2018 RAE Market Forecast Highlights

2018 looks to be an cautiously optimistic market

We will have a stable market with ample supply of inventory

The resale market is predicted to be a buyer’s market

Edmonton is rated 6 out of 10 Canadian cities for affordability

All residential average prices are expected to drop by 0.84%

Sales are expected to increase by 0.88%

Inventory is expected to increase by 1.96%

As predicted, there will be more jobs and wages in 2018

Unemployment rate has dropped from 8.7-7.5% as of December 2017

17,775 people moved to Alberta in the third quarter of 2017

Risks to the market in 2018

Mortgage rules and increase in interest rates

Oil prices

Employment

Unforeseen

Consumer Confidence

More foreclosures in 2018

Resale market will become a buyer’s market but days on market and inventory will decrease and a balanced market will emerge by the third quarter of 2018

There will be a 2% inflation in Canada and specifically to Alberta, a 2.5% inflation rate for 2018.

Bank of Canada could raise interest rates by 3X over the course of 2018

Next week there is more than a 50% chance that Bank of Canada will raise interest rates by half a point.

All information supplied by guest speakers at RAE forecast 2018

John Rose, Brent Weimer, Doug Porter, Jack Mintz