MARCHING DOWNWARD

Calgary resale housing market sees another month of declining sales

By Mario Toneguzzi

Calgary Herald  Published on: April 1, 2015

http://calgaryherald.com/business/real-estate/calgary-resale-housing-market-sees-another-month-of-declining-sales

TRY NOT TO BE SHORT SIGHTED

Realtors take long-term view, see real estate as 'strong investment'
Mario Toneguzzi, 
Calgary Herald February 23, 2015

Calgary’s housing market is the hot topic of conversation these days not only in the city but across the country.

The once-sizzling real estate sector has cooled tremendously thanks to a precipitous decline in oil prices and that has people, from economists to realtors to homeowners and potential buyers, speculating and wondering what that will do to housing prices.

And there is no lack of opinion on the topic, ranging from forecasts of a small increase in average prices for the year to a 10 per cent or more decline. MLS sales are expected to fall dramatically this year – TD recently said by as much as nearly 50 per cent – with new listings rising at a steep pace.

“There is no surprise that the range is so vast. Trying to forecast an average sale price change . . . in today’s market is impossible,” said Don Campbell, senior analyst with the Real Estate Investment Network. “Why? Simply because the most important variable is not known.

“How long oil will stay under $70 and how confident the oil industry is about it levelling at that number.  Without that knowledge, real estate market price forecasting is mathematically impossible.”

According to the Calgary Real Estate Board, year-to-date up to and including Saturday there have been 1,758 MLS sales, down 37.17  per cent from the same period last year, while new listings have risen by 24.66 per cent to 5,551. The average sale price has dropped by 2.17 per cent to $463,938.

Since 1990, the annual average MLS sale price has fallen from the previous year only four times – 1991, by 1.08 per cent; 1995, by 0.47 per cent; 2008, by 2.46 per cent; and 2009, by 4.67 per cent.

The biggest annual hike was recorded in 2006 when prices soared by 39.78 per cent from the previous year to $358,385 and then jumped another 18.25 per cent in 2007 to $423,798.

According to the Conference Board of Canada, the city’s economic growth in 2006 was 7.0 per cent – the second highest rate of growth in the past 25 years behind only the 7.9 per cent recorded in 1997.

Christina Hagerty, a realtor with RE/MAX Realty Professionals, who started in the business in 1991, said real estate in Calgary has always been a good long-term investment.

“In fact, if you look at real estate values over the course of 10 years, all have performed double to triple their value right across the board, not just in the inner core,” said Hagerty, who specializes in that area.

“So the old-timers like us who have seen a couple of decades of activity aren’t fretting.”

Hagerty said the current rental vacancy rate in the city remains low. That combined with some of the lowest interest rates in history and still good overall consumer confidence will keep the real estate market healthy.

“I would say based on this, housing prices should continue to see a slight positive gain. Unless there are reasons for sellers to take a substantial decrease, most would not do so.  Why would you want to lose 10 per cent on your real estate value when you can lease out for a premium based on such low vacancy rates?,” she said.

Ann-Marie Lurie, chief economist with CREB, said there is a wide range of price expectations for this year because there is a significant amount of uncertainty regarding the duration of lower oil prices and ultimately the impact on employment.

“Regardless if you look at average, median or benchmark prices, annual home prices within city limits declined in 2008 and 2009,” she said. “During that time several global economies were in a recession. In 2009 Calgary saw GDP contract by nearly four per cent, net migration fell, full-time jobs were being lost, there was a large amount of newly-constructed product available, and the impact of the financial crises created several changes to the lending industry.

“This year the housing market has seen sales activity fall, likely a result of reduced consumer confidence in the market.  At the same time, listings have continued to rise, driving up inventories. If this continues, this will place downward pressure on pricing. However, to reach the double-digit decline rates in housing prices, this would assume that the energy prices would stay low for this year with not much upside prospect into 2016, causing  job losses, low levels of migration, and persistent excess supply in the housing market.”

For prices to remain stable, said Lurie, the city would have to see stability in the employment sector and the pace of new listings slow.

“With this much uncertainty I think it is prudent to consider there are several factors that can drive the prices. Based on current expectations, prices are likely to remain at or just below levels recorded near the end of last year,” she added.

Hagerty said Calgary is a young city and many people are not used to the volatility of the oilpatch and its relation to the real estate market.

“So those of us who have been around for a couple of decades aren’t concerned,” said Hagerty. “We aren’t day-trading real estate. We get to live in this tangible asset as it grows in value. Savvy investors are sitting back hopeful the next seller will think the sky is falling so they can seize the opportunity. They know that Calgary’s a sure thing with strong fundamentals that make it a great investment.”

Campbell said real estate continues to be a strong long-term investment and income replacement.

“We have always believed that real estate is a safe long-term play. The numbers don’t lie – since prices have begun to be tracked, they have increased,” he said. “Of course we have seen short-term fluctuation with dips and corrections, but in the long term the arrow has always pointed up.

“Calgarians have hosted many an oil boom party in the past and have learned of these inevitable dips. However, because the province’s population, and the city itself, has grown at record numbers over the last two years, we have a large cohort of the population who have never experienced a Calgary ebb and flow.  That has led to an increase in knee-jerk response in the market as shown by the dramatic increase in listings.”

He said it is at about this point that strategic Calgary investors start to hunt for good deals, knowing that when the market recovers – be it in one or two years – that it will prove to be the ultimate buying window.

SMOKIN' HOT

Calgary real estate industry heading for $9-billion plus year

MLS sales and average prices continue to rise

BY MARIO TONEGUZZI

CALGARY HERALD AUGUST 8, 2013

CALGARY — Calgary’s residential real estate market is on pace to record one of its highest ever yearly total dollar volume for MLS sales.

As of Tuesday, the local industry reached just over $6.8 billion in year-to-date transactions. That is more than $800 million ahead of last year’s pace which was just short of $6 billion as of Aug. 6, according to the Calgary Real Estate Board.

In 2012, total dollar volume for the entire year was slightly over $9.1 billion — only the third time in history it eclipsed the $9-billion mark. The other times were in 2006 at just under $9.9 billion and the record year of 2007 at $11.3 billion.

Christina Hagerty, a realtor with Sotheby’s International Realty Canada, said it’s been a busy real estate market in Calgary this year.

“We anticipated this activity in the beginning of the year with vacancy rates as low as one per cent in the inner core. Limited rental supply and increased rental rates, continued low interest rates with a positive influx of people transferring to Calgary, have made it an extremely buoyant real estate market,” said Hagerty.

