November 6, 2011. 8:33 pm
Pay attention. Something’s happening here,” says Don
Campbell, president of the Real Estate Investment Network in Canada.
Campbell is paying attention to the all the reports
coming out these days showing some positive economic news for Alberta and
Calgary. Good economic growth. In-migration levels rising. And employment
growth leading the way in Canada.
The real estate market lags the economy by about 18
months, he says.And the economy is in recovery. We’ve now seen the
job growth and the population growth starting to affect the rental vacancy
rates which have gone down, resulting in rents rising.
Campbell says that by the spring of 2013, and perhaps
by the fall of 2012, there will be a real strong upward pressure on demand for
resale homes in Calgary and surrounding areas.
He predicts there will also be a jump in listings at
that time which will keep a little bit of a cap on the price increases. So will
continued world economic turmoil.
But even with that Calgary should expect strong price
growth in the value of resale properties.
“I think you’re going to see a nice steady eight to 10
per cent increase in 2013 in average sale price for Calgary (year-over-year),”
says Campbell, one of the authors of the book Secrets of the Canadian Real
Estate Cycle.