Buyers Have More Power in the Luxury Home Market

Have you ever thought you’d look really good in a million-dollar condo looking out over the river and downtown Calgary? Perhaps with a friendly concierge at the front door, an Olympic-sized swimming pool complete with a hot tub? What about a 5000 square foot home on the west side of the city with a mountain view and few direct neighbours? Well, now might be your chance to take the plunge and find yourself living in your very own dream home.

Currently, Calgary is in a buyer’s market, particularly when it comes to luxury homes and condos; prices are lower now than they were a decade ago with more homes on the market than people looking to buy. A condo that was purchased for $1.3 million in 2009is now being listed for much less today. When you consider inflation and the ever-rising price of…well, everything, this offer may not come around again. Estimates say that to build the exact same unit would cost roughly $1.8 million today. The realtor selling this specific condo believes that the money is still here; people are willing to pay for luxury, unfortunately, it’s just not a good time to sell, whether it’s a million-dollar home or a small condo.

Deciding when to buy and sell a home is always difficult. You want to sell during a seller’s market to make more money, but if you also need to buy a place to live, that means you’re buying in a seller’s market as well. You never want to lose money on a home, but that is often easier said than done. The current market is perfect for those looking to invest in a first-time home or, in the case of luxury condos, international buyers looking for property in and around Calgary.

Most of the properties listed at over a million dollars are situated in downtown and the west end of the city. We are also seeing a rise in homes for sale in and around Canmore where the international firm Engel & Volkers have recently opened a new office. It may have been a rough start for luxury homes in Calgary this 2019, with a drop of 10 per cent last year and a slow February this year, however, March has seen a major upswing in activity, giving hope to sellers and realtors eyeing Calgary’s housing market.

There are many high-end homes waiting to be bought and sold in Calgary, it just comes down to finding the right buyer at the right time. As the spring weather continues and our economy starts to pick up steam, you might see a shift from a buyer’s market to a seller’s market in the near future. If you’re on the hunt for something that will give you the luxurious life you deserve, start looking now. It’s a big investment, but with these homes selling at 30-40 per cent less than replacement value, the time might never be better to jump in and get started.

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