“Inner-city condo prices in newer buildings are between $500 to $600 per square foot. There are competing offers from buyers ready to make a purchase when something of quality hits the market. This has caused a ripple effect into inner-city homes from both empty nesters downsizing, transferees, and condo sellers moving up. Many of our clients are renters moving into the buying market simply due to rental prices, investors seeing an opportunity or a significant amount of people moving here from across the country.”

She said home builders are picking up lots where they can find them and there have been several situations where lots are bidding for $100,000 to $200,000 above list prices in inner-city neighbourhoods.

“Alberta fundamentals remain sound and confidence in Alberta’s economy remains strong. It’s a testament to Calgary’s spirit and resilience that the post-flood cleanup has continued at its remarkable pace. Calgary has been leading the nation for the past few years and continues to grow,” added Hagerty.

According to CREB, there were 21,326 MLS sales in Calgary in 2012 with an average sale price of $427,912. In 2007, there were 26,709 sales with an average price of $423,145.

As of Wednesday, year-to-date, there have been 15,001 MLS transactions in Calgary, up 7.06 per cent from the same period a year ago and the average sale price has risen by 6.88 per cent to $457,499.

Becky Walters, CREB’s president, said pent-up demand is contributing to the continued rise in residential real estate sales in the city.

“This past year we saw 30 some thousand net migration to the city,” she said. “We’re getting more and more people moving here ... We’ve got fabulous job availability here.”

Another factor is that Calgary consistently rates high as one of the most affordable housing markets in the country due to its high level of personal income.

“People are seeing that there’s not a ton of inventory. So they’re getting out there making sure they get what they want,” added Walters.

Calgary region to see MLS sales and prices rising for next two years

CMHC report says average price to hit $434,000 in 2014

CALGARY — The Calgary region can expect to see increases in both sales and average MLS prices for the next two years, according to a housing forecast released Friday by Canada Mortgage and Housing Corp.

The agency said sales in the Calgary census metropolitan area will grow by 1.37 per cent this year to 27,000 units followed by another 2.59 per cent growth in 2014 to 27,700 transactions.

The average sale price is expected to rise by 2.59 per cent this year to $423,000 and by another 2.6 per cent in 2014 to $434,000.

Christina Hagerty, a realtor with Sotheby’s International Realty Canada in Calgary, said she has had a very busy start so far to the year.

“With Calgary’s industries continuing to hire, I see many people coming from other Canadian centres and the U.S,” said Hagerty. “Specializing in the inner-city market, most of the people we meet are either job transfers and want no commute to work, first-time buyers and empty nesters.”

She said rental vacancy rates are at an all-time low and interest rates have remained historically low as well which have been factors in increasing housing demand.

“All the indicators are continuing to confirm our projections last year that Calgary will be leading the nation,” she said. “Affordable mortgages, record low vacancy rates, continued inward migration and low inventory going into the Spring market makes for a year of healthy growth ahead.”

According to the Calgary Real Estate Board, year-to-date until February 21, total MLS sales in the city of 2,498 are up 11.57 per cent compared with the same period last year and the average sale price has risen by 10.63 per cent to $448,635.

For Alberta, the CMHC is forecasting MLS sales to increase from 60,369 in 2012 to 61,000 in 2013 and to 62,400 in 2014.

In the province, the average MLS sale price is forecast to increase from $363,208 in 2012 to $371,200 this year and to $380,700 next year.

The CMHC report also forecast that housing starts in Alberta will fall from 33,396 in 2012 to 31,800 in 2013 but then rise to 32,200 in 2014.

In Calgary, starts are expected to fall from 12,841 in 2012 to 11,800 in 2013 and then rise slightly to 11,900 in 2014.

“The resale market in Calgary is anticipated to remain in balanced territory over the forecast horizon,” said Richard Cho, senior market analyst in Calgary for the CMHC. “Sales in 2013 are forecast to rise for the third consecutive year but at a more tempered pace compared to the previous year. Low mortgage rates, rising incomes and employment growth will continue to help support housing demand. Some sales will also come from renters who migrated to Calgary in the last couple of years.

“The average price has been gradually trending up, and is expected to continue in 2013. Active listings have declined, lowering the selection of available homes and putting pressure on prices.”

2013 CALGARY REAL ESTATE BOARD FORECAST

CREB® forecasts moderate sales, price growth

 The full forecast report is available here.

Calgary, Jan. 16, 2013 – The resale housing market in Calgary and area will see moderate sales and house price growth in 2013, CREB® said today at its annual forecast.

Sales growth in the city is expected to ease to 2.2 per cent this year, with house prices rising by 2.9 per cent.

“Slower growth trends in employment combined with lower migration estimates will impact sales growth across all resale sectors, and, as listings continue to decline, this will further dampen sales growth, particularly in the single-family market,” Ann-Marie Lurie, CREB®’s chief economist, said at the 2013 CREB® Forecast Conference & Tradeshow. “However, as the overall market remains well supplied, prices will continue to grow but not at the levels seen in 2012.”

In 2012, Calgary’s single-family market recorded sales growth of nearly 15 per cent. With a decline in the level of new single-family listings, that is expected to ease to 1.8 per cent this year. Prices are estimated to rise by three per cent.

Becky Walters, president of CREB®’s 2013 board of directors, said the city and surrounding areas are seeing good resale activity.

“We have a nice, balanced market, and it’s expected to see some growth this year,” Walters said. “Although some big markets in Canada are stumbling, Calgary is hot on the heels of a year of recovery, with the forecast saying the market is going to stay in positive territory.”

In the condominium market, sales are expected to increase by three per cent, with a moderate price appreciation of 2.4 per cent for condo apartments and 2.8 per cent for condo townhouses.

Although the prediction is for a “balanced” resale housing market, Lurie said there are numerous risks in the market.

“The largest risk in our market is related to concerns in the oil sector,” she said. “They are facing pipeline constraints and lack of access to more diverse markets, impacting the price they receive for their oil. If the discounts on our oil persist, this clearly could impact the job sector and, ultimately, the housing market.”

BEST IN CANADA

Calgary luxury home market sales growth best in Canada
Sotheby’s International Realty Canada predicts trend to continue
By Mario Toneguzzi
Calgary Herald January 11, 2013

CALGARY — Calgary led the country in 2012 in sales growth for the luxury home market, according to firm Sotheby’s International Realty Canada.

Ross McCredie, president and chief executive of the real estate company, said Calgary is the “best performing market in Canada right now in terms of growth.”

“The trend has been upward and we don’t see any sign of that changing for awhile,” said McCredie. “There’s more and more investment coming into Alberta. More and more people are moving there. You’ve got a range of jobs. It’s not just simply oil and gas companies that are investing there.

