If you’re anything like us, when you’re planning an outdoor event or last minute get-away the process begins with checking the weather forecast. Obviously, taking a holiday or going on an outdoor adventure is much better when the weather cooperates by providing warm days and plenty of sunshine. So, when it comes to planning for what will most likely be the biggest investment of your life, we believe it only makes sense to start by checking your Local Real Estate Market Forecast.
Since there’s a lot of information to sift through when it comes to getting a clear picture of the market conditions and outlook in the greater Edmonton area for 2024. We decided to draw on several notable resources, and put together a quick read that will assist you in deciding if now is the right time for you to take the adventurous trip into home ownership.
The 2024 Alberta housing forecast is offering plenty of Blue Skies and Sunny days ahead for buyers and sellers alike!
During the 2024 REALTORS® Association of Edmonton (RAE) Annual Housing Forecast Luncheon, the keynote speakers shared their department’s outlook for the upcoming year. From the RAE & CREA representatives, to the City of Edmonton and Provincial leadership members, their shared economic outlooks included clear indicators that blue skies and sunny days are predicted for the Greater Edmonton Area. Here’s a snippet from the presentation by The Government of Alberta’s Catherine Rothrock:
- “The housing market and income gains have been pillars of support for Alberta’s economy. A strong labor market and an upswing in the housing market during the second half of the previous year have contributed to overall economic activity.”
- “Despite challenges, optimism prevails in Alberta’s housing market. Factors such as a strong population base, affordability, and higher incomes contribute to positive expectations for housing starts”
According to The Canadian Real Estate Association (CREA) report, some of the bigger sales gains in 2024 are expected to come from the province of Alberta where the housing demand is particularly strong. They’re projecting 84,915 in home sales, an 11% Increase from 2023, and a 6.3% increase in home values placing the expected average sale price at $478,886.00.
In the published report Canada’s housing market outlook: A tale of two halves in 2024 credited to Robert Hogue January 29, 2024, Assistant Chief Economist at RBC. He is projecting solid market growth in Alberta for 2024, with an estimated 86,800 units sold, up year-over-year by 13.5%. Plus an average sale price of $492,400 which is an increase in value of 2.2% year over year. Quoting from the paragraph: Rebound already taking shape in Alberta and Saskatchewan.
- “We expect lower interest rates in the second half of 2024 to lift activity from coast to coast. A market uptrend is in fact already taking shape in Alberta and Saskatchewan – setting both up for above-average resales growth this year of 13.5% and 9.4%, respectively.”
And, because my grandpa taught me to check more than one weather station’s forecast prior to finalizing my plans. I’ve included the following “Home Sales & Price Outlook” graph and a quote from the report provided by TD Economics. “Provincial Housing Market Outlook: 2024 Shaping Up to be a Better Year (td.com) Published January 11, 2024 credited to Rishi Sondhi Economist
- “The regional disparities that characterized markets in recent quarters are anticipated to persist. Over the next few years, we see price growth outperforming in the Prairies, supported by solid affordability conditions, tight markets, and economic outperformance. Alberta’s market continues to draw strength from the fastest population growth in the country.”
There are several key factors commonly shared among the top economic authorities that are contributing to a sunny outlook for the Greater Edmonton Housing Market. The first is attributed to pent-up demand, as families who decided to wait and see what was going to happen with interest rates are receiving the news that the Bank of Canada may begin lowering rates as early as April of this year. The second is due to the migration of existing Canadian residents moving from other provinces into Alberta for employment opportunities. Third is low unemployment and a strong labor force. And lastly, (though there are more I could talk about), the Greater Edmonton Area offers more affordably priced homes than our biggest competitor and neighbor to the south, Calgary.
So, now that you’ve had a chance to check out the forecast for your local area, and the climate advisory looks to be favorable throughout the year. When you’re ready, we’d be happy to chat and assist you in getting your home adventure under way.
Sincerely,
The Rosts
Disclaimer: This article is intended as general information only and is not to be relied upon as constituting legal, financial or other professional advice. A professional advisor should be consulted regarding your specific situation. Information presented is believed to be factual and up-to-date but we do not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed. All expressions of opinion reflect the judgment of the authors as of the date of publication and are subject to change.