A blog cannot deal with all aspects of a subject and is not intended to replace professional advice. It's purpose is to highlight information and identify areas of possible interest. Anyone wishing to discuss this blog or to make any comments or suggestions about this blog is invited to do so by either posting comments or emailing me directly.
Did you know that Calgary City Council approved changes to the Business Licence Bylaw to require a business licence and regulations for short term rental hosts in Calgary, which come into effect on February 1, 2020?
Definition of a Short Term Rental
A short term rental is defined as the business of providing temporary accommodation for compensation, in a dwelling unit or portion of a dwelling unit for periods of up to 30 consecutive days. Businesses that have been issued a permit for a bed and breakfast are not classified as short term rentals.
Short Term Rental business licence costs
As of February 1, 2020, the Business Licence Bylaw includes a two-tiered business licence category for short term rental hosts. All hosts must have a separate short term business licence for each property they rent out. Tier 2 licensees must obtain a fire inspection for the short term rental property before the business licence will be issued.
Tier 1: 1 to 4 rooms offered for rent = $100 per property
As of January 3rd, 2022, the Alberta MLS® System rules will be reverting back to the way it was sometime pre-2014, prior to in individual Alberta real estate boards merging the MLS System rules. MLS® Systems are owned by REALTOR Members.
Here are the changes:
- Listings in pending status on the MLS® System will continue to be marketed to REALTOR.ca and third-party websites. This is back in line with term 4.2 of the Seller Representation Agreement that property listings will continue to be marketed until sold.
- When a seller accepts a conditional offer, the listing must be reported pending in the MLS® System (within two business days). Sellers cannot opt out of reporting their conditionally sold listing as pending.
- Sellers get to choose if they show their properties while they are in pending status. If a seller does not want to show their property, they should provide written instruction to the brokerage through their REALTOR® to decline showing requests.
- Pending listings...
Condominium properties represent a large number of sales in all Alberta markets every year [about 30%], and the issues that surround the purchase and sale of condominium properties are specific and intrinsically linked to the condominium documents. It is widely understood that condominium ownership provides a carefree lifestyle option, but confusion over condominiums can be expensive. Let's take a few minutes to think through some of the high points.
As you would expect, the Real Estate Act of Alberta as well as the Real Estate Act Rules, govern the transaction of condominium properties, because condominium is a form of owning real property. As an additional complexity, condominiums are also governed by the Condominium Properties Act of Alberta which relates to the running of the condominium corporation itself, as well as specifics about how condominiums are bought and sold.
One of the biggest misconceptions about condominiums is what exactly a ...
October 2021: Market continues to favour the Seller
Residential sales totalled 2,186 in October, a record high for the month and over 35 per cent higher than longer-term averages. Year-to-date sales are on pace to hit new record highs and are currently 61 per cent higher than average activity recorded over the past five years and 42 per cent higher than 10-year averages.
“Moving into the fourth quarter, the pace of housing demand continues to exceed expectations in the city,” said CREB® chief economist Ann-Marie Lurie.
Read the full report on the CREB website.
The following data is a comparison between October 2021 and October 2020 numbers, and is current as of November 2021.
Click here to view the full City of Calgary monthly stats package.
Click here to view the full Calgary region monthly stats package.
In the last year there has been a pent-up demand in buyers looking to buy a home in the Calgary market. With some sellers still hesitant to let prospective homebuyers in their homes, there remains an undersupply of homes. You’ve probably seen homes which are selling within hours, or within a day or two of being on the market. Or you hear of an agent bragging that a home they listed for sale for "over asking price." This brings us to the first mistake to avoid in selling your home: Don’t undervalue your home! A home that sells immediately has almost always been underpriced. A good rule of thumb is that homes should sell in 1 month. Don’t fall for the current artificially created sellers' market that we appear to be in.
The second mistake to avoid is not getting your Real Property Report (RPR) updated BEFORE you list your home for sale. The number one issue that lawyers have in real estate transactions are issues with real property reports not being current. As a realtor,...
City of Calgary, Nov. 1, 2021 – There were 2,186 sales in October, a record high for the month and over 35 per cent higher than longer-term averages. Year-to-date sales are on pace to hit new record highs and are currently 61 per cent higher than average activity recorded over the past five years and 42 per cent higher than 10-year averages.
“Moving into the fourth quarter, the pace of housing demand continues to exceed expectations in the city,” said CREB® Chief Economist Ann-Marie Lurie.
