STAY STRONG

Calgary MLS sales in August on pace for 2nd highest ever
August 2005 set the record
By Mario Toneguzzi
Calgary Herald August 23, 2013

CALGARY — Calgary home sales are on pace for the highest August total since 2005 and the second highest on record for the month, says a Calgary realtor.

Mike Fotiou, associate broker of First Place Realty, said month-to-date between August 1-21 there have been 1,462 MLS sales in the city, up 32.4 per cent from last year.

That’s down from the 1,516 sales pace set in August 2005 for the same period. Sales ended up at 2,326 for the entire month of August in 2005.

According to the Calgary Real Estate Board, for the first three weeks of August, the average sale price increased by 10.14 per cent to $456,105 and active listings of 4,089 were down 24.57 per cent.

Tanya Eklund, with RE/MAX Real Estate (Central) in Calgary, said there are so many factors that have helped the real estate market reach such impressive numbers.

“The flood did throw a wrench into things in some communities, yet we have seen other communities flourish from the flood. As long as the price of oil stays strong, the pipeline out east goes forward, the vacancy rate stays low, all of these will contribute to the continued strength in our economy,” said Eklund in a live Herald web chat on the real estate market with Ann-Marie Lurie, CREB’s chief economist and Don Campbell, senior analyst and founding partner of the Real Estate Investment Network.

“We are in a seller’s market currently I would say. I base it on number of sales versus listings and I also consider days on market. We are fairly low in inventory based on last year and our sales have increased substantially.”

Campbell said Calgary entered the year with a real estate market that was performing exactly how it should have been, based on its underlying economics.

“While the world turmoil was continuing to grow, Calgary’s economy almost felt sheltered from the storm. Economic growth, population growth, housing demand right on trend ... then the floods hit and turned the city and its market upside down,” he said.

He said, now post flood, the numbers will not be indicative of the actual underlying market and although will still look good, they won’t be reflective of how the market is really performing.

“The bottom line is this: the results of this flood will play a role in the housing numbers for at least 12 months in all cities and towns affected by it and will skew the market health readings,” he said.

Lurie said strong resale growth numbers will likely persist for much of this year, outside of the flood, as migration levels posted stronger than expected levels, supporting stronger than expected demand growth.

“The housing market will continue to benefit due to strong fundamentals, assuming the energy sector remains strong,” she said.

SHINE ON

Calgary sets record with 4 MLS sales over $4 million in one month 

Luxury home market continues to shine
By Mario Toneguzzi 

Calgary Herald July 9, 2013

CALGARY — For the first time ever, four homes priced at more than $4 million on the MLS market have sold in one month in Calgary, the Herald has learned.

The Calgary Real Estate Board has confirmed the record, which eclipsed the previous mark of two homes sold at that price point in June 2008.

In the first week of July, the sales at more than $4 million included homes in Britannia ($4.45 million), Elbow Park/Glencoe ($4 million) and Mount Royal ($4.645 million).

Then on Monday a home in Bel Aire sold for $4.45 million.

It’s another indication that the luxury home market is continuing to shine in Calgary.

According to Mike Fotiou, associate broker with First Place Realty, there have been 18 homes sold for more than $1 million in the first week of July.

Ann-Marie Lurie, chief economist at CREB, said year-to-date luxury home sales represent 3.2 per cent of the total sales, up from last year’s share of 2.5 per cent.

“Consumers have more choice in luxury homes with a rise in the number of new listings in this category, helping support the sales growth,” she said. “However, more choice has contributed to median price growth in the luxury sector to be relatively weaker than city wide price growth. The median value of the sold transactions have trended up from the low of the recession and are slightly higher than levels recorded last year, however, they still remain below levels recorded during the 2007 period.

“Despite some economic setbacks, long-term economic prospects remain relatively strong in our city. Wages continue to rise while mortgage rates remain at low levels — all of which are supporting demand growth. Furthermore, the tight supply levels in the lower price ranges have reduced the time on market and supported relatively stronger price growth in this sector, potentially offering an opportunity for those consumers looking to upgrade.”

Last month, a home in Crescent Heights, listed by John Hripko, a realtor with Royal LePage Foothills, sold for $11.1 million — a new high for the Calgary MLS market. That home was owned by former Shaw executive Jim Shaw.

According to Fotiou, there were 74 luxury home sales in June, setting a record for the most $1-million plus sales for the month of June. The all-time monthly record for luxury home sales was established in May at 84.

Last year was a record of 544 luxury home sales in the city.

According to CREB, there were 394 sales of $1 million or more in the first six months of this year compared with 299 for the same period last year.

The mid-year total so far this year has already surpassed year-end totals for 2010 (365), 2009 (337), and 2008 (369), pointed out Fotiou.

Photo By: s@@m

A CANADIAN RECORD

Four Seasons sells penthouse apartment in downtown Toronto for $28 million

By The Canadian Press
May 30, 2011

TORONTO - A Toronto penthouse apartment has been sold for $28 million, setting a Canadian record.

The apartment occupies the top floor of a 55-storey residential building at Bay Street and Yorkville Avenue in one of Toronto's most posh shopping areas.

The penthouse apartment is part of a condominium development that will have a total of 210 private residences and a 253-room Four Seasons luxury hotel.

The identity of the buyer was not revealed.

The record-breaking property will be in the taller of two residential towers, which are currently under construction.

The apartment has about nine thousand square feet of living space and 12-foot high ceilings, as well as four corner terraces with a view of Toronto's skyline.

Included in the price is a separate residence for penthouse staff, in the shorter 26-storey tower of the came complex.

"As one of the largest developments of its kind in North America, our exciting new hotel and private residence in Toronto represents a wonderful affirmation of the strength of the Four Seasons brand in Canada and around the world," said Isadore Sharp, founder and chairman of Four Seasons Hotels and Resorts.

The hotel, which will occupy the first 20 floors of the taller tower, is scheduled to open in the summer of 2012.

The private residences range in size from 1,000 to 9,000 sq. ft. and cost at least $1.9 million each.

ACT NOW TO SAVE!

House prices to hit record this year, but rate of increase to slow, Scotiabank says
Eric Lam, Financial Post
Published: Wednesday, March 24, 2010

Canadian home prices will reach a record high this year, but those expecting the sky-high house price increases of the past decade to continue will be disappointed, a Bank of Nova Scotia real-estate expert said yesterday. "It's time to reset price expectations for the Canadian housing market," Adrienne Warren, senior economist with Scotiabank, said at a real-estate conference in Toronto. "This was an exceptional decade for pricing." Looking at the past 50 years, prices on average rose between 2% and 2.5% each decade. But prices rose an average of 5.2% between 2000 and 2009, she said, which led to the current elevated pricing conditions. As for this year, Ms. Warren still anticipates a strong spring sales market as consumers try to take advantage of rock-bottom interest rates before an expected rate hike by the Bank of Canada in the summer.