Thats Edmonton Information About Edmonton, Alberta

19Jan/12Off

Edmonton Second in Canadian Metro Economic Activity Index Rankings: CIBC

CIBC ranks Canadian cities for economic growth and today announced Toronto leads the country with Edmonton coming in a close second place. Toronto lead the country for the second year in a row, showing the fastest economic momentum with strong population growth, employment and housing starts. 

Edmonton ranked second in CIBC's measure or economic momentum, up from 11th in the 2011 Q1 report. The ranking reflects the city's strong labour market with overall employment rising by almost eight per cent year-over-year in the third quarter—the fastest pace among all of Canada's top cities. "The city also enjoyed one of the lowest unemployment rates in the nation (5.7 per cent as of the third quarter of 2011) while the quality of employment is relatively elevated (ranked 4th among all cities)," notes Deputy Chief Economist Benjamin Tal.

"As well, Edmonton's population is now rising by a year-over-year rate of 1.7 per cent—well above the national average, while the numbers of consumer and business bankruptcies are among the lowest in the nation."

CIBC Metropolitan Economic Activity Index (2011 Q3)

Rank CMA 3Q Moving Average
1. Toronto 23.0
2. Edmonton 20.0
3. Kitchener 18.0
4. Halifax 16.8
5. Vancouver 15.5
6. Ottawa 15.2
7. Montréal 14.9
8. Regina 13.8
9. Calgary 13.1
10. Trois-Rivières 11.7
11. Québec City 11.5
12. Winnipeg 11.1
13. St. John's 11.0
14. Hamilton 10.7
15. Sherbrooke 9.5
16. Kingston 7.5
17. Saint John 7.1
18. Sudbury 6.7
19. Saskatoon 6.4
20. Victoria 5.9
21. St. Catharines-Niagara 5.6
22. London 5.2
23. Windsor 0.4
24. Saguenay -1.8
25. Thunder Bay -3.4

Average of 25 CMAs 10.2

About the CIBC Metropolitan Economic Activity Index
Using 9 key macroeconomic variables, CIBC's metropolitan index of economic activity is structured in a way that approximates the change in each city's level of economic activity. With data going back in history, the index monitors not only the current performance of a given city but also tracks its cyclical behaviour against the national economy and other census metropolitan areas (CMAs). The focus is on the 25 largest CMAs in Canada.

The macro variables used to develop the index are:

Population growth; Employment growth; Unemployment rate; Full-time share in total employment; Personal bankruptcy rate; Business bankruptcy rate; Housing starts; MLS Housing resales; and Non-Residential building permits. The complete CIBC World Markets report is available at: http://research.cibcwm.com/economic_public/download/metro_monitor.pdf

16Jan/12Off

The Pipes Aren’t Frozen on Our Web Site!

freezing man

Damn its cold! What happened to that beautiful mild winter we were having? It seems like winter has arrived with a vengeance.

A person called in on one of our builder's properties this morning saying there were no tracks to the home but the upstairs balcony door was wide open. WOW! It was a sharp reminder that if you have a vacant property you will need to check on it frequently. Make sure the walks are shovelled and the heat is on. The last thing you want is a flood because of frozen pipes.

Depending on the home you may want to set the thermostat to a reasonable temperature, especially if it is going to be shown to potential buyers. There is nothing more uncomfortable for a buyer who has come to see your home at -30 to find out it's better outside.

The beauty of cold weather means our website traffic shoots through the roof as “property porn” goes to the next level. Whether these are actual people interested in buying or people that are just going stir crazy checking out www.edmontonrealestate.pro because they have nothing else to do remains to be seen. I do know I am answering a lot more questions about specific properties right now than normal.

13Jan/12Off

Edmonton Real Estate Market Weekly Update – Jan. 13/12

EdmontonRealEstateMarketUpdate
Edmonton Real Estate Market Update

Here is our update on the Edmonton real estate market. (Previous week’s numbers are in brackets). For the past 7 days:

New listings: 438 (239, 69, 152)
# Sales: 109 (74, 91, 172)
Ratio: 25% (31%, 132%, 113%)
# Price changes: 125 (73, 29, 68)
# Expired/Off Market Listings: 143 (577, 105, 221)
Net loss/gain in listings this week: 186 (-412, -127, -241)
Active single family home listings: 1972 (1843, 2094, 2167)
Active condo listings: 1139 (1067, 1209, 1246)
Homes 4-week running average: $357k ($366k, $366k, $371k)
Condos 4-week running average: $220k ($223k, $231k, $227k)

I'm beginning to believe, based on seasonality and trends, that January is my new favourite time to look for a property. It used to be December, because there was not much going on and sellers were motivated. However, given how inventory has come on in January in recent years, and how it outperforms sales, it seems like a good time to shop with lower competition and prices, and more selection.

