Red Deer Real Estate Blog
Real Estate information, market updates and news from Red Deer Alberta and surrounding area.Browsing Posts published in August, 2009
Buying a home is it all about timing, or confidence?
Probably it is a combination of the two is the best answer. While buying at the peak of a market at the highest price is not our objective it does happen. Some buy while the market is trending down.
What doesn’t happen is a stop to all buying and selling. There are several reasons why that is so, one of which is because you “NEED” to buy or sell. Those buyers and sellers that are in the real estate market out of necessity are generally always there, albeit with a different face name but the necessity buyer and seller is there.
Which buyer or seller are you? The “Need To” or Want To”?
Need To?
If you need to buy a home in Red Deer or Central Alberta, there are plenty of homes to choose from. Presently in the City of Red Deer you will find close to 600 properties (homes) listed for sale on the MLS.
If you need to sell your home in Red Deer or Central Alberta you can do that as well. The Central Alberta REALTORS Association has recorded 506 sales for the month of July. So yes, sales are occurring daily. If you have been following my previous posts you can see that sales are occurring weekly, and in fact daily.
The need to be in the real estate market is a reality that transpires and can yield success.
Want To?
“I want to sell my home if I can get a good price and find a suitable more desirable replacement”. This may be you or…
“I want to invest in real estate, and earn rental income and over time have capital growth”. This could be you as well.
Both are statements that describe a “want to” buyer or seller. An real estate investment buyer may have money they need to invest, but they don’t necessarily need to invest it in real estate or in this market. On the contrary, they can put that money in other investments and markets at any time. So is now an opportune time to invest in Red Deer real estate?
A recent article in the Red Deer Advocate newspaper suggests that it is. Here is an excerpt from the article found here: Although Central Alberta boasts “opportunities” and “land mines,” said Campbell, it has lots of appeal for real estate investors. “Central Alberta is one of the top regions right now,” he said. “It’s ridden out this downturn better than just about any region in the whole country.” Don Campbell is a founder of REIN. A group that is made up of real estate investors across Canada.
Why you should be buying now, and move into the “Want To” Category:
- Interest rates are low.
- Listing Inventory has decreased and displaying signs of a Balanced Market.
- Economy is Improving and on the Rise.
- Tax Credits for 2009
Despite sounding like a broken record, rates are low. What else do we know about those rates? The Bank of Canada has committed to holding rates. What you should be taking away from that is, “What will happen then?”. We are not sure, however it is highly probable that if national economic conditions improve between now and then you could see those rates rise. Bottom Line:lock them in now while they are certain. The impact of rising rates on payments could be huge.
- Listing Inventory has decreased and displaying signs of a Balanced Market.
Increased supply of listings is a key indicator of a buyers market. The fact that the number of new listings for sale is distinctly lower than 2008 is a signal that the market has CHANGED. In my opinion we are in a balanced market. Some price ranges are not quite representing all those signs but overall the Red Deer real estate market is.
Listing Inventory declined from 2008 to 2009 by 6.69% in the City of Red Deer, while July 2009 declined 18.62% from July 2008 in Red Deer.
When supply decrease the pressure on price eases. We have seen the average price remain relatively stable for quite some time now.
Have you been watching the cots of a barrel of Oil? How about Gas prices. Natural Gas has been hit the hardest and been a lot more depressed than Oil. Not good news at all. Red Deer is very much a Gas services economy, and the low rates certainly have an impact. The positive side (if you want to look at it that way) is they appear to be at the bottom. For those companies involved in Gas services many have already done their lay offs. It is difficult to imagine a further decline in Natural Gas Prices (**Note I am not a commodities expert**). While it is good for our heating bill, I think it is bound to go up soon.
- Tax Credits for 2009
Did you know that there are first time home buyers tax credits as well as home renovation tax credits? Will they still be there for 2010? We’re hoping they increase the tax amounts but anything is possible. If you want to take advantage of them the window of opportunity to record that credit for the 2009 year is closing. Who is eligible for the HBTC? An individual will qualify for the HBTC if they acquire a qualifying home; and neither the individual nor the individual’s spouse or common-law partner owned and lived in another home in the year of purchase or any of the four preceding years.
