Ten weeks in and this turn-around is looking alright. Sale’s wise, we are making up for lost time.
Lack of homes for sale remains a challenge. In the resale market, there are a lot of us waiting for the right home to come to market. Prices remain low. Showing cleanly and pricing correctly does result in immediate sale. For those concerned with Selling, (shameless pitch alert) Liv Real Estate sales stats are attached. Our online presence and marketing strategy has made us dominant listing agents.
Builder appointments have been disappointing as there is a lack of quick possession properties. According to one builder rep last week, when agents shut down in March, buyers went directly to the show homes. People looking for a quick possession now have a 5-8 month wait on build times.
150 homes or sold yesterday. 80 or so were listed. On the ground, 12-15 hour days have turned into 8-10s the last little while. Most of the 150 homes sold yesterday were the result of two weeks of work put in previously. I suspect the lull in work will result in a lull in sales over the coming weeks.
Because of the shortened buying season, talk amongst agents is that there will be a bit of a lull while many of us use the last few weeks of summer to travel and enjoy time with our families. We expect another flurry of activity before the snow begins to fly. Some agents have gone so far as to say “with prices where they are, there will be a lack of quality inventory coming next year, now is the time to buy!” As much as I appreciate exuberance, that feels like a pitch rather than an objective view based on fact or experience. I suspect once the provincial government cuts are finished ( announcements coming this week?), and if the Fed manages to stay out of the way, we will move towards some balance in the market.
Pleasantly, talk of economic collapse has ceased, at least for the time being. There is a lot of confidence in the housing market at present, on the ground that is. CMHC did send out a letter chastising lenders for issuing high ratio mortgages. On the ground, I haven’t met anyone unsure of their job searching for a home. A few look, but none actually pull the trigger. Perhaps CMHC is worried about high ratio speculation purchases in Eastern and Western seaboard markets that have been perennially hot where there is money to be made in speculation buying.
In Edmonton, we appear pragmatic with the acceptance that when we sell high, we buy high, and when we sell low, we buy low, real estate speculation has fallen by the wayside in a market striving for balance.
Your engagement throughout this pandemic has been overwhelming. Thank you for your engagement.