⁠
jstriech@shaw.ca⁠

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Housing Taxes and Benefits for 2023

Effective January 1, 2023

Anti Flipping Tax  - Profits from properties held for less than 12 months are fully taxed with certain exceptions for unexpected life events like death or divorce. This ensures investors pay their share and are an active role in lowering home prices. 

Speculation Tax – Effective May 7th, 2022, The Goods and Services Tax/ Harmonized Sales Tax (GST/HST) will be applied to all assignment sales of new construction or substantially renovated residential housing. Note, an assignment sale is when a property is resold before it’s been built or lived in.

Vacant Home Tax – Foreign-owned underused housing will have a 1% annual vacant homes tax to help make more homes available, the market more affordable and to ensure non-resident owners of Canadian housing pay their share. 

Foreign Buyers Ban – Foreign purchasing will be halted for 2 years effective January 1st, 2023 ensuring housing is used as Canadian homes and not as financial assets for foreign investors.

Benefits for Buyers in 2023 - The First-Time Home Buyer’s Tax Credit doubled to $1,500 in direct support to home buyers to offset the increasing costing costs involved in the home buying process. January 1st, 2023 saw the introduction of a refundable Multigeneration Home Renovation Tax Credit which provides $7,500 to support the construction of secondary suites for senior family members or other adults with needs like disability.  

Tax-Free First Home Savings Account (FHSA) If you contribute $8,000 per year to buy a home, it’s the equivalent of the government offering you a non-taxable gift. Unlike the HBP, you don’t need to pay back the amount, even if the withdrawals are not used on a down payment for a home. However, those withdrawals will be taxable.

Reach out with any questions! It would be a privilege to serve as your Realtor.

Jason Streich⁠
Greater Calgary Real Estate⁠
403 807 2204⁠
jstriech@shaw.ca

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Source: Housing Taxes and Benefits for 2023 | Greater Calgary Real Estate | November 26th, 2022

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CREB Forecast Calgary & Region Yearly Outlook Report

“Elevated lending rates are expected to weigh on sales in 2023, bringing levels down from the record-high in 2022 but with forecasted sales of 25,921, levels are still expected to be higher than the activity reported before the pandemic. Recent growth in migration and employment is expected to help offset the impact of higher lending rates, keeping annual sales activity higher than levels achieved throughout the 2015 to 2019 period. The growth in new listings in 2022 was not enough to offset the gains in sales and supply levels have remained low, especially for lower-priced product. The higher lending rates are also expected to weigh on listings growth in 2023 as it has become more challenging for a move up buyer. While improved starts are expected to help support supply growth, thanks to the strong migration levels, supply levels are not expected to report significant gains.

The low starting point and limited upward pressure on supply in 2023 is expected to prevent any significant downward pressure on prices as demand normalizes. However, conditions are expected to vary depending on price range and property type. Higher-priced homes are expected to see some downward price pressure as that segment of the market is not experiencing the same supply constraints.Meanwhile, supply declines relative to sales for lower priced properties are expected to continue to support modest price growth. Declines in the upper end of the market are expected to offset gains in the lower end of the market as total residential prices in Calgary are expected to stabilize in 2023.”

Jason Streich⁠
Greater Calgary Real Estate⁠
403 807 2204⁠
jstriech@shaw.ca

Read More | CREB Forecast Calgary & Region Yearly Outlook Report

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How Do Interest Rates Affect Our Real Estate Market?

The real estate market can be significantly impacted by interest rates. When they’re low, it’s more affordable to borrow money to purchase a home which increases the demand and raises prices. When interest rates are high, it’s more difficult and less affordable to purchase a home which decreases demand and lowers prices.

Any change in interest rates can impact existing mortgage and the value of homes. They are crucial in understanding the overall health of the real estate market. If you have any questions about buying or selling, connect anytime! It would be a privilege to serve as your Realtor.