Jan1312WeeklyAvg
Edmonton Real Estate Prices
Jan1312Weekly
Edmonton real estate listings and sales
10Jan/12Off

A December to Remember

I don't post a lot of personal stuff on our blog, or even very much daily business stuff, but we have had a lot going on over the past few months that I think we should share. Every year around December Sara and I spend a good deal of time on business planning. We look at the market conditions, what the market did in the year previous and try to reason out what we think might happen in the coming months and years. No we are not economists (if you read this blog you know why I had to say that). It just so happens we are and have been very good at predicting the number of sales overall. Fluctuations in price and sales numbers by types is a different story but we are working on that.

For the most part 2011 was a very good year. Our company grew adding a couple of really good experienced agents, and a couple of rookies while maintaining our strongest existing team members. We cut some dead weight including a couple of developers and builders who didn't fit our service and ethical standards. For one builder the straw that broke my back was a leaky fridge: during the inspection a leak was discovered, the builder told us it was repaired but when the single mom who bought the unit moved in it was still leaking. When we discussed this with the builder they told us "too bad it’s the buyer's problem now". I felt badly for the buyer's agent because they were relying on our word and reputation that the fridge was fixed when it wasn't, so they took it on the chin from their clients. Anyway, we offered to take care of the problem and then terminated all 24 listings we had with the builder. Probably not the smartest business move but when someone lies about a $250 fix the potential for bigger issues to damage our reputation with our other clients and other agents was serious enough to give them the boot. In any case that's the way it goes in business right? You win some and you lose some.

Other than that the year was uneventful until we found out we were pregnant. I say "we" metephorically for those of you who will point out that men can't get pregnant. In short order we found out we were having not one, but two. Ironically this news was delivered the same day my daughter entered her first day of high school. Needless to say it took me a few weeks to wrap my head around it all and just as we moved from acceptance to excitement we got some really bad news.

Sara's dad passed away suddenly at the beginning of December. John Maclennan was a former high school teacher, farmer, coach, hall of fame quarter back at McMaster University, conservationist and volunteer extraordinaire. At 74 John was in excellent shape, ate very well, and biked regularly. The week before John passed away my dad was taken to the Grey Nuns Cardiac care unit (to whom I must give koodoos to for excellent service and the care they gave my dad). He was in four 4 days while they deliberated the issues and the potential remedies.

So when news came about Sara's dad we were both in shock. The rest of the month was a whirlwind of travel back and forth to Ontario. The passing of John reminded me once again that life is so very precious, and it taught me a whole lot more than that. While I interceded the many phone calls that came to Sara's mom expressing their condolences, a message stuck with me because it was a recurring one: "You don't know me, and John probably wouldn't remember me, but he taught me at Nelson High School and I just wanted to say he had a profound impact on my life."
It just reaffirmed to me that we can make a positive impact on young people and strangers by the way we conduct ourselves and live our lives.

John's funeral was attended by politicians and business people from around Hamilton, farmers, teachers, neighbours and family. His friend who conducted the service told me there were over 500 people in attendance at the church service which was standing room only. There was an open mic session where former students and co-workers, neighbours, friends and family shared their favourite memories of John. Many of the students he used to have out to his farm to do "conditioning work" found that time they spent at the farm, and the time he gave to them was life altering, and many followed in his footsteps citing him as their inspiration.  Many people proudly displayed the official "license to hug" John had issued them and I myself am a converted "hugger" thanks to John. I found I had never laughed and cried so much in one day. On the night of the funeral I flew back to Edmonton and those on the plane around me must of thought I was nuts as I would recall something someone had said about John and either laugh, or well up with tears.

I share this because we realize we haven't been as attentive to the blog for the last while as we normally are, but we have tried our best and we appreciate the support and willingness of people to share their thoughts and views. We are into the new year now and are about 3 months away from welcoming two new additions to our family. So if I can leave you with one thought its this: you can make a difference in someone's life with a smile, a hug, your support, or your time, and most of all by just listening. I can't help but think if I and others were more like John the world would be a better place.

