2019 REALTORS HOUSING FORECAST SEMINAR
JANUARY 9, 2019 President of RAE Matthew Broderick
There will be a moderate decrease of 1.31% in sales for single family homes, Condo sales will decrease by 2.06% and half duplex sales will decrease by 0.78%.
There will be a moderate decrease of 1.17% decrease in sales for single family homes, condo prices will decrease by 1.63% and duplexes will decrease by 0.66%.
Inventory levels will increase by 1.92% for single family homes, Condos will increase by 1.83% and duplex inventory will decrease by 0.60%.
Summary is the seller will have to remain patient throughout the sale process as DOM will increase.
We had a record high inventory and a 5 year low in sales for Single family dwelling and all residential ranges. 2018 was one of the most challenging years in real estate.
To date, we had a decrease of 5% in home sales in 2018 vs. 2017.
City of Edmonton Economic Update-John Rose Chief Economist
On a positive note, Bank of Canada did not increase interest rates. Resolution of some major trade issues, inflation has stabilized and the housing market is projected to firm up by the middle of 2019.
A recent shift away from part-time job gains will support consumer spending over the next 12 to 18 months.
This unemployment number does not account for the claimant who has maxed out their payout, the resident who is of course, not eligible for EI benefits.
Flat interest rates that may even drop. Little pressure on the Bank of Canada to raise rates as inflation has now dropped below 2%. Latest projection for increase was denied. There is only 1 maybe two increases for this year projected.
Slow but continuing in-migration in Edmonton.
There are challenges in Calgary and other Alberta centres more dependent on the oil sector. Fortunately, Edmonton is sheltered to a large extent due to its diversified economy.
Please call me if you have any questions regarding the real estate market and I would be happy to answer as best I can.
Happy New Year and all the best in 2019!