Transitioning into a balanced market, some of the heat of the past 18 months in the Canmore real estate market is starting to cool slightly. While certain segments of the market remain very competitive, the sustained increases in values are starting to plateau. The Olympics, pipelines, and provincial and federal elections will all have an impact on the market here in the Bow Valley. While our primary economy is tourism, the greater regional economies have a significant impact on our communities.
If a solution is found to export more Alberta oil and the differential between Alberta crude and other North American markets declines, we will eventually see a return of the luxury market. The Olympics are a big discussion here in the Valley at the moment with both proponents and opponents having strong views. We don’t foresee the residential market having any short-term bump with the Olympics – the commercial and hotel condo market will certainly see a bump leading up to the games. The follow-on in 2027 and beyond as our Valley becomes even more recognized will see an eventual increase in demand.
Townhouse properties this month moved into buyer’s market territory for the first time since the fall of 2015. The three-month average price of townhomes was up $42,000 year over year to $704,000. Part of the lack of sales contributing to the buyer’s market is the lack of entry-level townhomes and a good supply of larger luxury townhomes. Apartment condos remain in seller’s market territory with the three-month average increasing to $528,000 from $484,000 during the same period last year. Detached and semi-detached home pricing is starting to plateau with the three-month median sale price increasing to $887,000 from $871,000 year over year. Detached and semi-detached homes are solidly in a seller’s market in the entry-level to mid-range and a buyer’s market in the top range.
Month over month, inventory remains unchanged with 205 active listings; year over year, listings are up 4.5%. Year to date, sales are down 6% with 461 sales down from 2017’s 493. This shifting of the market is moving us into a more balanced market and prices should begin to stabilize. As we move into the winter market, we expect inventory to drop below 200 active lists as properties on the market either come off seasonally or are sold.