“In the rest of the country, there’s definitely a trend going west and Alberta is probably leading that trend in terms of companies investing in key offices across Canada as well as foreign companies coming in as well.”

He predicted double-digit sales growth for Calgary’s luxury home market this year which will outstrip the performance of other major centres across the country.

“Calgary is really starting to become a city of high net worth people and investment coming into the country,” said McCredie.

In its Top-Tier Real Estate Report, a biannual study highlighting market trends for the most expensive homes in Canada’s largest urban centres, Sotheby’s said the market for luxury homes is expected to gain momentum and “to generate increasing demand from both local and international buyers given strong economic fundamentals, historically low interest rates and a national unemployment rate that has hit a record four-year low.”

In Calgary, compared with the same July to December period in 2011, listings over $1 million were up 38 per cent and sales of real estate in the same category were up 21 per cent in the second half of 2012.

“The average days on market for homes over a million dollars increased slightly to 66 days and the percentage of properties selling over asking price dropped slightly to five per cent,” said the report. “High-end neighbourhoods like Elbow Park and Glencoe were among those to see strong demand.”

According to the Calgary Real Estate Board, the city experienced a record for MLS sales over $1 million each in 2012 with 544 transactions, eclipsing the previous record of 458 in the housing boom of 2007. In 2011, there were 446 luxury home sales.

In 2012, the luxury home market had 508 single-family home sales and 36 condo sales compared with 420 and 26 respectively in 2011.

CREB said 1,533 homes were listed for sale in Calgary over $1 million in 2012 — 1,408 single-family and 125 condo. In 2011, there were 1,352 luxury home listings — 1,253 single-family and 99 condo.

In 2007, the luxury home market had 1,242 listings for the year, comprised of 1,159 single-family homes and 83 condos.

“We saw such an increase in activity in the last two quarters of 2012,” said realtor Christina Hagerty, who recently joined Sotheby’s in Calgary. “The momentum was building up all last year and it continued over the holiday season. This should be a good indicator of the year ahead. With the dwindling supply, and the strong pulse on the street that ‘Calgary is where you need to be,’ properties priced at market, are selling. Buyers are not wasting any time. They have done their research and are ready to make an offer when the right one hits the market.”

ON WITH THE SNOW

Bylaws related to snow and ice

Overview of snow and ice removal regulations

•Owners/occupants are responsible for the complete removal of snow and ice from all City pathways and sidewalks, adjacent to the front or side of their property, within 24 hours after the snow stops falling.

•Snow and ice must be removed from a City pathway or sidewalk that runs parallel to and directly adjacent to a street, even if it is separated by a boulevard.

•All snow and ice must be removed down to the bare surface of the sidewalk or pathway.

•If you own a rental property you are ultimately responsible for ensuring the sidewalks and pathways are cleared.

• For the purpose of this bylaw, a sidewalk is that part of a street set aside specifically for pedestrian use, whereas a pathway is a multi-purpose thoroughfare for use by pedestrians, cyclists and persons using wheeled conveyances.

•The owner or occupant of land adjacent to a sidewalk must remove all snow and ice, whereas those adjacent to a pathway must remove snow and ice for a minimum width of 1.5 meters from the side of the pathway closest to their property.

•Snow or ice from private property cannot be placed on a road or boulevard.

•If you receive a Warning Notice for failure to remove snow and ice from a sidewalk or pathway and do not remove it within 24 hours. The City of Calgary work force will be instructed to carry out the work and the cost will be invoiced to the property owner. Failure to pay this will result in the cost being added to the property taxes.

Helpful hints

•If the ice cannot be removed, a free sand/salt mixture is available for pick up at most fire halls and Roads depots. Please bring your own container.   Source: City of Calgary

OPENING UP!

How to view an open house like a real estate pro
By: Jill Krasny
Business Insider Oct 9, 2012

As the housing market slowly improves, more consumers are finding themselves in the market for a new home, or at least one worth dreaming about.

One place they start their search is an open house tour, though they can forget these are helpful for more than just checking out the kitchen’s color scheme.

Open houses are a smart way to gauge whether a listing’s catching heat and if it’s worth seeing again in a private showing.

“If you’re just getting started with the process, an open house tour is like a get-out-of-jail-free card,” says Zillow.com real estate expert Brendon DeSimone. “It’s free, you can go because there aren’t restrictions and it’s a great way to learn the market.”

To his mind, the primary thing home shoppers overlook tends to be the most obvious: the crowd. Observing other shoppers is key, he says, as that’s the best way to gauge the market’s response to the home.

“If you like the house, watch the people. Is it packed? Are they hovering around the agent?,” he says. If so and if they’re asking pointed questions as well, you can bet that there’s serious interest and the listing is going to go fast.

Another strategy is to observe the agent, he adds.

“If you go to a house and you like it but no one’s there, maybe there are issues there,” says DeSimone. “You should watch the listing agent’s reactions because he wants to see the response to the house and how crowded it is.”

But don’t miss the opportunity to make small talk with the seller.

“You should ask why he’s selling, nothing rude, just what’s the story,” DeSimone says. “What’s their motivation to sell?” That should give you a feel for the pricing and whether the listing is gathering dust.

Questions like, how many days has the home been on the market?, or Have you lived here for a long time? should get the conversation going. Perhaps there’s a looming job transfer, or the seller is just moving down the street.

“If they’re not motivated you won’t want to waste your time,” says DeSimone. But at least you’ll know where they stand.

FAMILY SIZE & THE CONDO MARKET

Shrinking family sizes bode well for Canada’s condo sector
Garry Marr
Financial Post Sep 19, 2012

Maybe the condo industry knew something revealed to the rest of us only Wednesday — family sizes are shrinking.

Statistics Canada’s census data showed a dramatic increase in one-person households, up 10.4% from 2006 to 2011. For the first-time, more households were comprised of couples without children than with children. Family size also shrunk, with the average number of children dropping from 2.7 in 1961 to 1.9 in 2011.

All of this seems to bode well for a condominium sector which demands its occupants accept smaller quarters than they are historically used to.

“I think the housing stock has already responded,” said Don Lawby, chief executive of Century 21 Canada. “I think the major cities are the ones that reacted the fastest. There is a movement that has been forced by economics to smaller accommodation.”

Mr. Lawby notes if you’ve made the decision not to have children, as the statistics show some have, that means you are living a very different life and your housing needs are not the same.

“Of course, this all plays into the condo’s hand,” he says. “But there still will be people who desire to have a single family detached home where they are the king of the castle.”

The evidence already points to huge demand for high-rise units, both from buyers who want to live in the units and investors who rent them out. Canada Mortgage and Housing Corp. said it expects 207,200 new housing starts with 123,700 in the multiple-unit category, predominantly made up of condominiums.