Jason Streich⁠
Greater Calgary Real Estate⁠
403 807 2204⁠
jstriech@shaw.ca

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Source: How Do Interest Rates Affect Our Real Estate Market | Greater Calgary Real Estate | Jan 27th, 2023

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New property listed in Springbank Hill, Calgary

I have listed a new property at 116 Timberline WAY SW in Calgary. See details here

A lottery dream home could be your reality, with this stunning Springbank Hill property. Over 3200 sq. ft. of clean lines and light, nature-inspired tones are enhanced with black accents to create a bright, airy, and elegant aesthetic. Soaring ceilings lead you from the door up to a sleek main floor, where natural light flows and the kitchen takes centre stage. Hexagonal backsplash tiles, a custom wood hood fan, and gold door pulls add visual depth to a white palette. High-end appliances include a hidden fridge, gas range, and a built-in microwave. A vast quartz-topped island is illuminated by stylish pendant lighting, with plentiful eating and prep area around the undermount double sink. The opposite wall holds a gorgeous glassed-in wine cellar right next to the full pantry. In the dining area, a credenza is the perfect sideboard for big meals, and this space steps out to a west-facing patio that takes in the infamous Calgary sunsets. The other end of this level is a classy living room, complete with a statement gas fireplace. Decorative woodwork matches the wide-plank flooring, and a wet bar keeps the drinks and the conversation flowing as you move out to the covered east balcony. This floor also has a private den for your home workspace and a powder room in the same luxurious finishes as the kitchen. Upstairs, a bonus room offers a fantastic spot to wind down in the evening. To one side, the picturesque primary retreat features vaulted ceilings and full-height windows. A sitting area begs you to relax with a good book, and your wardrobe will stay flawlessly organized in the extensive walk-in closet. In the ensuite, your peaceful and enchanting personal spa is complete with a dual vanity, a luxe tiled shower with a bench, and a deep soaker tub. Two more bedrooms on this storey are generously proportioned and have big closets. A large main bathroom has the same alluring style as well as a functional family-friendly layout, as does the laundry room, where storage, hanging space, and a utility sink are additional conveniences. On the lower level, a large entryway from the oversized, heated, double attached garage, has a built-in bench with hanging space. The rec area would make a wonderful home theatre, and there is room for a conversation, games, or office nook as well. A flex room has gym flooring, so your exercise equipment already has a spot. Another full bathroom rounds out this floor. Timberline Estates is surrounded by nature, with paths and parks along the nearby ravine offering hours of outdoor activities. Down the street, Aspen Landing or Signal Hill provide shopping and a plethora of restaurants, as well as great schools. While the community feels secluded, main routes connect to downtown and all quadrants of Calgary easily. Stoney Trail is also right there, meaning you can skip the traffic as you go about your errands, or head west to the mountains anytime they call. See this one today!

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Outperforming The Market - Home Prices Faring Better in Prairies

"Across Canada, monthly average housing prices have tumbled almost 20% from their peak levels last year as several negative forces have touched down, including a series of interest rate hikes and a slowing economy. During the same period, housing prices in the Prairies dipped by an average of 6%. In Alberta, prices will decline 5.6% - averaging about $418,000."

Jason Streich⁠
Greater Calgary Real Estate⁠
403 807 2204⁠
jstriech@shaw.ca

Read More | Outperforming The Market-Home Prices Faring Better in Prairies | Calgary Herald

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New property listed in Lower Mount Royal, Calgary

I have listed a new property at 504 1215 Cameron AVENUE SW in Calgary. See details here

