CREB(R) Presents 2010 Calgary Housing Forecast
CALGARY, Jan. 20 /CNW/ - The Calgary housing market will continue to build momentum in 2010 as the year progresses, while affordability and low interest rates will support a balanced housing market, according to the Calgary Real Estate Board (CREB(R)) 2010 forecast report released today.
Single family homes will show modest price increases, while the condominium price growth will lag. The condo market will be slower to respond, particularly in the downtown apartment segment. Smaller single family homes and lower priced segments will lead in sales and price growth.
The number of single family homes sold in 2009 in the city of Calgary was 14,440. According to the same report, it is expected that approximately 17,000 single family homes will be sold in our city in 2010, an increase of 17.7 per cent.
The number of condominiums sold in 2009 in Calgary was 6,328, and CREB(R) forecasts approximately 7,000 condos to be sold in our city in 2010, an increase of 10.6 per cent.
"MLS(R) sales are seasonal, so we anticipate seeing higher year-over-year monthly sales in the beginning of 2010, mainly as a result of the low levels of sales experienced in the first quarter of 2009," says Diane Scott, 2010 CREB(R) president. "New housing starts are also expected to be relatively high in comparison to a very weak first quarter of 2009."
The average price for a single family home in Calgary in 2009 was $442,327, and we predict an increase of approximately 6 per cent in 2010, to an average price of $470,000. The average price of a condo in Calgary in 2009 was $283,734 and an increase of approximately 4.3 per cent is expected for 2010, to an average price of $296,000.
"Single family resale prices will again outpace condos in 2010, as equity gains from pre-2006 will enable move-up buyers to afford more," says Scott. "Consequently, the gap between single family homes and condominium prices will continue to widen in the short term."
"The good news is low interest rates and price reductions mean buyers can afford more. This has meant monthly mortgage payments have come down dramatically - and are more in line with the income of an average family. With a modest rise in interest rates on the horizon, potential buyers will see 2010 as the year to take advantage of lower mortgage rates" adds Scott.
A detailed presentation of the CREB(R) 2010 forecast report will be held today in Calgary at the Telus Convention Centre during the CREB(R) Annual Forecast Conference & Tradeshow. The presentation will include an in-depth look at the economic factors impacting Calgary's housing market in 2010, along with a detailed forecast of housing sales, listings and prices for the Calgary region.
More information about the conference program is available online at www.crebforecast.com. Over 1,000 Calgary and area REALTORS(R) and industry representatives will attend this year's event.
To view a full copy of the CREB 2010 Forecast Report please click: http://files.newswire.ca/847/CREB2010ForecastReport.pdf
CREB(R) is a professional body of 5,401 licensed brokers and registered associates, representing 253 member offices. The board does not generate statistics or analysis of any individual member or company's market share. All MLS(R) active listings for Calgary and area may be found on the board's website at www.creb.com.
SOURCE CALGARY REAL ESTATE BOARD
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