And while there are forecasts that the housing market is slowing, the Crown corporation is still predicting 193,100 starts next year with 109,000 coming from the multiple category. Condominium projects in Vancouver, Montreal and Toronto have driven the demand, CMHC says.

Brian Johnston, chief operating officer of Mattamy Corp., said the industry has been responding rather than leading. “I think there has been demand for smaller housing,” he said.

All of this might just confirm what the real estate industry has been saying all along — they were just giving the people what they want. “I see these comments that builders are building too many houses — builders don’t create new houses because it’s a good idea, they do it because there is demand,” says Mr. Johnston, noting bank financing requires high pre-sale levels.

Doug Norris, chief demographer at Environics Analytics, predicts the impact on real estate of the country’s changing demographics is just starting. “Part of the condo boom is driven by Boomers starting to downsize and move into new types of housing,” he said. “[Living in] the single family [home] starts to dwindle after 50.”

Though the impact of the Baby Boomers has yet to be seen, Mr. Norris said they will probably downsize more than their predecessors.

Craig Alexander, chief economist with Toronto-Dominion Bank, says while there definitely is more demand for condo-style living, the overall amount of housing stock being built is still above household formation.

“We can tell from the census numbers that we are building too many houses,” says Mr. Alexander, noting there were 189,000 net new households per year from 2006 to 2011. “Yet when we look at the pace of home construction it has been well over 200,000 and in fact it was 218,000 annualized starts so far in 2012.”

He says you can build past demographic requirements for a short period, perhaps catching up with a previous lag, but it has to stop at some point.

“On the one hand I am concerned about the condo market because when we look at the current pace of construction and compare it to a generally sustainable rate, it’s way too fast but over the long haul there is long-term strong demand for condos,” says Mr. Alexander.

BATHROOM ORGANIZING

Bathroom organizing tips

By Jennifer Weatherhead

Style At Home

Bathroom organizing ideas that’ll help keep your bathroom clean, tidy and functional.

When it comes to keeping one of the most-used rooms in your home, the beautiful bathroom, clean and functional, it all comes down to getting and keeping your bathroom organized. With so many people in and out of this room, and so many products, towels and small appliances making their way into the bathroom, it can turn into a place of chaos. But with our expert organizing tips from designer Rosemary Carbonara, you can get your bathroom completely organized and be able to easily access everything you need in just a few steps.

Bathroom organizing: Get started with these essentials

Before making sure everything is in its place, you’ll need to invest in a few items to keep things clean. If you’re starting your bathroom from scratch with a renovation or a new home, it’s the ideal time to create some special nooks and built-in organizational options that will make keeping your bathroom tidy much easier. Here are Rosemary’s organizing tips for clean and functional bathroom decor:

-Opt for a soap dispenser rather than tray and a bar of soap to keep the sink area clean.

-If you’re starting from scratch, have your vanity float off the floor so that mopping and cleaning is made easier and dirt does not pile up against the toe kick.

-Install wire shelves in the corner or wall of your shower to keep soaps and shampoos off the shower floor. Or install a niche in your shower that can house showering products if you are adding a new tub or shower.

-Have a medicine cabinet at the back of your mirror to house those small items. If you are starting from scratch, design it to be recessed into the wall with the mirror on front.

-Make use of the space above the toilet with shallow shelves for storage of extra towels, washcloths, etc.

-Have drawers in your cabinetry – always opt for drawers over doors for easy access and visibility of products and small appliances.

Keep products out of sight

Unless you have a beautifully bottled skincare product, soap or scent, the best way to keep you bathroom organized is to keep items off the counter or sink, and stored in cupboards, your linen closet or drawers. Organize your products by need (for example, tooth care products, skincare products, makeup, etc.) and be sure to keep items that you use on a daily basis in the easiest spot to access. Invest in dividers and compartments to help keep drawers sectioned off for specific items.

Keep towels and shower items accessible

Shelving is key when it comes to bathrooms, especially if you are cramped on space and have a small area to work with. Rosemary’s favourite place to make use of is above the toilet.

“Shallow shelves above the toilet are great for storing towels,” she says. If you can’t add shelving above the toilet, Rosemary recommends purchasing a seagrass- or leather hamper-like container with a lid to store towels or items you want to keep out of sight.

And, as mentioned above, shelving in a shower (especially a small stand-up shower) is essential for holding shampoos, conditioners, body wash and loofas. Built-in shelving is ideal, but wire-hanging shelves also fit nicely in showers and tubs.

Make the most of your linen closet

Keeping your linen closet organized is another way to make life easier when it comes to a tidy bathroom. An organized linen closet allows you to store products you don’t use every day in baskets or drawers in a place other than your bathroom. It’s the ideal place for extra towels, cleaning products and small appliances such as curling irons and flat irons. Just make sure you keep it as tidy as your bathroom!

BECAUSE KNOWLEDGE IS POWER

How to avoid home buyers’ regret
By: Julian Beltrame
Canadian Press, Aug 16, 2012

With Canadians entering the housing market in greater numbers than ever before, it wouldn’t be surprising to find that many suffer buyers’ regrets.

A recent survey commissioned by TD Canada Trust found the two biggest regrets — reported by 60 per cent of the 1,002 respondents — have to do with finances; not making a bigger down payment and not doing enough research into the costs of home ownership.

That’s not surprising, says Farhaneh Haque, director of mortgage advice with TD.

Even though buying a home is the biggest investment the vast majority of Canadians will ever make, many first time buyers still don’t do the necessary homework.

“It’s not the sticker price that shocks first-time home buyers. It’s the costs associated with the sticker,” she explains.

“We see so many home buyers that after the fact feel they could have used information, that they could have had more preparation going into home ownership.”

For instance, 29 per cent of those surveyed said they didn’t budget for ongoing costs, such as maintenance and utilities. One in eight said they overlooked some of the one-time fees associated with buying, such as inspection and legal fees, title insurance, and land transfer taxes, depending on the home price.

These are not minor omissions.

Paying the mortgage is just the most obvious cost of ownership, and not necessarily the biggest in today’s world of super-low interest rates. The combined cost for municipal taxes, fire and theft insurance, utilities, plus regular upkeep, could actually pinch household monthly budgets more.

“If you are renting, you pay that one shelter cost and that’s all you have to think about. But as a homeowner, there’s more,” says Haque, who tells clients to budget at least $500-$700 on average in additional monthly expenses.

Her advice to prospective buyers is get advice, which is easily available to them. Most first-timers know existing homeowners who have acquired wisdom through experience.

