FALLing house prices

[JordanLotoski]

In the last 2 days there were 102 solds, 14 of them went at list or over list price.

The sky isn't quite falling on the Real estate market as of yet.

12 sales posted today, 4 are at list or over list

[Canucks3322]

Ya everyone listen to what the real estate agent has to say

[01RedDX]

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[JordanLotoski]

Originally posted by 01RedDX


He has no reason to lie. It's true, the market is still technically very strong and prices are through the roof. -0.4% is nothing.

The most alarming factor is the rapidly rising inventory, quickly approaching 5,000 listings. A few thousand more and we will start to see falling prices. At this rate, we could see 7-8,000 listings by summer.

Only the facts....Don't get me wrong its a slower start then the past few years but things are still moving

We had 12,000 listings in the 4th quarter of 2010

[benyl]

You are saying I told you so a quarter later?

Come on. Thousands of lay offs after your OP and you're saying I told you so?

[BigMass]

takes time. If someone loses their job they're not going to come home and the first thing they do is call an agent to list their home. Wait until the savings run out, the EI runs out, the RRSP runs out, people stop renting and move out of Calgary etc. Lots of things left to happen before we start to see a material drop in average prices. 4500 listings is actually not a lot for a city this large. Now looking at affordable listings between 150-250-300 there's almost nothing. Plus with the BoC reacting like scaredy-cats everytime an asset class drops (stocks, real estate, oil, etc) there's little chance the government and BoC won't do everything in their power to keep prices up.

[Feruk]

I think we ain't seen nothing yet. Probably won't for another 6 months.

I wonder what percentage of Calgarians work for O&G service companies? Here's where I suspect the major cuts will be, especially in field positions as soon as break up hits.

[msommers]

Unfortunately break up has already hit for a lot. Many of us are on our last jobs

[BigMass]

Originally posted by Feruk
I think we ain't seen nothing yet. Probably won't for another 6 months.

I wonder what percentage of Calgarians work for O&G service companies? Here's where I suspect the major cuts will be, especially in field positions as soon as break up hits.

the thing is, in Calgary, O&G is the epitome of trickle-down. So 1000 layoffs in O&G would trickle down to layoffs at service industries, maids, cleaning, daycare, fastfood, accounting, tech/IT, real estate agents, lawyers, car dealerships etc.. pretty much everything. O&G is what we produce, the rest are just services and consumption industries that are a byproduct of the wealth that comes from the production of O&G. So 1 layoff in O&G counts more in terms of negative impact to the economy than any other sector in this city. People might not see how their kid being laid off from McDonalds is a direct result of some dude 4 months ago getting laid off in O&G. It's not immediately evident.

[mr2mike]

Originally posted by msommers
Unfortunately break up has already hit for a lot. Many of us are on our last jobs

Ya this warm weather isn't good.

[msommers]

Originally posted by mr2mike


Ya this warm weather isn't good.

It's more of a double-whammy than the primary factor. It's so muddy out here already

[ddduke]

Originally posted by msommers
Unfortunately break up has already hit for a lot. Many of us are on our last jobs

I've got about 50 more days on this pad then there likely wont be much for a little while anyways.

I also know of at least a dozen guys at our company that have been sitting for 2+ months.

[Thales of Miletus]

The American economy is on the verge of cratering.

Fall 2015 is not going to be a good time for anyone.

[sputnik]

Originally posted by JordanLotoski
In the last 2 days there were 102 solds, 14 of them went at list or over list price.

So basically of the 102 solds... 88 were under asking.

[msommers]

^ Puts it in perspective a little more accurately

[Canucks3322]

Of course Jordan or any other realtor would never word it that way. ...

[Canucks3322]

Check out this gem only $430,000! Better snatch it up quick before prices go up again!!

http://forums.beyond.ca/st/388910/ju...oom-chocolate/

[HiTempguy1]

Originally posted by sputnik


So basically of the 102 solds... 88 were under asking.

That's still pretty reasonable though. Usually in business the price the seller wants is.negotiated down from. RARELY do people want to pay more.

The main reason that happens is in large part due to emotion (the idea you can't have exactly what you want). The only other factor is rarity, as prime locations are rare, which is reasonable.

My girlfriend, if she finds *insert item here* that she wants, has no problem paying full price if it is perfect, even if you could literally ask for 10% off the price and get it no sweat.

Some people just don't operate like that, and I can assure you, having a combined gross income of over $200k in this province doesn't mean you are a genius or savvy in life. For a million dollar house, there are PLENTY of people that could give a shit less about $50k over. I'll never be one of those people, but they are out there.

[msommers]

Originally posted by Canucks3322
Check out this gem only $430,000! Better snatch it up quick before prices go up again!!

http://forums.beyond.ca/st/388910/ju...oom-chocolate/

$430k w/ $480 condo fees on the 2nd floor, 2 bedroom, 925 sq. ft.

Prices are still pretty high it seems. I'll be in my place forever

[01RedDX]

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