John Alexander MacLennan
December 18, 1937- December 3, 2011

JohnMacLennan2010
John MacLennan paddling the North Saskatchewan last summer,
and 50 years earlier in the same McMaster Football Jersey.


p.s. John received many awards including being inducted into McMaster University's sports hall of fame, and coaching Nelson high school to numerous provincial basketball championships. John loved teaching and he loved McMaster University where this summer he toured my daughter and I hoping that she might one day consider going there. He loved teaching so much he dedicated his body to McMaster's medial research program to help train tomorrow's doctors. As a farmer and a teacher John was "outstanding in his field."

6Jan/12Off

Edmonton Real Estate Market Weekly Update – Jan. 6/12

EdmontonRealEstateMarketUpdate
Edmonton Real Estate Market Update

Here is our update on the Edmonton real estate market. (Previous week’s numbers are in brackets). For the past 7 days:

New listings: 239 (69, 152, 169)
# Sales: 74 (91, 172, 155)
Ratio: 31% (132%, 113%, 92%)
# Price changes: 73 (29, 68, 128)
# Expired/Off Market Listings: 577 (105, 221, 197)
Net loss/gain in listings this week: -412 (-127, -241, -183)
Active single family home listings: 1843 (2094, 2167, 2268)
Active condo listings: 1067 (1209, 1246, 1311)
Homes 4-week running average: $366k ($366k, $371k, $369k)

Condos 4-week running average: $223k ($231k, $227k, $225k)Well, there is no New Year's hang over when it comes to real estate in Edmonton, people were busy getting homes (back) on the market this week. The numbers this week are much the same as they were at this time last year - very few sales, tons of expired listings, and tons of new listings. We should continue to see the inventory grow for the next few months. The average price for condos and single family homes starts out the year ahead of last year, but this doesn't mean a whole lot because the number of sales is low, so the sample size is small creating larger fluctuations in the average. We'll see what happens over the next few weeks as sales start to increase.

Jan612WeeklyAvg
Edmonton real estate prices
Jan612Weekly
Edmonton real estate listings and sales
4Jan/12Off

Greater Edmonton’s Real Estate Market Steady In December

Residential real estate sales were right in the normal range in the greater Edmonton area in December. There were 878* residential sales compared to 784 last December and 1133 last month. We certainly noticed higher than normal activity on our listings with many showings over the holiday season. So it feels like 2012 will start off strong in the sales department, but you never really know...

Dec2011MLSSales
Edmonton MLS® sales


The average sale price for residential homes on the MLS® system was $316,415 compared to $308k last December (up 1.7%) and $321 last month. The median sale price was $303k compared to $300k last year and $310 last month. 

“With economic uncertainty impacting Europe and depressed housing markets in parts of the United States, it is a relief to report on the stability and health of the local real estate market,” said REALTORS® Association of Edmonton President (2011) Chris Mooney. “With prices and sales varying within a small range there is a solid base going forward into the 2012 market.”

Dec2011MLSAvg
Edmonton average real estate sale price


The inventory dropped to 5316 at the end of December which is in the "new" normal range (in the past this would have been considered quite high, but when you include the past few years it is in the normal range):

Dec2011MLSInventory
Edmonton MLS® Inventory


The number of new listings also followed a seasonal pattern, dropping to 1088 in December; the number of new listings coming on the market should increase quite a bit over the next few weeks:

Dec2011MLSListings
Edmonton MLS® Listings

Our annual report on the Edmonton real estate market will be sent to our clients and subscribers in the very near future - don't miss out, subscribe for free today.

*We adjust the residential sales total for the current month to account for unreported sales. Every month 6% of sales on average are not reported to the Association in time for the monthly report. The following month the numbers are updated to reflect the total sales during the previous month. That means the current month always looks worse compared to previous months. For example, in October 2011 the reported sales totalled 1170 which we adjusted to 1240 for comparison purposes and the actual number fo sales were 1253. In November there were 1084 reported sales which we adjusted to 1149 and the actual number was 1133. So far our adjusted numbers have been far closer to the actual numbers than those reported by the Association each month (so far on average I am off by 1 sale whereas the association is under reporting by 77 sales on average each month).

1Jan/12Off

Edmonton Real Estate Prices Rise in December Despite Lack Lustre Sales

Sales of single family homes were about the same as last year and within the normal range for December in Edmonton. There were 382 sales of single family homes, compared to 380 last year and 557 last month:

Dec2011EdmSFSales
Edmonton Single Family Home Sales


After three months of lower sales than the previous year, condo sales in Edmonton improved slightly to 225 compared to 206 last year and 242 last month:

Dec2011EdmCondoSales
Edmonton Condo Sales


In atypical fashion, the average sale price for both condos and single both increased in December compared to the previous month, and were also both up from last year. The average sale price for single family homes was $367,391 compared to $358k last year and $362k last month. The median sale price for single family homes was $348k compared to $336,500 last year and $340k last month.