Penthouse style living, complete with unobstructed views of the downtown skyline including the iconic Calgary tower – could it get any better? Welcome to Mt. Royal Terrace, one of Lower Mount Royal’s hidden gems, set just a block from the hottest restaurants along popular 17th Avenue. Inside, luxe details give upscale vibes that will make this the go-to spot for all your gatherings. Rich espresso cabinetry in the kitchen forms a stunning contrast with pristine white quartz counters and luxury vinyl plank flooring. Coffered ceilings, under-cabinet lighting, and subway tile backsplashes add an elegant visual dynamic, and quality stainless appliances finish the modern aesthetic. A pantry closet offers storage shelving and space for all your extras, as well as in-suite laundry. The huge eat-up island will be the hub of your dinner parties, and it overlooks a spacious and sunny living area, where a statement wood-burning fireplace is a rare feature that invites cozy conversations and relaxing nights in. Step through the sliding glass doors to a massive private balcony that runs the length of the condo and has trendy brownstone vibes that perfectly frame the city panorama. The primary suite is gorgeous haven, with an extensive walk-in closet and a lovely ensuite complete with a jetted soaker tub. This room has direct access to the balcony, as does the generous second bedroom. The main bathroom has recently been remodeled, where you will enjoy a spa-like steam shower with a bench, and central air conditioning rounds out this amazing home. The complex is well-managed, and offers plentiful common area patios and rooftop gardens, and this unit also has two parking stalls and an assigned storage locker in the heated parkade. This area is quiet, yet conveniently close to a plethora of eateries and shops, and living a walkable lifestyle is absolutely possible here. Proximity to primary routes connects this central community to the rest of the city in just a short drive, and you can easily get out to the mountains as well! See this beauty today!

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January 2023 - Bank of Canada Rate Announcement

The target for the overnight rate increased to 4.5%, with the Bank Rate at 4.75% and the deposit rate at 4.5%. Quantitative tightening will continue. Inflation remains high and broadly based globally, but is trending down in several countries, reflecting lower energy prices and improvements to supply chains.

In the US and Europe, slowing economies are proving to be more resilient than at the time of the Bank’s October Monetary Policy Report (MPR). China’s lifting of COVID-19 restrictions revised the growth forecast and poses an upside risk to commodity prices. Russia’s war on Ukraine is still a source of uncertainty and financial conditions remain restrictive. The Canadian dollar has been relatively stable against the US dollar.

It’s estimated that the global economy grew about 3.5% in 2022, but will slow to about 2% in 2023 and then grow to 2.5% in 2024. Economic growth in Canada is stronger and the economy remains in excess demand. The labour market is tight as the unemployment rate is near historic lows. Businesses, however, are reporting ongoing difficulty finding workers.

There’s evidence that the restrictive monetary policy is slowing activity, especially household spending. Services and business investments are expected too slow in addition to weaker foreign demand helping to allow supply to catch up with demand.

It’s estimated that Canada’s economy grew by 3.6% in 2022 but is expected to stall through to the middle of 2023, and then picking up again later in the year. GDP is expected to grow 1% in 2023 and 2% in 2024. Inflation has declined from 8.1% in June to 6.3% in December, reflecting lower gasoline prices and durable goods.

Canadians are still feeling the hardship of high inflation in their essential household expenses, with persistent price increases for food and shelter. Short-term inflation is expected to remain elevated but inflation is projected to come down significantly this year.

Governing Council decided to increase the policy interest rate by a further 25 basis points. Governing Council is prepared to increase the policy rate further if needed to return inflation to the 2% target, and remains resolute in its commitment to restoring price stability for Canadians.

Reach out with your questions in regards to how this impacts your home buying or selling decision.

Jason Streich⁠
Greater Calgary Real Estate⁠
403 807 2204⁠
jstriech@shaw.ca⁠

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Read Full Report

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I have sold a property at 213 Point Mckay TERRACE NW in Calgary

I have sold a property at 213 Point Mckay TERRACE NW in Calgary. See details here

Nicely upgraded and beautifully maintained, end unit townhome. With a rare double over sized heated garage one of only 10 out of 500 townhomes. Great location walking distance to the bow river and foothills hospital. Extensively and tastefully renovated featuring hardwood flooring, updated paint and remodeled kitchen. The living room has soaring 14' ceilings with full size picture windows which bring in an abundance of light and gorgeous private south facing privacy. Formal dining room overlooking the living room, Sliding doors to an amazing, 20'x10', private roof-top patio - perfect for summer dinners or just relaxing. Renovated kitchen finished with modern cabinets and oversized, table-top island, plus a practical custom designed nook for a bright functional home office. The upper floor has 3 spacious bedrooms including the huge master suite with a 4 piece ensuite. Lower level offers plenty of room for storage or as a hobby/craft/workshop. A wonderful location that offers you an amazing lifestyle nestled along the bow river and pathway system, walking to both hospitals, U of C, cafes, parks and coffee shops. It’s a quick 6 minute commute to downtown, shopping centers and a short walk to Edworthy Park. This is a rare find- book your showing today before it's gone.