“Much of the persistent strength is likely related to improving confidence in future economic prospects, as well as a sense of urgency among consumers to take advantage of the low-lending-rate environment.”
New listings have improved relative to last year, but stronger sales caused further easing in inventory levels, which remain 16 per cent lower than last year and longer-term averages for the month. Supply levels have struggled to keep pace with demand, but...
I was reading an online report this week and was stumped by one of the quoted figures in the report published... The quoted condo sales figure for Calgary looked like half of what it has been for all the time that I have been in the real estate business at about 30 per cent of total sales.
So, I calculated the actual statistics from January 1 to October 30th of this year.
Total Recorded Sales: 23,806
Total Condominium Sales: 6,941 = 29.2%
Condominium Sales breakdown:
Detached homes: 61
Row/Town homes: 3,115
As almost everyone realizes that this year has been anything but usual for real estate in Calgary. The share of condo sales at 29 per cent is particularly low, and I expect that number to return to at least a third of the market share in this coming year.
Another set of happy clients took possession of their new home today!
I am so happy to have helped them and having assisted a brand new agent learn the ropes in the real estate purchase transaction (condo are especially tough). While mentoring isn't a requirement in real estate, it is a pleasure to have been doing so for over 15 years.
I'd be happy to help you purchase a home, too. Just reach out and ask! You'll get FULL representation and advocacy and I'm proud to have always been able to have the seller fully pay the buyer representation fees: EVERY - SINGLE - TIME.
A beautifully upgraded, fully fininshed, luxurious family-home in the wonderful community of Richmond. Coming to the Alberta (Pillar-9 Matrix) MLS System after Thanksgiving weekend! Keep watching for updates and don't miss out!
City of Calgary, Oct. 1, 2021 – Residential sales totalled 2,162 in September, nearing the record high for the month recorded in 2005. Further gains in new listings likely supported some of the sales growth that occurred this month.
“While sales activity in the fall tends to be slower than in the spring months, the continued strong sales are likely being driven by consumers who were unable to transact earlier in the year when supply levels had not yet adjusted to demand,” said CREB® chief economist Ann-Marie Lurie. “The market continues to favour the seller, but conditions are not as tight as they were earlier this year.”
Inventory levels in September eased to 5,607 units, keeping the months of supply below three months. However, there is significant variation depending on property type and the tightest conditions continue to be in the detached market, with under two months of supply. At the same time, the apartment condominium sector is not facing...
Happy Ask a Stupid Question Day!
Have you ever stood in the shower thinking, "I wonder what my dog has named me?" or "Does my stomach think all potatoes are mashed?" If you answered "yes" to these or similar questions, then you have asked yourself a "stupid" question -- as we all do. Today is Ask A Stupid Question Day.
This event was organized to remind people that there really is no such thing as a stupid question.
As licensed real estate professionals, we are firm believers in the value of education and we always try to stay up-to-date with all the new stuff happening in the real estate industry. That's why I think it would be relevant to bring up a Top-5 best questions that you can ask your real estate professional.
What licence do you currently hold?
The first question to ask real estate professional that you may be considering employing should be about their qualifications. This is a golden rule for getting any contractor for any job. ALL real estate professionals in Alberta must at...
If you’re on the fence about whether or not you want to sell your house this year, there’s good news. Licensed real estate professionals are highly experienced in how to sell houses safely during the pandemic. Over the last year, agents have adopted new technologies and safety measures designed to keep you safe. And experts say these practices are here to stay. As Bob Goldberg, CEO of the National Association of Realtors (NAR) representing most licensed real estate professionals in the United States, puts it:
“The pandemic has confirmed to all of us in the industry that technology will continue to transform real estate.”
Below is a closer look at some of the new tools real estate professionals are using to better serve sellers.
New and Existing Technology Are Impacting the Process
In the 2021 Realtor Technology Survey, NAR asked real estate professionals their opinions on the most valuable pieces of technology for their business over the past 12 months....
August 2021: Market continues shift toward more balanced conditions after torrid start to the year
Citywide sales in August reached 2,151 units, 37% higher than last year and 25% higher than long-term trends. Sales have slowed from the record-setting pace seen earlier this year, but on a year-to-date basis, the eight-month total of 19,516 sales is higher than annual sales figures recorded over the past six years.
“Sales have far exceeded expectations throughout most of the pandemic, driven mostly by demand for detached homes. At the same time, supply could not keep pace and conditions shifted to favour the seller, something that has not happened in over six years,” said CREB® chief economist Ann-Marie Lurie.