I posted a poll on Twitter for a couple of days and the response indicates that yes people that responded also agreed that you should be buying a home today. While the economy is not where it was, it is improved since the fall of 2008 and January 2009. There are several signs that the economy and the real estate market are on the rise, Perhaps slowly , but the worst appears to behind us for the time being. Some headlines have stated that we are no longer in a recession and the ones lending out mortgages are making money, see chart below.
| Canadian bank profits – third quarter | ||
|---|---|---|
| Bank | Q3/09 | Q3/08 |
| BMO | $557 million | $521 million |
| Royal | $1.56 billion | $1.26 billion |
| TD | $912 million | $997 million |
| CIBC | $434 million | $71 million |
| National | $303 million | $286 million |
| Scotiabank | $931 million | $1.01 billion |
Some links on the economy:
Link to the Twitter Poll: http://twtpoll.com/fbybqf
Your Friend in Real Estate,
Stats compiled from the Central Alberta REALTORS® Association
Your sources for Red Deer Real Estate on Twitter:
Patrick Galesloot: @pgalesloot
Century 21 Advantage: @C21Advantage
De Galesloot: @DeGalesloot
Ken Devoe: @kendevoe
Rob Powell: @roblpowell
Richard Pochylko: @C21realtyguy
Tim McRae: @TimMcRaeC21
Nicole Maurier: @RealEstateRD2
Nolin Maurier: @RealEstateRD
.
Patrick
Buying a home is it all about timing, or confidence?
Probably it is a combination of the two is the best answer. While buying at the peak of a market at the highest price is not our objective it does happen. Some buy while the market is trending down.
What doesn’t happen is a stop to all buying and selling. There are several reasons why that is so, one of which is because you “NEED” to buy or sell. Those buyers and sellers that are in the real estate market out of necessity are generally always there, albeit with a different face name but the necessity buyer and seller is there.
Which buyer or seller are you? The “Need To” or Want To”?
Need To?
If you need to buy a home in Red Deer or Central Alberta, there are plenty of homes to choose from. Presently in the City of Red Deer you will find close to 600 properties (homes) listed for sale on the MLS.
If you need to sell your home in Red Deer or Central Alberta you can do that as well. The Central Alberta REALTORS Association has recorded 506 sales for the month of July. So yes, sales are occurring daily. If you have been following my previous posts you can see that sales are occurring weekly, and in fact daily.
The need to be in the real estate market is a reality that transpires and can yield success.
Want To?
“I want to sell my home if I can get a good price and find a suitable more desirable replacement”. This may be you or…
“I want to invest in real estate, and earn rental income and over time have capital growth”. This could be you as well.
Both are statements that describe a “want to” buyer or seller. An real estate investment buyer may have money they need to invest, but they don’t necessarily need to invest it in real estate or in this market. On the contrary, they can put that money in other investments and markets at any time. So is now an opportune time to invest in Red Deer real estate?
A recent article in the Red Deer Advocate newspaper suggests that it is. Here is an excerpt from the article found here: Although Central Alberta boasts “opportunities” and “land mines,” said Campbell, it has lots of appeal for real estate investors. “Central Alberta is one of the top regions right now,” he said. “It’s ridden out this downturn better than just about any region in the whole country.” Don Campbell is a founder of REIN. A group that is made up of real estate investors across Canada.
Why you should be buying now, and move into the “Want To” Category:
- Interest rates are low.
- Listing Inventory has decreased and displaying signs of a Balanced Market.
- Economy is Improving and on the Rise.
- Tax Credits for 2009
Despite sounding like a broken record, rates are low. What else do we know about those rates? The Bank of Canada has committed to holding rates. What you should be taking away from that is, “What will happen then?”. We are not sure, however it is highly probable that if national economic conditions improve between now and then you could see those rates rise. Bottom Line:lock them in now while they are certain. The impact of rising rates on payments could be huge.
- Listing Inventory has decreased and displaying signs of a Balanced Market.