And financial institutions, real estate agencies and other market players regularly stage seminars with experts that can offer sage counsel.

Michele Rowe, a sales representative with Keller Willams VIP Realty in Ottawa, tries to arrange one seminar every month, and she typically invites an inspector and a mortgage broker for their input.

She tells attendees the first thing they should do is to get a buyer’s agent to steer them through the process.

“Most first-time buyers don’t know where to start and don’t know the importance of using their buyer agent,” she says.

The other key advice she gives them is that they need to get pre-approval for a mortgage, so buyers know how much they can spend on a home.

“They need to know how much of house they can afford, based on their income, their GDS (gross debt service) and TDS (total debt) ratios, because they might think they can afford $300,000 when they can’t,” she explained.

The ratios calculate monthly home costs, and other debt charges, as a percentage of household income to determine affordability. A ratio of 40 per cent on all commitments (TDS) is usually acceptable to mortgage lenders.

The survey, which was conducted in the spring, found that 54 per cent of first-time buyers want a single, detached home, but Rowe says that is often impractical. That’s because although interest rates may be low, house prices have been rising steadily — the average resale home in Canada now costs close to $370,000.

In Ottawa, most first-time buyers Rowe sees can only qualify for a home of about $250,000. That price range will most likely mean a condo or townhouse, she said.

Which comes to another key finding in the TD Canada Trust survey — Canadians don’t start saving up for a home soon enough.

Haque said it’s critical for Canadians thinking they will want to own a home one day to get informed about what is involved and how much money they will need. The bigger the down payment, the more flexible a household’s ongoing finances will be.

“A bigger down payment reduces monthly payments, but it also gives owner options for a mortgage that is more flexible,” she explains. “For instance, with more than 20 per cent down payment, an owner can obtain a mortgage with a 30 year amortization period, rather than 25 years, which further reduces monthly payment.”

Photo By: Alexandredrachmann

THE UPSWING

Resale market on the upswing
By Josh Skapin
Calgary Herald August 3, 2012

The upswing on resale activity of single-family homes in Calgary continued in July.

Last month, 1,386 single-family homes changed hands in Calgary, a 21.37 per cent increase on the 1,142 units sold in July of last year, says the Calgary Real Estate Board (CREB).

Changes to Canada’s mortgage rules earlier this year fuelled talks of a national housing correction, which has yet to be seen in Calgary says CREB chief economist Ann-Marie Lurie. These changes include shortening the maximum amortization period from 30 years to 25 years.

“While the two largest cities (Vancouver and Toronto) have started to witness declines in home sales activity, Calgary continues to record improving sales and prices,” says Lurie in a news release.

To date, the city’s single-family resale activity is up 18.9 per cent over the same span in 2012.

That pace is fuelled by the region’s economic growth, adds Lurie.

“Last year, Alberta led the country in economic growth and, with Calgary being the energy capital of the country, the city has benefited from growth in full-time employment, migration and overall improved confidence.”

The average price of single-family homes sold in Calgary’s resale market is also on the rise.

Last month, the average price was $485,528, marking an 4.85 per cent climb over $456,374, the average price from July 2011.

The average resale price on single-family homes since the start of 2012 is 2.11 per cent higher than the same period one year ago.

Zone A, which roughly translates to northwest Calgary, had the highest sales totals in the city last month at 504 units moved.

Coventry Hills led the zone and the city in resale activity last month with 47 houses changing hands.

Zone C, which roughly covers southwest Calgary had the second highest resale activity in July with 405 units moved. The highest average resale price in the city last month also came from Zone C at $599,565.

The third highest sales totals came in Zone D, which roughly translates to southeast Calgary, with 295 sales.

The slowest section in the city for single-family homes last month was Zone B’s 189 sales.

This zone roughly covers northeast Calgary. Zone B also had the least average resale price at $301,602.

RISE IN LUXURY HOMES

Resale of luxury homes in Calgary soared in the first seven months of this year compared to the same time in 2011.

There have been 318 transactions of single-family homes priced $1 million or more since the start of 2012 compared to only 266 during the same span last year, according to numbers from the Calgary Real Estate Board.

The biggest rise was in the $1 million to $1.249 million price category, with 152 units sold since the start of the year after only 102 transactions during the same period in 2011.

Photo By: Thomas Hawk

SOME GREAT HEIGHTS!

Calgary luxury real estate market soars to new heights
Sales climb in million-dollar plus category
By Mario Toneguzzi
Calgary Herald July 20, 2012

CALGARY — The demand for luxury real estate in Calgary has soared to new heights this year, fuelled by strong economic fundamentals, says a report by Sotheby’s International Realty Canada.

For the first six months of this year, there have been 301 homes sold for over $1 million in Calgary, up 19 per cent from the same period last year, said the report.

From January 1 to June 30, 2011, there were 253 homes sold for over $1 million and another 194 luxury homes sold between July 1 and December 31 that year.

The number of homes listed on the market for over $1 million was 474 between January 1 and June 30, 2011 and 473 homes between July 1 and December 31 in 2011. From January 1 to June 30 this year, there have been 908 homes listed at that price point.

The Sotheby’s report said six per cent of homes over $1 million this year have sold for over the asking price. The first half of last year also had six per cent selling for more than the list price while for the second half of last year it was eight per cent.

As for days on the market, the first half of this year was 53 days while for both halves of last year it was 49 days.

Corinne Poffenroth, a realtor in the Calgary office of Sotheby’s International Realty Canada, said a number of factors have contributed to the demand for luxury homes in the local market.

“We’re seeing a bit of a lifestyle change for some of the Baby Boomers here and that sometimes involves downsizing when they’re planning for retirement and it sometimes involves perhaps purchasing a second property either down south or B.C., and because of that there’s a bit of a trend moving, re-locating from some of the suburban areas back to the urban centres with some of the amenities closer by,” she said.

“I also think there’s some new optimism in the next generation of young professionals here. They’re seeking these exclusive, higher-end properties like both single-family and condo in some of the most sought-after areas of the city. And that can involve both urban and suburban areas as long as there’s amenities and transportation close by.”

Also, there is growing confidence and optimism in the province’s energy sector and all the industries that benefit from that.

“These higher-end buyers if they’re showing the confidence in buying these still multi-million dollar properties and second properties that’s a good thing for everyone else because that confidence just kind of goes on down the line in the market overall. There’s a huge sector of high-end buyers and I think that’s what’s increased the listings because these sellers are wanting to take advantage of this demand for higher-end homes and condos,” added Poffenroth.

