Real Estate Market Update – Foothills & Rockyview – Aug, 2017
By Wayne Chaulk
I thought for this article I would do a review of the activity throughout the MD Foothills and Rockyview relative to sales in several price ranges that I’ve chosen as well as look at current inventory levels in those price ranges. I wanted to get a sense of the volume of sales below and above $1M and $2M as well as current inventory in these groupings.
My experience and observation is that the expensive acreage market has been struggling in some price sectors due to a likely decreased buyer pool coupled with ample inventories and thus important that sellers realize this and approach the market accordingly trying to be more realistic in pricing and expectations of selling time frames. If expectations are not more realistic there will be increased frustration among clients and agents alike, adding additional stress to an already stressful process. Better to be competitive in pricing and move product rather than chase the market down and take 2 to 3 years to sell.
It is always interesting for the Foothillls sector to see if there is significant difference in the volume of sales in the W4 sector versus the W5 sector. There was approx. a 25% greater volume of sales in the W5 sector for acreages and about 20% more listings. So seemingly more activity throughout the year on the west side on centre meridian. Currently there are 30 properties over the $2M mark with only 3 sales over $2M for the year in the Foothills region. So allot of inventory to absorb.
MD Rockview had 11 sales over $2M and has a whooping 88 listings over $2M. really no surprise as there are many more luxury acreages in that area and also of note is that many of the listings over $2M (several well over $8M and up) are very large land holdings being presented as investment holdings for possible future annexations or development. Certainly a very healthy level of sales in the $1M to $2M range in Rockyview with 96 sales. Just 29 in the Foothills in this price range so with 86 listings remaining between $1M and $2M on the market it could be challenging for many of these properties to sell out during the remaining of the year with that level of choice.
The good news in all of this is that there has been a pretty good level of sales on the higher end product which is reflective of a somewhat improved market over the last couple years despite a still somewhat slower economy and real estate market in Alberta.
MD Foothills - Sales Activity since Jan 2017
W5 W4 W5 W4
$500K - $799K 14 15 $200K-350K 8 5
$800K - $1M 24 15 $350K-$500K 5 2
$1M - $2M 13 11 $500K-$1M 3 0
$2M + 3 0 $1M-$2M 3 2
$2M+ 0 0
MD Foothills - Current Listings
W5 W4 W5 W4
$500K - $750K 5 13 $200K-350K 9 21
$750K - $999K 27 30 $350K-$500K 20 3
$1M - $1.5M 31 20 $500K-$1M 6 5
$1.5M-$2M 14 7 $1M-$2M 9 5
$2M+ 18 8 $2M+ 4 0
MD Rockyview - Sales Activity since Jan 2017
$500K - $799K 33 $200K-350K 12
$800K - $1M 50 $350K-$500K 22
$1M - $2M 93 $500K-$1M 12
$2M + 11 $1M-$2M 3
MD Rockyview - Current Listings
$500K - $799K 42 $200K-350K 26
$800K - $999K 59 $350K-$500K 37
$1M - $2M 143 $500K-$1M 19
$2M+ 67 $1M-$2M 23