Increased supply of listings is a key indicator of a buyers market. The fact that the number of new listings for sale is distinctly lower than 2008 is a signal that the market has CHANGED. In my opinion we are in a balanced market. Some price ranges are not quite representing all those signs but overall the Red Deer real estate market is.
Listing Inventory declined from 2008 to 2009 by 6.69% in the City of Red Deer, while July 2009 declined 18.62% from July 2008 in Red Deer.
When supply decrease the pressure on price eases. We have seen the average price remain relatively stable for quite some time now.
Have you been watching the cots of a barrel of Oil? How about Gas prices. Natural Gas has been hit the hardest and been a lot more depressed than Oil. Not good news at all. Red Deer is very much a Gas services economy, and the low rates certainly have an impact. The positive side (if you want to look at it that way) is they appear to be at the bottom. For those companies involved in Gas services many have already done their lay offs. It is difficult to imagine a further decline in Natural Gas Prices (**Note I am not a commodities expert**). While it is good for our heating bill, I think it is bound to go up soon.
Did you know that there are first time home buyers tax credits as well as home renovation tax credits? Will they still be there for 2010? We’re hoping they increase the tax amounts but anything is possible. If you want to take advantage of them the window of opportunity to record that credit for the 2009 year is closing. Who is eligible for the HBTC? An individual will qualify for the HBTC if they acquire a qualifying home; and neither the individual nor the individual’s spouse or common-law partner owned and lived in another home in the year of purchase or any of the four preceding years.
I posted a poll on Twitter for a couple of days and the response indicates that yes people that responded also agreed that you should be buying a home today. While the economy is not where it was, it is improved since the fall of 2008 and January 2009. There are several signs that the economy and the real estate market are on the rise, Perhaps slowly , but the worst appears to behind us for the time being. Some headlines have stated that we are no longer in a recession and the ones lending out mortgages are making money, see chart below.
| Canadian bank profits – third quarter | ||
|---|---|---|
| Bank | Q3/09 | Q3/08 |
| BMO | $557 million | $521 million |
| Royal | $1.56 billion | $1.26 billion |
| TD | $912 million | $997 million |
| CIBC | $434 million | $71 million |
| National | $303 million | $286 million |
| Scotiabank | $931 million | $1.01 billion |
Some links on the economy:
Link to the Twitter Poll: http://twtpoll.com/fbybqf
Your Friend in Real Estate,
Stats compiled from the Central Alberta REALTORS® Association
Your sources for Red Deer Real Estate on Twitter:
Patrick Galesloot: @pgalesloot
Century 21 Advantage: @C21Advantage
De Galesloot: @DeGalesloot
Ken Devoe: @kendevoe
Rob Powell: @roblpowell
Richard Pochylko: @C21realtyguy
Tim McRae: @TimMcRaeC21
Nicole Maurier: @RealEstateRD2
Nolin Maurier: @RealEstateRD
.
Patrick
Start enjoying the career you’ve always wanted and thought about. Real Estate.
A Career in Real Estate is more than a job or going to work it’s a fun rewarding business. When you bought your first home or your last home was it a sad angry endeavour? No I bet it sure wasn’t. In fact I bet you were excited and happy. Experience that all the time. Helping some one find the home of their dreams can be a lot of hard work, but the end result is the satisfaction of helping some one make the largest purchase they may ever make and one of the happiest, and exciting purchases they may ever make.
There is no need to be in a career or job where you are frustrated by customers or your boss. A career with Century 21 Advantage provides you the opportuynity to work for yourself your way, the right way.
Questions?
I’m thinking about a career change but I don’t want to rock the boat here now, how can I find out more?
- Our confidential, no obligation, interview can be scheduled discreetly and conveniently affording you the opportunity to learn more.
Do you host Career Seminars?
- Absolutely, our career seminars offer you a comprehensive overview of the real estate business. We show you what’s involved in getting a real estate license, what skills and attributes are important to be successful, and most importantly, we discuss the tools and training you need to build your business quickly and effectively. if you would like to attend one of our upcoming career seminars, please contact Patrick Galesloot at: (403) 346-0021 or by email at patrick.galesloot@century21.ca .