According to the Calgary Real Estate Board, MLS sales for properties in Calgary of $1-million or more were: 2011, 446; 2010, 365; 2009, 337; 2008, 369; 2007, 458; 2006, 334; and 2005, 138.

The biannual report of Canada’s four largest urban markets — Calgary, Toronto, Vancouver and Montreal — showed a steady upward trend in the first half of 2012 with Toronto, Calgary and Montreal all reporting double-digit sales growth in homes over $1 million.

In Vancouver, the 2011 to 2012 comparison of properties over $1 million, showed that the reigning hot spot for million-dollar listings is experiencing a similar correction to conventional properties in the area, said Sotheby’s. Sales in that price category of 1,291 properties so far this year are down 35 per cent from the same period last year, which had 1,996 transactions. The inventory of properties asking $1 million or more also rose 11 per cent in 2012, increasing to 3,912 from 3,518.

In the first half of 2012, the Greater Toronto Area reported a 29 per cent increase in sales, generating 3,113 transactions of million dollar-plus properties, compared with 2,405 in the first half of 2011. The inventory of listings in the GTA also rose 31 per cent from 6,193 homes listed over the $1 million price point to 8,105 listings, said the report.

Montreal experienced similar growth in both the sales and inventory of million-dollar real estate. This year, Montreal reported a 15 per cent sales increase with the first six months reporting 227 transactions exceeding $1 million compared with 196 in 2011. The volume of top-tier listings also increased 11 per cent from 590 in 2011 to 656 in 2012.

“Given the transition occurring in international economies like Europe and Asia, the value and stability of luxury property in Canada has become an increasingly recommended asset,” said Ross McCredie, Sotheby’s International Realty Canada chief executive.

THE HOUSING SQUEEZE

Jay Bryan: Did Ottawa squeeze housing at the wrong time?
By Jay Bryan
The Gazette July 16, 2012

Did the Harper government blunder into overstimulating a housing market that it’s now in the process of squeezing at just the wrong time?

The question springs to mind now that new numbers show Canada’s housing market showed signs of significant softness in June, with sales falling 4.4 per cent below their year-earlier level – the first such drop in a year – as the national average home price edged down by nearly one per cent.

This comes just as new, tighter mortgage-lending rules went into effect early in July, the key change being one that shortens the allowed repayment period on a government-backed insured mortgage to 25 years from 30.

The result is to jack up the monthly payment on a mortgage by about 10 per cent if the buyer was originally hoping to use the longer 30-year repayment option.

This is just the right medicine for an overheating real-estate market, but much more dubious when demand is already weakening. It will price some buyers, especially first-time ones, right out of the market.

Analysts, including some who favoured the tightening, are a little worried.

There was already a recent undercurrent of concern as home prices moved inexorably higher in the winter and spring: was the market setting itself for a painful fall? At TD Bank, chief economist Craig Alexander predicts an average price drop of 10 per cent to 15 per cent over the next two to three years.

Most analysts didn’t see such a big correction, although many think the priciest markets, Vancouver especially, are overdue for a dip.

But, warns economist Robert Hogue at Royal Bank, “the risks are higher now than they were before.” Hogue thought markets were cooling nicely even before the stricter rules came in. Now, he worries, “this may give a push beyond what the market needs.”

Douglas Porter, deputy chief economist at BMO Capital Markets, thinks the market will probably adjust without too much trouble, but acknowledges that he too feels a little tug of concern. “This may have been one turn of the screw too many,” he says. “That’s the risk.”

The irony is that it was under this same Harper government that Canada loosened its mortgage rules so much that by late-2006 you could borrow for 40 years with nothing down. The then-governor of the Bank of Canada, David Dodge, saw this as so irresponsible that he broke the central bank’s usual rule against criticizing government policy.

It’s what foolish governments often do: curry favour by loosening policy too much in good times, only to have to tighten as conditions worsen.

So far, though, the market still appears to be healthy, with modest price gains in most big cities across Canada, but a downtrend in sales pointing to the possibility of further cooling in the very costly Vancouver and Toronto markets.

Indeed, in the country’s priciest market, Vancouver, prices actually fell by nearly one per cent last month, according to the Home Price Index compiled by the Canadian Real Estate Association. Over the entire past year, Vancouver prices are only up by a modest 1.7 per cent.

This evaporation of price gains in a market that was red hot last year was so dramatic that it helped stabilize the entire Canadian market. The average Canadian price fell by 0.8 per cent from a year ago, but once you remove Vancouver from the numbers, the average price elsewhere goes up by 3.2 per cent, not down.

This resulted from the unwinding of frenzied demand early last year for some of the highest-priced homes on the Vancouver market, said Hogue, the Royal Bank economist. Possibly because foreign demand waned, such homes are now much slower to sell.

Toronto prices barely moved last month, edging up by 0.2 per cent, although earlier gains pushed the average up by a strong 7.9 per cent year-over-year.

Montreal, where last month’s gain was a modest 0.3 per cent, is ahead by a total of 2.7 per cent over the past year, according to the Home Price Index, which, unlike simple price averages, seeks to eliminate the distortions caused by varying numbers of high-priced and lower-priced homes sold in different months.

Calgary stands out as the only city where the number of sales went up significantly – by a robust 17 per cent, in fact – but prices rose by a more modest 5.3 per cent.

RISE UP!

New-home prices in Calgary region on the rise
By Mario Toneguzzi
Calgary Herald July 13, 2012

Real estate . New-home prices in the Calgary region continued to rise in May.

Statistics Canada said Thursday that prices in the Calgary area were up 0.3 per cent from April and 0.8 per cent from a year ago.

Nationally, the index rose by 0.3 per cent and prices were up 2.4 per cent from May 2011.

Gains in Toronto, Oshawa and Calgary were the top contributors to the May increase, StatsCan said. The most significant monthly price declines were recorded in Victoria (0.8 per cent) and Charlottetown (0.4 per cent).

The Royal LePage house-price survey, released earlier this week, showed varied year-over-year resale house price increases in Calgary.

In the second quarter, detached bungalows posted the largest average year-over-year price increases, rising five per cent to $432,322. Prices for two-storey homes rose 2.5 per cent year-over-year to $425,456. Condominiums declined by 0.8 per cent year-over-year to $247,056.

FLOWER POWER

Need immediate garden impact? Buy larger plants
By Donna Balzer
Calgary Herald June 28, 2012

BETTER LATE THAN NEVER - The spring garden frolic for serious gardeners is over, and dabbling gardeners are buying now for parties, garden events or real estate open houses. Instead of tenderly planting promising seeds or tiny fragile annuals, latecomers to the garden party buy their fully-grown plants in big pots. This allows a wow effect without the early work. One 14-inch (35 cm) hanging basket will comfortably fill one 18-inch (45 cm) decorative pot. Where five bare-root hostas may have suited dormant planting in March, one large three-gallon pot will fill the space now for instant beauty and summer balcony or patio enjoyment.

