Hello everyone, thank you for tuning in to my market stats updates. This time, I have a different format to share some insights. The delay in this update was intentional, as I wanted to attend the Edmonton Housing Forecast Seminar hosted by the Real Estate Board. The event brings in economists from various sectors to discuss the economic climate at national, provincial, and local levels, providing valuable insights into how it affects the real estate market.
This year's seminar was particularly interesting, with economists from ATB and CREA expressing optimism about Alberta's future. In this blog post, I'll take you through a summary of the 2023 market performance, comparing it to the predictions and shedding light on what to expect in the coming year.
2023 Market Performance:
Unit Sales:
Detached Sales: Predicted 13,000-13,600, actual sales almost hit the target.
Semi-detached, Row Housing, and Apartment Condos: Predictions were close, with some growth in apartment condo sales exceeding expectations.
Five-Year Overview:
Detached product sales remained strong, surpassing the previous years.
Semi-detached and row housing showed a softening trend but remained better than pre-COVID levels.
Apartment condo sales in 2023 surpassed the record-setting 2022.
Pricing:
Detached and semi-detached pricing outpaced predictions, while row housing and apartment condos experienced a slight dip.
Listings:
Fewer homes came to market, contributing to a positive supply-demand balance.
2023 Summary:
Detached unit sales down by 12% from the previous year.
Pricing down by 3.8% in the detached category.
Listings decreased significantly, promoting a healthier market.
High-Performing Neighborhoods:
Sherwood Park and St. Albert tied for sales, with Spruce Grove and Leduc not far behind.
2024 Market Forecast:
The Edmonton Real Estate Board forecasts:
4.6% increase in new listings.
1.2% average sale price increase across all product types.
2.8% increase in unit sales.
Average Sale Price Predictions:
Detached: 1% increase.
Semi-detached: $5,000 increase.
Row Housing: $3,000 increase.
Apartment Condos: A modest 0.22% increase.
Final Thoughts:
Despite the conservative predictions, the forecast for 2024 remains optimistic. The expectation of a busy year with increased sales suggests positive momentum. However, there's a note of caution regarding potential price increases.
In conclusion, the real estate market in Edmonton is poised for growth, building on the positive trends observed in 2023. While the experts are cautious in their predictions, some believe a more robust increase, around 5%, is a reasonable expectation. As we embark on the new year, the Edmonton market seems well-positioned for continued success.
Thank you for reading this market update. If you have any questions or are considering buying or selling homes in Edmonton, please feel free to reach out. Wishing you a successful and prosperous year ahead!
Edmonton Housing Forecast Seminar Review