I’ve never done this before do you have ongoing coaching or training?
- We have always had a history of training, and development at Century 21 Advantage. At Century 21 Advantage we specialize in goal achievement for our Realtors. We have a full complement of resources to help you achieve your goal as well as regular coaching programs. Patrick is a certified Richard Robbins Masters Edge trainer. If you want that extra edge to help you succeed in real estate by doing business “your way”, we can help.
If you would like to register for a personal interview or if you would like to attend one of our upcoming career seminars, please contact Patrick Galesloot at: (403) 346-0021 or by email at patrick.galesloot@century21.ca
Join the Century 21 Advantage home buying team Monday September 14th to learn how you can buy a home with confidence.
If you have always wanted to know how to get out of renting and into your first home, or perhaps you haven’t made a move for a number of years this is for you.
Find out the ins and outs of negotiating an offer to purchase, why you need use a lawyer and what they do, what does the bank need to approve your mortgage application and how to take advantage of the available home buying tools. This seminar will also answer questions you may have on what a REALTOR® does and how to utilize their services to find the home you need and want.
Contact us today for more information and to reserve your seat. 403-346-0021.
Your Friend in Real Estate,
Start enjoying the career you’ve always wanted and thought about. Real Estate.
A Career in Real Estate is more than a job or going to work it’s a fun rewarding business. When you bought your first home or your last home was it a sad angry endeavour? No I bet it sure wasn’t. In fact I bet you were excited and happy. Experience that all the time. Helping some one find the home of their dreams can be a lot of hard work, but the end result is the satisfaction of helping some one make the largest purchase they may ever make and one of the happiest, and exciting purchases they may ever make.
There is no need to be in a career or job where you are frustrated by customers or your boss. A career with Century 21 Advantage provides you the opportuynity to work for yourself your way, the right way.
Questions?
I’m thinking about a career change but I don’t want to rock the boat here now, how can I find out more?
- Our confidential, no obligation, interview can be scheduled discreetly and conveniently affording you the opportunity to learn more.
Do you host Career Seminars?
- Absolutely, our career seminars offer you a comprehensive overview of the real estate business. We show you what’s involved in getting a real estate license, what skills and attributes are important to be successful, and most importantly, we discuss the tools and training you need to build your business quickly and effectively. if you would like to attend one of our upcoming career seminars, please contact Patrick Galesloot at: (403) 346-0021 or by email at patrick.galesloot@century21.ca .
I’ve never done this before do you have ongoing coaching or training?
- We have always had a history of training, and development at Century 21 Advantage. At Century 21 Advantage we specialize in goal achievement for our Realtors. We have a full complement of resources to help you achieve your goal as well as regular coaching programs. Patrick is a certified Richard Robbins Masters Edge trainer. If you want that extra edge to help you succeed in real estate by doing business “your way”, we can help.
If you would like to register for a personal interview or if you would like to attend one of our upcoming career seminars, please contact Patrick Galesloot at: (403) 346-0021 or by email at patrick.galesloot@century21.ca
Join the Century 21 Advantage home buying team Monday September 14th to learn how you can buy a home with confidence.
If you have always wanted to know how to get out of renting and into your first home, or perhaps you haven’t made a move for a number of years this is for you.
Find out the ins and outs of negotiating an offer to purchase, why you need use a lawyer and what they do, what does the bank need to approve your mortgage application and how to take advantage of the available home buying tools. This seminar will also answer questions you may have on what a REALTOR® does and how to utilize their services to find the home you need and want.
Contact us today for more information and to reserve your seat. 403-346-0021.
Your Friend in Real Estate,
It is still a good time to buy real estate in Red Deer. While summer sales continue to cool down from the high point of May and June there are many market indicators that say we have have a stable balanced market. Driving around Red Deer you get a sense that business is stable. New home construction is solid, plenty of road work and infrastructure projects on the go, and Oil has been quite stable at $65 to $71/barrel. Gas has strengthened somewhat but still weak compared to where it was and probably where it should be. We certainly are not immune to economic changes, however we have been positioned here in Red Deer such that we are more insulated from the dramatic swings.
