Word is spreading that there might be fewer homes to sell this year and they will be sold at a price lower than expected.
According to CBC, in an annual outlook shared by the Calgary Real Estate Board Wednesday, they have predicted that fewer homes will be sold this year than the last and the price is expected to be lesser. CBC quotes the CREB president Cliff Stevenson's word to reporters, "This is a bona fide buyer's market and I don't see that changing in this calendar year."
On the other hand the CREB predicts no change on the pipeline for the local economy and expects demand for housing to be weaker this year. Moreover, they have also projected that total sales activity could fall to18, 416 units, down by 2.2 percent from the already low record set in 2015. Last year sales in Calgary plummeted to 26.3 per cent from 2014.
According to CBC, the board also predicts prices to decline in in 2016 if compared with 2016, with the annualized benchmark price to take a dip down to $438,652 that is 3.44 percent down. CREB chief economist Ann-Marie Lurie said in a statement, "As we move into the second year of this environment, we expect to see additional housing supply pressure and further price declines."
2016 projections for Calgary seems to be the opposite for Vancouver. In a previous report, Metro Vancouver, prices will continue to soar through 2016 with more properties expected to appreciate even in areas within half hour of Vancouver such as New Westminster and Burnaby to see skyrocketing prices to catch up to the rest of the markets. Also, previously reported is that Vancouver is expected to see a rise in demand of commercial spaces in 2016.
