When comparing the housing market in Calgary to the state of affairs nearby in the Town of Okotoks, real estate seems to be on higher ground. Of course, that depends on who you talk to.
The Calgary Real Estate Board (CREB®) oversees the numbers in Okotoks and believes the outlook is better than the somewhat gloomy scenario in nearby Calgary. Prices in Calgary are expected to keep trending down while the number of houses for sale continues to reach the over-saturation point.
A similar story holds true in Okotoks with sales down about 14%, but in terms of inventory, there hasn’t been much of a change since the first six months of 2015. Even better there hasn’t been much of a drop in home prices since then either. Calgary prices have dropped by 5%. More, in some communities and prices ranges and less in others.
There is one trouble spot though. Single-family homes in the $500K to $700K range aren’t moving as well. There are higher than normal listings on the market and there have been measurable price reductions. Some home owners trying to sell their properties weren’t willing to budge on their bottom line and they have decided to rent. Others have pulled their properties off the market, electing to ride out the storm and perhaps do some home improvements in preparation for a rebound. Detached homes under half a million are moving the best in Okotoks right now.
The traditional summer-slow down occurred in Okotoks and buyers may be waiting to see if the price of real estate will come down more. The chatter amongst real estate professionals in Okotoks is that things will pick up once the calendar turns to September. Of course, it depends on who you talk to. Others are not so optimistic despite having a busy 2016 so far.
Inventory in Okotoks isn’t piling up as it is in Calgary and homes are turning over at a good rate which prevents the housing market from going stale.
Predictions for the Okotoks Market
The Canadian Real Estate Wealth Magazine issued its mid-year predictions for Okotoks and their analyists agree that real estate in the town is in relatively good shape. Here are some of their observations:
- The median price for single-family homes in Canada in June 2016 was $310,000. Compare this with the median home price in Okotoks of $364,450. That puts Okotoks in the nation’s 20th percentile.
- As of June 2016, the Province of Alberta was ranked fourth in investment properties across Canada.
- Provincially, out of 325 communities reporting properties available as investment properties, Okotoks was 220th.
- When it comes to apartment-style condominiums, Okotoks ranked 34 on the most expensive condos in Alberta list.
- The median price for condos in the province as of June was $258,772. The median condo price in Okotoks is $259,000.
- The magazine trends growth in the single-family home sector in Okotoks down by 7.73% while it predicts growth in the condo market will grow by up 364%.