By Rebecca Wissink
The Calgary Herald reported recently what Realtors® specializing in luxury real estate already knew first-hand – the luxury market has exploded over the last year, particularly between the price points of 1 million - 1.4 million dollars. Luxury real estate expert Ross Pavl reports “the luxury market in Calgary is doing really well, and mindful buyers who are not forced to panic buy to avoid increasing interest rates are snapping up homes that tick the right boxes, like those with a good location, or that back onto a green space.”
There is no denying that Calgary’s market is hot and breaking records. The Calgary Real Estate Board (CREB) has reported an astonishing 222 percent growth in sales, year-over-year, for homes listed over 1 million dollars. That can be compared to a 94 percent increase in condo sales in 2021, while the total number of transactions for all home types increased 71 percent between 2020 and 2021. The president of Sotheby’s International Realty Canada, Don Kottick, says “the luxury market in the city has struggled for many years and was … the last price segment to recover,” but recover it has. All told, more than 1,100 sales transactions occurred last year for homes over the 1 million-dollar price point, which set a new record in Calgary.
This segment has started 2022 on solid footing given Calgary is still one of the most affordable luxury markets in Canada. 223 homes over 1 million dollars have sold during the first two months of the year, but February alone accounts for 143 transactions, suggesting the luxury segment is still launching. If these sales numbers hold throughout the year, Calgary will see another record breaking year for luxury home sales. And given that prices start at one million dollars, which is less than the median price of a single-family home in Vancouver or Toronto, this sector is drawing attention from both within and outside the city. As previously speculated here on RossPavl.com, investment money is likely flowing into Calgary. Kottick reports that “Calgary’s luxury market is drawing interest not only from Canadian buyers from other provinces, but buyers from the United States and China” as well. But there is also upside pressure from locals who are selling the long-owned family home and upgrading their abode, reports the chief economist for the CREB, Ann-Marie Lurie.
Our homes are the largest asset we will ever own, and the place where we spend most of our time outside of work. Therefore, our homes reflect not only our style but our sense of luxury, which is as unique as the individual house hunter. Think about your sense of luxury, and then speak to an experienced Ross PAVL ELITE Real Estate Group Realtor® today, to find your ideal luxury property.
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