EDMONTON REAL ESTATE BOARD MARKET UPDATE | AUGUST 2019 SUMMARY & FORECAST

EDMONTON REAL ESTATE BOARD MARKET UPDATE | AUGUST 2019 SUMMARY & FORECAST


The inventory numbers of just over 8,800
that was put out by the real estate association and the sales approximately
1,600. What does that mean to a home seller and the odds of them
selling their home in today’s market? Hello everyone! Welcome to this episode
of Edmonton Real Estate Today. I’m your host LeRoy Warden and today I have with
me two very special guests, Sheryl Stevens of RE/MAX Real Estate and Brent
Anderson of Maxwell Challenge Realty. Sheryl and Brent, welcome to the program! Good
morning! Good morning! Good to see you guys. So we had the Real Estate
Association of Edmonton released their stats and we wanted to get into what
that really means and I know there’s been exciting news about new listings. So
they said that there’s been 3,040 three new listings with represented just over a 1%
increase compared to last month. Sheryl in your opinion what does that
mean to the home buyer that is in the market out there looking for properties? Well obviously they’ve got more inventory options but I think it also
means that they need to be in close contact with their realtor get out there
and see some of the new product right away because the stuff that’s gonna come
on when the sellers are motivated they’re gonna have the house in great
shape they’re gonna have it priced really well and those are the ones that
are gonna go first. If they want to the first dibs and things they need
to get on it. Brent, from the whole seller’s perspective, 3,000 plus listings
coming on trying to get my home sold what would that mean to home seller
being on the market with those new listings coming to market? Definitely
takes into account that you have to be prepared and this is I think pretty
typical of our market where we see an influx and listings heading into the
fall market before the white stuff arrives so there’s people who want to
make that move before the seasons change so we typically see some more product
coming to the market after the Summer holidays are over. So with that people are gonna have to be prepared to make sure
their house is in tip-top shape. Show ready to achieved their ultimate goal with
the amount of inventory that’s in the market. Residential inventory in August
was 8,818. It showed the sales for that
month at 1,571. In terms of months of inventory, what does that mean
to me as a home buyer or a home seller? If you’re selling your house you have about
6 months worth of inventory based on the number of sales that are happening
so that’s just on the higher side of a balanced market for Edmonton so you
want to again make sure that your house is positioned properly so you’re not
following the trend on pricing and you’re also showing well. Those first
3 to 4 weeks on the market for everybody are always the most important
because that’s when you are the hot new listing and you’re gonna get those
buyers that are out there who know what else is available for their bag of money. If you want to appeal to those people at that prime time. Sheryl, in terms of the home buyers? Well I think my stand on the home buyer
is them being in close contact with their realtor knowing if those houses
are actually at market value because what I think what’s happening is we had less
home sell in August but I know there was lots of offers being made but sometimes
they still those buyers still thought that they were in a buyers market so
they come in really low even though the house had only been on the market a few
days and then they couldn’t bridge the gap of what would make the seller happy
and what would make them happy. So again we had less sales in the month of August
than other months. Partly because their people are on holidays and stuff but I
also think there was a lot of unrealistic expectations and if they
look what those comparables with our realtor they’ll be able to go in and get
a fair market price maybe even a below market price a little bit but where they
can actually bridge that gap and get that home they want without people
getting their back up. With the inventory numbers of just over 8,800
that was put out by the Real Estate Association and the sales approximately
1,600, what does that mean to a home seller and the odds of them selling
their home in today’s market? Odds of selling on those numbers for the whole
board essentially because it will differ basically on community gives you about
18% as your odds of selling so to a seller that is a very important number
because that means 1 in 5 of the properties that are listed are going to
sell. So how do you take your odds of selling at 18% and
position yourself to be the ONE versus the 4. Because there are
4 houses that are going to help that 1 person sell that month so you need
to really align yourself with your agent and take a look at your competition to
say how do we stack up and what do we need to do to make sure we are the ONE. It’s a tough market in that situation where it’s you know 20% ,1 in 5, so you have to really just be prepared to do what it
takes to get sold stickers. Some of the other
statistics reported by the Real Estate Association of Edmonton was the average
price of a single family home is $434,000. Just a little bit above the
average price of a condo being two hundred and $234,000 and
also the average price of a duplex now being $354,000. Now the time it’s taking for them to sell is 57 days for single-family homes,
condos 74 days and for duplexes 61 days on average for them to sell. Do you have
any comments in terms of those stats on what it might mean to home buyer and
seller. Well we kind of looked back to see what how do we compare from this
year to last year right in the same timeframe of August and Sheryl and I
found out that two of those numbers are better than last year and one of them is
not and I think we all know which one’s not better. Because the condo
market is pretty saturated so for buyers and sellers in the condo market buyers
definitely have a lot more options to choose from and the potential to get a
pretty good deal because there is so much available and that price point
has come down a year-over-year and then the single-family and duplex I’ll let Sheryl kind of talk about it. It’s interesting when we look at the numbers
I think we’re all up over 2.2% and so the
interesting thing is I knew everyone’s been complaining about the economy in
this last year but obviously those numbers show that we did better we’re
doing better this year compared to last year so I think again that’s a positive
sign but again it just comes down to making sure that people aren’t
sort of taking advantage of certain numbers it all comes down to that prep
work it all comes down to making sure that those first 3 weeks are really
the most important weeks that those houses are on the market
so we’re not you know listing a home and then you know week later this other is
going no no I’m gonna paint it now and therefore pull it back off for a while
because it just takes away from all those people that could be seeing in the
first 4 weeks but I think it’s also important when things like the duplexes
are up and I know we’re discussing now duplexes are up and I think there’s
some really good merit about getting a duplex because maybe you can afford that compared to your single-family home but we don’t always think about some of the
pros and cons with it. Well there is a lot here for people to absorb and
let that we’ve taken the time to talk about these numbers and what it means to
home buyers and sellers. Deither of you have any final comments you want to make
for the audience out there? I think it’s important that they get out there now
again September is gonna be a busy month right back to school and everything but
there’s so many people that want to get that house sold or get that house bought
before the Winter hits so definitely again get in touch with a realtor, give us a
call and we’d be more than happy to help them out. Brent, any final comments? Edmonton is a good place to
buy real estate right. It’s not crazy like Vancouver or Toronto but it’s also a
balanced market as we’ve you know set out today. It’s not something where
there’s a ton of inventory out there and really that for the buyers and the
sellers the creampuffs will go right so if your house is prepped and ready it
will go and as a buyer if you find a creampuff somebody else is also gonna
think it’s a creampuff so don’t wait too long because you could lose it and you
will see that the properties that do show well and have the right value
attached to them will move rather quickly in our market and we still see
multiple offers right even in today’s market it’s not common but it still
happens so make sure you’re aligned and educated in what’s
happening within the market that year and I think is the biggest thing for
people on both sides, buyers and sellers. So guys I want to thank you again for
your time today and for bringing us this update and for joining us and letting
everyone know what’s happening in today’s market. All right
Sheryl. Thanks Brent. That is a wrap my friends!