Read the full report on the CREB website.
The following data is a comparison between August 2021 and August 2020 numbers, and is current as of September 2021.
Click here to view the full City of Calgary monthly stats package.
Click here to view the full Calgary region...
City of Calgary, Sept. 1, 2021 –
Citywide sales in August reached 2,151 units, 37 per cent higher than last year and 25 per cent higher than long-term trends. Sales have slowed from the record-setting pace seen earlier this year, but on a year-to-date basis, the eight-month total of 19,516 sales is higher than annual sales figures recorded over the past six years.
“Sales have far exceeded expectations throughout most of the pandemic, driven mostly by demand for detached homes. At the same time, supply could not keep pace and conditions shifted to favour the seller, something that has not happened in over six years,” said CREB® Chief Economist Ann-Marie Lurie.
“With more buyers than sellers, prices rose, providing opportunity for many of the move-up buyers in the market. Over the past several months we have seen some adjustments in supply relative to sales, helping move us toward more balanced conditions.”
The months of supply in August was nearly...
Sometimes you just have to laugh at the absurdity of our real estate business.
As a premier agent, we spend over $1,000 marketing a home that we have listed for sale. Sometimes the market works in our favour and sometimes it doesn't. There always has to by a buyer willing to pay the price for a home in a specific location and in a specific condition. It isn't always that the home is overpriced – sometimes it is that there is little to no demand for that particular product (as we sometimes have to explain in detail.)
Sometimes, after 6 months, the seller says, "Thanks, we are going to try another agent." Okay, that's quite understandable and is not an issue. But PLEASE do not think that allowing them to copy the photos we paid dearly for or give them a price adjustment that you refused us is dealing fair. It is for these reasons that agents get bad reputations with other agents. And, one of the many reasons why many agents refuse to spend more than $100 to market a home that...
July 2021: Price growth slows as supply to demand balance improves.
July sales totaled 2,319 units, which is well above long-term averages and the best July on record. The pace of sales growth has eased over the past few months, but so too has the pace of new listings growth. This has helped prevent any further monthly gains in inventory levels, and while overall supply remains slightly higher than last July, it’s mostly due to gains in apartment and row product.
With 6,678 units in inventory in July, the months of supply rose to just under three months. These gains are leading to far more balance between sellers and buyers. However, there is a significant variation between product type, as the months of supply ranged from two months in the detached sector to nearly six months in the apartment condominium sector.
Read the full report on the CREB website.
The following data is a comparison between July 2021 and July 2020 numbers, and is current as of August 2021.
Click here to view...
With fewer agents than the next real estate brand (and 3 times the business), RE/MAX continues to dominate the real estate market in Calgary by a significant amount over all competitors. RE/MAX agents remain the most productive agents in the market and remain the Consumers' Choice.
Supply trends upwards but market still favours the seller while the market slows ever so slightly.
City of Calgary, July 2, 2021 –
Calgary’s housing market is showing few signs of letting up, as sales reached 2,915 units in June – a record high for the month.
“It is taking time for supply to catch up with the demand in the market,” said CREB® chief economist Ann-Marie Lurie.
“Through the early spring market, many buyers did not have a lot of choice, but the recent improvements in supply are providing more options for those purchasers and supporting the strong sales we continue to see in June. At the same time, gains in inventory are taking some pressure off the market as it starts to trend towards more balanced conditions.”
New listings in June totalled 4,135, the second-highest level ever recorded for the month. This caused inventories to trend up to 6,918 units. While this is higher than longer-term averages, it was balanced by...
Inventory rises, but sellers' market conditions persist
City of Calgary, June 1, 2021 —
With 2,989 sales, housing market activity hit a new May record for the number of sales.
Despite strong levels of sales, they did trend down relative to last month. Additionally, there were 4,562 new listings, causing seasonally adjusted inventory levels to increase over last month.
"The recent gains in prices have encouraged more homeowners to list their homes and take advantage of the current market situation," said CREB® chief economist Ann-Marie Lurie.
"However, the inventory gains are still not enough to offset the demand growth and the market continues to favour the seller. Prices are rising [slighly], but they are still recovering in our market from previous highs in 2014. Only detached and semi-detached home prices in certain districts and communities have recovered to the level of previous monthly highs."
The months of supply did trend up slightly this month to just over two months [an...