The average sale price for condos was $229,197 compared to $220,365 last year and $222k last month. The median sale price for condos was $215k in December compared to $217k last year and $208k last month. 

Dec2011EdmAvg
Edmonton real estate prices
 


The price per square foot followed a similar pattern: single family homes sold on average for $255/square foot compared to $253 last year and $249 month. Condos sold on average for $223/square foot compared to  $218 last year and $219 last month.


Dec2011EdmSqFt
Edmonton real estate price per square foot


We tend not to put too much stock in the stats for December, since there are fewer sales and therefore less data to work with. As always, this is our preliminary report on the real estate market in December, and our final report will follow when the final numbers are released by the REALTORS® Association next week.

30Dec/11Off

Edmonton Real Estate Market Weekly Update – Dec. 30/11

EdmontonRealEstateMarketUpdate
Edmonton Real Estate Market Update

Here is our update on the Edmonton real estate market. (Previous week’s numbers are in brackets). For the past 7 days:

New listings: 69 (152, 169, 213)
# Sales: 91 (172, 155, 132)
Ratio: 132% (113%, 92%, 62%)
# Price changes: 29 (68, 128, 102)
# Expired/Off Market Listings: 105 (221, 197, 123)
Net loss/gain in listings this week: -127 (-241, -183, -42)
Active single family home listings: 2094 (2167, 2268, 2393)
Active condo listings: 1209 (1246, 1311, 1359)
Homes 4-week running average: $366k ($371k, $369k, $367k)
Condos 4-week running average: $231k ($227k, $225k, $224k)

Exactly as expected for the last week of the year. We'll have our monthly numbers in a couple of days so I'll keep this short and sweet.

Dec302011Weekly
Edmonton Real Estate Listings and Sales
Dec302011WeeklyAvg
Edmonton Home Prices

Happy New Year!

28Dec/11Off

Is Alberta Headed for Another Boom?

Personally, I prefer slow and steady growth, but there are many suggesting our province is headed for another boom. The Edmonton Journal published an article yesterday with some interesting information called: "Energy Revival Fuelling Another Alberta Boom." Highlights include:

  • The Royal Bank predicts Alberta's rate of growth will outpace all provinces except Saskatchewan this year and next.
  • The private sector was the source of 116,000 new jobs this year
  • The oilpatch and natural resources sector is set to lead the nation with the highest project salary increases next year
  • Labour shortages are expected 
  • Retail sales rose more in Alberta than any other province last month

Labour shortages and inflation could be a major problem in the province. It's certainly tough to look at all this information and not think of other factors that will certainly affect our economy, like the global financial situation and rising interest rates. On the other hand, when I hear from the Edmonton Economic Development Corporation that there are $17billion worth of new projects set to start between here and Red Deer it's tough not to consider it. At the end of the article the author suggests perhaps a "mini-boom" is more likely and that seems much more feasible to me. 

23Dec/11Off

Edmonton Real Estate Market Weekly Update – Dec. 23/11

WeeklyUpdateChristmas
Weekly Update

Here is our update on the Edmonton real estate market. (Previous week’s numbers are in brackets). For the past 7 days:

New listings: 152 (169, 213, 253)
# Sales: 172 (155, 132, 183)
Ratio: 113% (92%, 62%, 72%)
# Price changes: 68 (128, 102, 166)
# Expired/Off Market Listings: 221 (197, 123, 435)
Net loss/gain in listings this week: -241 (-183, -42, -365)
Active single family home listings: 2167 (2268, 2393, 2408)
Active condo listings: 1246 (1311, 1359, 1378)
Homes 4-week running average: $371k ($369k, $367k, $364k)
Condos 4-week running average: $227k ($225k, $224k, $226k)

Just as expected for this time of year - the numbers are right in line with the past few years. The REALTORS® Association of Edmonton is reporting 674 sales so far this month, which should put us around 900 for the month (pretty typical). 

 
Dec232011WeeklyAvg
Edmonton Real Estate Prices
Dec232011Weekly
Edmonton real estate listings and sales

Have a great weekend, a very Merry Christmas and happy holidays.