Real estate adapts to economy
Like many sectors in Al berta, the downturn has take its toll on real estate, however, there may be some position Live signs in Drumheller. Realtor at Century 21Power Realty, Stacey Gallaghe reports there were 97 activity listings in January, the lower in 12 months, and the pace of sales appear to be on par wi previous years, with 8 sold. "We had an upswing in 2006-2007 just like the rest of Alberta and the numbe from 2016 are showing downswing in prices. I thi this is just a reflection of what is happening in Albert as a whole, She said. "We feel the ripples for sure, bu they are not as large or at quick to come to Drumhell er like in the larger centre' such as Calgary, Edmonton or Fort McMurray." She ex plains lower inventory level can be expected this time o year. "Low inventory in Decem ber, January and February in quite typical. There are usually fewer buyers, but also less sellers want to move the time of year, so they will re move their homes from the market causing a bit of a shortage," she said. There are a number of fac-tors that can make the market sluggish, including unrealis-tic expectations by sellers. "If sellers are unrealistic about what's going on and unwilling to make the price correction ahead of a down market, they will quickly gel left behind and in turn, we are left with inventory which is overpriced," she said. am seeing quite a bit of that right now which is causing the on market to go up, and it appears to the public as though there are lots sitting on the market and that things are not selling. That's no necessarily the case." Recent changes to financ-ing regulations have also appeared to have affected the market. "I am finding there are les sales above the $250,000 $300,000 marks and mon options below $100,000 that there has been in a while The price range people an able to afford and or want t Ibe in has taken a hit since the government made change to financing rules in Octo ber. I think that has a lot to o with the falling prices,' she said. "Financing, in general, is continually getting harder and harder to corny. CMHC fees are on these, down payment require ments are getting higher an a credited and employment requirements are getting tight if you are looking to get mortgage." While it is impossible to redirect the market, she in icates that Drumheller ap ears to be stable. "Small towns with three o fewer main economic drive such as Hanna, or Carbon a taking a major hit right now Drumheller has about five so we are okay. I think the s still that bit of uncertain with the future, and with th uncut government causin some hesitation," she said. Aften get asked if I buy thi louse what will it be won 5 years? I can't predic the future, so I have no idea in Drumheller, if I had t make my best guess probably the same as what you aid for it... and if that's th ase it's not the worst investment you could make."