Wishing you joy and happiness for the holiday season. Do you have time off or making plans to travel? I managed a quick trip to Asia but more on that later.
Hard to believe it is already more than half way through December. A lot has certainly happened in 2024 as it turned out to be a very good and very busy year.
We hope you also had a good year and with Canada Post needing to clear their back log we won’t be doing our usual December mail out but instead we will simply wish you Happy Holidays to you and your family for this holiday season. And here is to a prosperous 2025. Enjoy.
As we are wrapping up 2024, It has been a positive year for Real Estate here in Edmonton. Using the latest November sales figures the market is up 12.5% year over year.
Even with a generous increase like that, housing prices are still extremely affordable so it does look promising for 2025 since many of the determining factors are still in place. Lots of people are moving to Edmonton for jobs especially because house prices are still low compared to other parts of the country. The Bank of Canada has lowered the interest rate by another half point so variable lending rates have come down and the amount you qualify for has therefore increased. Fixed rates are tied to bond market so these move differently but it is expected there will be further reductions in the coming year. One big indicator 2025 will start strong is the number of unsold homes at the end of November is already less than the average number of unsold homes for December. With less inventory on the market there is a tendency for multiple offers and bidding wars pushing prices up.
If you are planning to buy then our advice is start now while there is less competition and prices are negotiable since both buyers and seller don’t like the winter market. If you are looking to sell, then we say get on to it quick so you are fully prepared since we feel spring market will be coming early in 2025 (February-ish).
Below is a selection of headlines I have read recently that I found interesting and relating to the market here in Edmonton. If you would like us to explore any of these topics in more detail, let us know and we can include it in our next newsletter.
- Edmonton house prices expected to rise aggressively in 2025
So many articles (this newsletter included) are pointing to the same conclusion.
- Economic Freedom. Alberta ranked 1st in Canada and 12th in North America.
Based on factors like government spending, taxation, regulations and labour restrictions, Alberta tops the list of places in Canada.
- Net Worth. Ultra high, high or merely affluent.
Net worth is not the same as income. The majority of people don’t even fit into these 3 categories but this accounts for 95% of all wealth. We like to increase our net worth by buying investment property so that way it works so you don’t have to.
- Can a renter generate the same wealth as a homeowner via investing.
We know this is possible but the reality is it is highly unlikely. We even have a useful comparison tool on our website.
- CRA to use income verification tool to combat mortgage fraud.
With interest rates lowering there is less reported mortgage fraud in most provinces but CRA is still out to find these people who are using falsified income and employment details.
Thinking the market would slow down towards the end of the year like it normally does I made travel plans to visit Asia in November. There were several things I wanted to accomplish on this trip as it has been years since I was last there including the formal side of tidying up business relating to my father. But since I’m there, it was also a fantastic time to catch up with old friends and tick off some of the items on my bucket list. Some very special seafood restaurants immediately spring to mind. Yum. I visit Hong Kong, China and Taiwan on this trip. The introductory photo was from a tea house in Taiwan. As you can see the weather was a marvellous 20C above (much nicer than the -20C below back home) and this photo below is also Taiwan featuring a tree that is 2600 years old. The tree is massive and I am tiny in comparison. Can you see me?
I’m glad she still remember me. Her comment, I grew up! I think many of her memories stay at when I was 12 years old.
And something that has been on my bucket list since I first heard of it, the Hong Kong Jewellery Show. Possibly the largest in the world. It is amazing to see so many diamonds, just trays and trays of them and some are huge and worth a fortune even in this state but once they are made into jewellery it is even more amazing. And not just diamonds but all kinds of precious gems and metals. Such a big venue, the floor area is huge and its on many levels. No wonder it is considered the biggest jewellery show in the world. Ahhh, can tick that one off the list but now what shall I do in 2025?
This article contains the opinions of Andrew Barrett and Selena Cheung. Licensed Realtors® with COLDWELL BANKER Mountain Central.
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