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The long days of summer are upon us and this means it’s outdoor patio season. If your spring garden efforts failed to launch, it’s time now to fluff your space with green and blooming plants. Donna says at this time of year, you’re better to start with bigger plants, set them up with watering systems and finish your weeding before the seasonal parties begin.

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Better Late than Never

The spring garden frolic for serious gardeners is over, and dabbling gardeners are buying now for parties, garden events or real estate open houses. Instead of tenderly planting promising seeds or tiny fragile annuals, latecomers to the garden party buy their fully-grown plants in big pots. This allows a wow effect without the early work. One 14-inch (35 cm) hanging basket will comfortably fill one 18-inch (45 cm) decorative pot. Where five bare-root hostas may have suited dormant planting in March, one large three-gallon pot will fill the space now for instant beauty and summer balcony or patio enjoyment.

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SIPs For Summer Homes

Like good gossip at work, the news about self-irrigated pots (SIPs) is spreading from gardeners to the retail world. These pots hold water and don’t dry out on balconies the way conventional pots do. YouTube videos have fanned the flame for homemade SIPs: plastic bins and recycled pails, adapted from third-world designs. These SIPs are ideal for low budget hippie-style gardens. Better-looking commercial self-watering pots are available now for patio-grown annuals and vegetables. If you are away and unable to water longer than a few days, a better choice is an automatic irrigation system for pots. Connect a splitter, timer, control valve and individual bubblers on pots to keep them evenly moist.

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Weeding

The worst weedy offenders in older neighbourhoods are seeds falling from overhanging trees. Dry propeller seeds from maples and ash sail to the ground in fall and winter and sprout in spring. Birds drop the remains of berries all winter in eavestroughs or sidewalk cracks, where they sprout and become permanent fixtures if left in place. New gardens with more recently farmed soil are likely to have weeds like thistle, stinkweed and stinging nettle. Pull or cut these before they go to seed. A new crop of chickweed will appear with every soil rotation, so cover the soil with newspaper and bark to stop existing chickweed seed from germinating.

SMART GROWTH IN CENTRE

Infographic: Nature of Calgary neighbourhoods changing, new census results reveal
 'Smart growth' emerges in city centre
By Jason Markusoff,
Calgary Herald June 29, 2012

Although the 2012 census shows the same story on all Calgary's suburban edges - grow, grow, grow - a blend of dynamics are reshaping the city's existing neighbourhoods.

In older, inner-city neighbourhoods such as the Beltline, Chinatown and Inglewood, new condo projects are spiking community populations. In the past year, 42 per cent of new homes have sprung up within the built-up part of Calgary - the sort of redevelopment pattern Calgary's "smart growth" blueprints urge.

"If we're maximizing the infrastructure we've already built, that helps accommodate the growth and put less pressure on the edges," said Rollin Stanley, the city's new general manager of planning.

In other communities like Parkdale and Spruce Cliff, population growth is being triggered by some densification, but more so by an influx of new families moving into homes that empty nesters have vacated.

Bowness, which has in the past been marred by population decline, gained 312 residents last year but only five dwelling units.

"Those houses will turn over. We have to track very closely how this changes," Stanley said, recalling in his former neighbourhood in Washington's suburbs, five houses occupied by octogenarians flipped to families with kids, a trend that would put new pressure on once-lagging schools.

The flip side of the Calgary trend is the population decline of communities in a middle ring of Calgary suburbia. Deer Run, Sundance, Scenic Acres, Edgemont and MacEwan all share two things in common: they have lost a sizable chunk of their population in the last four years, and were all developed between 1978 and 1982. A similar generational dip has previously hit communities of a different vintage.

Photo By: John Ostrom

STARTING JULY 9, 2012

Ottawa tightens mortgage rules to avert household debt crisis
By Jason Fekete
Postmedia News Jun 21, 2012

OTTAWA — The federal government is moving once again to tighten mortgage-lending rules amid lingering concerns about an overheated housing market and rising household debt levels.

In a decision called for by some of the big banks — and one that’s expected to soften housing prices — Finance Minister Jim Flaherty announced Thursday the federal government is reducing the maximum amortization period for a government-insured mortgage to 25 years from 30 years.

It’s the third time the Harper government has reduced the maximum amortization period in the last four years, after it initially increased the lengths of mortgage terms to make it easier for Canadians to purchase homes.

The government has since ratcheted it back from 40 years to 35 in 2008, and then further reduced it to 30 years in 2011.

Banks will still be allowed to offer 30-year amortization periods on low-ratio mortgages that include a downpayment of 20% or more.

The changes will see the government lower the maximum Canadians can borrow against their home to 80% of its value, from 85%, in an effort to encourage them to keep more equity in their homes.

As well, under the new rules, to qualify for a mortgage loan Canadians can spend a maximum of 39% of their gross household income on home expenses such as mortgage, property taxes and heating, and a maximum 44 per cent of income on housing expenses and all other debt.

Flaherty also announced Ottawa will limit government-backed insured mortgages to home purchases of less than $1-million.

A downpayment of at least 20% will be required on mortgage loans for homes priced at or above $1-million.

Reducing the amortization period will increase monthly payments, but reduce the amount of total interest paid on a mortgage. Ottawa expects the change from a 30-year to 25-year amortization will, on a $350,000 mortgage loan at four per cent, increase the monthly payment $177 but reduce total interest costs by nearly $47,000.

The government believes less than five per cent of home buyers will be affected by the clampdown.

The new rules take effect July 9, 2012.

“We watch carefully, we monitor the market carefully. I remain concerned about parts of the Canadian residential real estate market, particularly in Toronto, but not only in Toronto, so that is why we are intervening once again,” Flaherty told reporters in Ottawa.

“It’s our job to try to be ahead of things and act in a measured way, listening to the market. And I have been listening to the market, and quite frankly, I don’t like what I hear, particularly in the condo market.”

Flaherty said the government’s moves are part of an effort to “moderate behaviour” among Canadian homeowners and make them reflect before jumping into the housing market at the high end.

Canada’s largest city is seeing continuous home building because of persistent demand, he noted, which is accelerating prices and eroding affordability.

“This concerns me because it’s distorting the market, quite frankly,” the minister added. “My judgment is that we need to calm particularly the condo market in a few Canadian cities.”

Statistics Canada reported last week that the ratio of Canadian household debt-to-income continued increasing in the first quarter, to 152 per cent from 150.6 per cent in the fourth quarter of 2011. That came on the heels of a warning from the Bank of Canada that high household debt levels remain the most important domestic risk to financial stability.