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I have sold a property at 2007 145 Point DRIVE NW in Calgary

I have sold a property at 2007 145 Point DRIVE NW in Calgary. See details here

Price Adjustment Jan 12th ** Spectacular Penthouse river views without the penthouse price, unsurpassed location and maintenance-free living awaits in this 20th floor condo one floor from the top. Condo fees include all utilities for stress free budget friendly living. Take the elevator to your door, where you are invited inside by a plethora of natural light from the 180-degree walls of windows that showcase those amazing views! The open plan living room with fireplace flows nicely to the kitchen complimented by the wrap around balcony, enjoy your morning coffee surrounded by tranquil nature, river and downtown views. The dining room has plenty of room for entertaining & adjoins to the neutral kitchen with newer appliances with tons of cabinet & counterspace. The spacious master is a relaxing escape with more of those gorgeous views and a nice 3pc bath and walk in closet. Mere steps to the Bow River pathways & Edworthy Park. This apartment comes with in suite laundry, 2 assigned parking spots and storage locker. As well as visitor parking and a discount for all residents to the Riverside Fitness Club. When viewing make sure you ask your realtor for a tour of the riverside club, riverside spa, chiro office, tennis courts, Dr office and optometrist as well as indoor golf range/simulators and chipping area and 2 indoor tennis courts. All these amenities are available without walking outside at all. So easy to stay fit and healthy when all these connect to the building. Not to mention 24 hour concierge, wash bay and Riverside Dental, Lemon Liquor and Riverside Hair salon just around the corner @ tower #1. This is where resort living lifestyle is a daily experience and there is no need to snowbird to the USA.

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I have sold a property at 1845 Reunion TERRACE NW in Airdrie

I have sold a property at 1845 Reunion TERRACE NW in Airdrie. See details here

Welcome to this incredible home offering a great location and the space you need! With almost 3700 sq feet of developed living space, this home has no bounds. GRANITE COUNTER TOPS, HARDWOOD FLOORS and backing onto GREENSPACE are just some of the attractions of this beauty. The main floor welcomes you with an open concept layout that features a beautiful, spacious kitchen, large walk-in pantry, and large south facing windows, and also a space for your home office! Upstairs, you will find FIVE large bedrooms, a beautiful and bright, vaulted bonus room, as well as upstairs laundry. The large master bedroom comes complete with a walk-in closet and a generous sized en-suite, equipped with his and her sinks. Downstairs, you will find yet another large bedroom, full updated bath, and an incredible rec room to please the masses. Wired for surround sound, this space is sure to delight! Superb location steps away from Herons Crossing School, park, and Reunion pond! There is extreme value here as this is one of the largest homes listed in Airdrie at an affordable price!

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I have sold a property at 93 1815 Varsity Estates DRIVE NW in Calgary

I have sold a property at 93 1815 Varsity Estates DRIVE NW in Calgary. See details here

"On the Ridge" overlooking the golf course with a million dollar view!! Beauty and serenity are the qualities of this fabulous location that backs onto the Silver Springs golf course. An open concept with high vaulted ceilings and ample widows to enjoy the view. The floor plan includes a main floor den, two fireplaces, separate dining area, plus an open loft. The large master bedroom with full en suite tub and shower. The lower level is developed with an extra bedroom or den, 4 piece bath, and storage. The complex is beautifully maintained and includes a rec centre, indoor pool, hot tub, exercise and party room, plus two outdoor tennis courts. Close to all amenities including Market Mall, transportation, two hospitals, LRT and walking distance to the golf course.

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