New data shows a slight increase in the number of homes being built in Calgary, encouraging hope for the city’s real estate market.
Canada Mortgage and Housing Corporation says the signs are positive, even if they are not overwhelming.
“The construction activity is beginning to fall in line with economic fundamentals,” said Cody Krause, CMHC. “However I would not expect a real big trend upwards from now toward the end of the year.”
The data also shows prices are climbing, great news for sellers and builders.
“We are surprised actually, we anticipated that this year would be more difficult than last year so it’s been nice to see a resurgence in the market,” said Lindsay McGregor, Crystal Creek Homes.
Just under 9,000 homes were being built last month, a few hundred more than the month before. CMHC says surplus homes are being bought up, allowing homebuilders to confidently build more, especially in the high-end market.
“Where I'm seeing the biggest increase in that market is a million to three million, that segment of the market is actually up 24 per cent, really interesting considering people assume that market is really slow,” said Sam Corea, Remax House of Real Estate.
A few realtors also say they are getting more calls from foreign buyers especially from China, and some suspect British Columbia’s new foreign property buyers tax could be driving customers to Alberta instead.