Opposition parties said Thursday the Harper government, with its changes to mortgage rules, is simply retreating from its own decision to ramp up the amortization to 40 years after taking power in 2006.

“This is Mr. Flaherty versus Mr. Flaherty. He has done all of this. He’s the guy who has let it go up and is now bringing it dramatically down again. We are now at the same situation we were — what do you know, 2006 — where we had 25-year mortgages,” said interim Liberal leader Bob Rae.

“There’s going to be a real issue as to exactly what message this is sending to markets and what impacts it will have.”

Flaherty and some of the country’s leading economists have for months been warning that they remain worried about Canada’s housing market and rising household debt.

In March, prior to delivering the federal budget, Flaherty met with 13 private-sector economists for his traditional pre-budget consultation to get their assessment of the Canadian economy.

Some of the big banks suggested at the time the federal government consider implementing “measured actions,” such as reducing the maximum amortization period for government-insured mortgages back to the traditional 25 years.

On Thursday, the banks largely welcomed the measures.

“Overall we see (Thursday’s) announcement as a much better substitute to interest rate hikes since the moves are aimed with almost surgical precision at the margins of the mortgage market,” Benjamin Tal with CIBC World Markets said in a research note.

“The combined impact of the four changes will not be large enough to derail the housing market, but are clearly significant enough to soften activity, and at the margin will act as a negative for house prices —mainly at the mid-range segment of the market.”

Frank Techar, president of personal and commercial banking at BMO Financial Group, called the changes “prudent, measured, responsible, timely.”

“Minister Flaherty has tapped the brakes at precisely the right time and his actions should help ensure Canada’s housing market experiences a soft landing,” Techar said in a statement.

LET THE SUN SHINE IN, FACE IT WITH A GRIN...

Designing Outdoor Living Spaces
Canadian House & Home Magazine

Enhance your outdoor living area with seating, lighting and architecture.
A good deck plan should encompass privacy, shaded areas and how the deck will look when lit at night.

Seating

Whenever possible, try to create several seating areas instead of one large area to create the feel of a more expansive deck or patio. Carve out seating with built-in wood benches or use low rock walls as seats simply by placing cushions along the top.

Where budget is at a minimum, stick to free-standing furniture. If space allows, purchase an inexpensive, small bistro table and two chairs in addition to a larger outdoor dining table and chairs to create two sitting areas.

Large pillows covered in natural woven material or Sunbrella fabric can be used right on the deck as floor pillows or let the stairs do double-duty as makeshift seating, with or without decorative pillows.

Tip: Consider using mirrors when decorating your outdoor space — they visually expand any space and when placed outdoors, reflect natural light and greenery.

Privacy

Perhaps more important in a city garden than on acreage in the country, privacy is one of the elements that will make your deck feel more like a retreat.

Fences needn’t be the only privacy solution: Create subtle barriers with architecturally interesting wood fences or use trellises covered with climbing clematis or grapevine or even a neatly trimmed low hedge for privacy. Folding screens in bamboo, metal or wood installed in strategic locations will offer privacy and add visual interest.

Make sure the privacy barrier you choose suits the style of house as well as the look of the deck or patio. A wood fence will look much richer if painted the same as the house or trim and detailed with moulding.

Shade

While we all enjoy warm sunny days, the option of taking refuge from the sun is a must on a well-planned terrace. Whether you use simple umbrellas, install awnings or build a gazebo or pergolas for filtered shade, offer yourself at least one area that can become or remains shaded. Make sure to notice the direction in which your deck faces and how the sun hits the deck throughout the day so you can plan the proper type of shade. If your deck faces south or gets sun most of the day, you might want a more permanent type of shade, like an awning or roofed pergola. Always try to create a tranquil, shaded spot under which to read, relax or dine.

Lighting

Too often an afterthought, good outdoor lighting can help make your deck usable at night as well as during the day.

Install lights near the door leading from the house to the deck or terrace as well as lighting to illuminate any existing path in your yard.

From vintage-looking carriage lanterns to contemporary glowing spheres, there is a wide variety of styles available; choose a type of fixture that suits the style of your house.

“Washing” the sides of the patio with flood lights installed on the ground will make it seem to float when lit.

Spot lights disguised as rocks can be subtle additions to the garden, to make the yard glow at night or to highlight a bench or path.

Finish off the lighting with more subtle touches, like hanging candle lanterns over an outdoor table for a soft ambient glow. Hurricane table lanterns, paper lanterns and string lights all lend night-time sparkle.

Structures

Architectural elements on a deck can add impact to your outdoor space. A screened-in gazebo offers shade and protection from bugs and acts as a focal point.

Pergolas and arbours offer instant interest on a terrace and can be used as a “doorway” to the outdoor living space or as an inviting spot under which to relax. Add colourful climbing plants to pergolas, arbours or fences with varying heights and texture.

Large wood or metal planters add structural interest to a space and can be used as dividers, helping to define areas for lounging, dining or cooking. A series placed along steps can create a stylish, finished look.

Photo By: Apartment Zero

A"MAY"ZING MONTH!

Condo resale market climbs in May
By Josh Skapin
Calgary Herald, June 8, 2012

Calgary’s condo resale activity climbed 35 per cent in May, compared to the same time last year, says the Calgary Real Estate Board.

In fact, there were 675 apartment or townhouse sales last month after only 500 condo units changed hands in May 2011.

The average resale price for condo apartments last month was $280,030. For townhouses, the average price was $330,446.

High-end condo sales are also on the upswing in the city.

After the first five months of 2012, 10 townhouses priced from $900,000 were sold in the city — only three units in that price range changed hands during the same period in 2011.

For condo apartments, eight units have sold for at least $900,000 so far in 2012, compared to five units last year.

Zone C, which roughly covers southwest Calgary, paced the city in condo sales last month with 385. The zone also saw the highest average resale price at $322,204. It also paced the city in inventory with 1,016 available units.

Located in Zone C, Connaught topped all Calgary communities in May with 49 units sold. Also in Zone C, Springbank Hill had the highest average price at $571,200.

A distant second to Zone C’s sales totals in May was Zone A, which roughly corresponds to northwest Calgary. It saw 189 sales at an average resale value of $295,682.

Zone D, which roughly covers southeast Calgary was third in sales totals last month with 69 at an average resale value of $263,609.

The slowest area of the city for condo sales was Zone B, which roughly covers northeast Calgary. It had 32 sales at an average price of $170,893. The community with the lowest average price in the city was Forest Lawn at $88,000.