The trend to watch seems to be the gradual increase in inventory that is occurring as sales numbers decline. While this is not an alarming trend it is something that we should take note of. Much of this trend is seasonal and the inventory levels we are at today, 610 active listings, is a similar level to that experienced in February and considerably lower than than the peak of inventory in May of 671 listings in Red Deer.
With plenty of homes to choose from Buyers today can choose the home they “want”, and for the the most part negotiate terms favourable to them. While sellers today can indeed sell their home but they need to be grounded in their expectations and realistic in the asking price.
The absorption rate is the rate at which properties are being sold. How long would it take to sell the 610 listings presently on the market if we did not take another listing? That rate is 610 Listings/32 sales week = 19 weeks or 4.75 months. Not bad at all and in many areas this number is considered low and an indicator of a balanced market.
AS always ups and downs occur as noted above. The rise of sales in Red Deer is very much seasonal as it is in other ares of the country. Fortunately the interest rate remain low and affordable for buying. Now is a good time to enter the market or move up to that home you want.
Your Friend in Real Estate,
Follow Patrick on Twitter:@pgalesloot or Century 21 Advantage on Twitter: @C21Advantage
All stats based on information provided from the Central Alberta REALTORS® Association.
You’re online is your listing?
The answer is probably a “yes” if it is listed as a MLS listing with any real estate association that is a member of the Canadian Real Estate Association (CREA). This is really the minimum standard. The question you should be asking yourself is the minimum standard enough? So you’re on Facebook, is your REALTOR and your listing also on Facebook? So you found this blog talking about being online and you’re reading it online, is your REALTOR talking about your listing online? Perhaps you found this post via a link on Twitter, is your listing on Twitter?
There is being online and then there is being “ONLINE”. The typical MLS listing on the Central Alberta REALTORS Association only allows for nine photos. Nine photos is not bad but is it enough? In today’s online world the feedback is overwhelming that no 9 photos is simply not enough. Buyers today use the Internet as their screening device before they ever get in a car with a REALTOR and physically walk through the door. In essence your first showing is online. Wouldn’t benefit both buyers and sellers if real estate listings had more and were easier to find? What if your listing had a unique domain name such as www.1640BouteillerClose.com? What if that link were to take the prospective buyer to your listing showing them the information that they are looking for. Perhaps you’re like many other Internet users who type the destination of the website they want or subject into a search engine such as Google. Is your listing being found? If not why not? Could your listing show up with Google AdWords in the paid (sponsored links)?
While their are many ways to have an expanded web presence, and we (REALTORS) all believe we have the cats meow of web sites whether they are personal sites, office, or franchise brand sites. If you are selling today and subsequently buying think about how you use the Internet. I’m certain that the minimum exposure plan is not what you would choose if you had a choice. You have a choice.
For examples of refer to the following links:
- Basic Listing
- Full featured with address domain name www.6EllenwoodDrive.com
- Twitter or @pgalesloot
- Youtube
Your Friend In Real Estate,
Follow Patrick your source for Red Deer real estate information on Twitter: @pgalesloot
De and I listed 1640 Bouteiller Close for sale recently It’s a family home in Penhold close to the Penhold school and nestled in a quiet cul de sac. 
If you would like to see more of this home visit: www.1640BouteillerClose.com or call us for a viewing (403) 346-0021.
Penhold is a growing community just a short 10 minute drive from the south end of Red Deer. With a direct route on the upgraded highway 2A you are at some of the major shopping centers faster than if you lived in north Red Deer. With much of the development happening on the south end of Red Deer and gasoline alley you could enjoy all that those areas have to offer at a fraction of the ownership costs. Penhold has been building a multi-plex with arena, library and more with phase one scheduled to open in the first half of 2010.
Own a townhouse in Red Deer or a house in Penhold. Drive a little and you could save thousands compared to buying a similar home in Red Deer.
Your Friend in Real Estate,
Looking for real estate info via Twitter? www.twitter.com/pgalesloot
