MARKET UPDATE – December 1, 2018
Central Alberta sales have been slipping compared to last year since the end of August when the announcement came from the Federal Court that the Trans Mountain Pipeline was stalled due to inadequate consultation by the Federal Government. Since then Alberta consumers have experienced growing concern over the price discount Alberta is receiving for our oil and the potential long term impact on our economy.
It would seem unlikely that we could take anything positive from the current situation, but we sense that Albertans, and many other Canadians, have finally had enough and are starting to loudly protest the Federal Government’s lack of urgency in dealing with our problems. When average citizens speak loudly, governments are well advised to listen, especially with an election less than a year away. There is hope for change, but we all must get even louder.
While we are optimistic for the long term future, a recovery in house prices will not happen until the sales to listing ratio rises above 20%. The problem is, it’s gone the wrong direction in the last few months. Until that changes, only those sellers able and willing to recognize the current price reality will be successful. In the meantime, there is no question that willing and able buyers will benefit.
