Overheard on greaterfool.ca on April 1: “It is not a bed of roses in Cowtown just wait and see over the next 2 mths.”
The 6% drop in sales in March is intoxicating to the doomers who can’t contain their excitement at seeing Calgary finally meeting the same fate as Toronto and Vancouver. Even this insignificant blip created hysteria among the bubble bloggers, who are conveniently blinded to the realities of accurate data.
From a salivating Garth Turner this prediction: “… the beginning of the end in Cowtown.”
It’s been annoying and irritating to Turner to see the stability of the Calgary market, given his distaste of Alberta. In his frenzy to see Calgary crash, he’s conveniently forgetting that he once said, “one month means nothing.”
As for his credibility, Garth also predicted in 2008 “Real estate prices in Calgary, Edmonton, Fort Mac at 50% of 2006 levels. ” That would put our average price at $200,000. Today it’s over $500,000.
Most fail to mention that new listings have been down, year-to-year, for 10 consecutive months, or that homes were at record high prices in March. How do you buy a house when there’s nothing coming on the market that appeals to you, or is in your price range?
April will be the first month where we see an increase in new listings, Y to Y, since May 2012. More selection will hopefully result in a moderation of the prices, also resulting in increasing sales.
To April 6, new listings are up 13% compared to the 3-year average, and up 5% compared to last year.
Spring will bring more listings, lower prices, more sales. It may not be a bed of roses, but crocuses are beautiful, too.