You’d be right to think that the current state of oil pricing is going to effect the housing market, especially in Edmonton. Edmonton home sales are expected to level out in 2015, but realtors and financial analysts are fairly certain it won’t be a prolonged issue.
Edmonton has enjoyed a healthy real estate market for the better part of 6 years now, and it had to come to an end sometime – or at least it had to slow down. Since the price of oil is effecting job availability in the energy sector, with many facing layoffs, the frequency of buying is expected to taper off in 2015. At the same time, the reduction in employee demand means fewer people migrating to Alberta from Eastern Canada, which means a decrease in the housing demand. Luckily, Edmonton home sales and the price of these homes shouldn’t suffer too much.
Edmonton is a highly desirable place to live, with many other job prospects outside of the energy sector. All that remains is to see how accurate financial analysts’ forecasts are. Edmonton home sales have been red hot for some time. Homes have been selling quickly for handsome prices for a while, and of course the slowdown will be an adjustment, but we’re used to everything being above average here: job quality, wages, housing… It’s difficult but maybe we need a dose of average, for a change. With any luck, average won’t be a permanent state.
Until then, 2015 may not be the best time for Edmonton home sales, but it could be a good time to be a buyer. Although we aren’t looking at any depression-like housing price drops, the slower year will mean steadier pricing, which will definitely benefit newcomers and first time buyers alike.