Edmonton Market Update
The Mortgage Group | 780.721.4879
As the best mortgage broker Edmonton, we are always informed on the residential market changes. With the Canadian market continuously booming, The Mortgage Group can confidently advise you on the best rates and services that fit your needs.
According to the Edmonton Real Estate Board, sales have gone up 14% over the past year. Single detached home sales have increased almost 13%, duplexes or row sales have increased over 22%, and condominium sales are up 14.4%.
Comparing month to month, single detached homes prices have risen to $428,750, which is just shy of a 3% increase from December 2017. Duplexes price is now $348,613, which is up 3.4%. However, condominium sale prices have dropped almost 4% to $227,707. This drop in condominium price could be due to the higher popularity of single detached homes and duplexes.
Overall, the total unit price for all single, duplex and condominium homes was $359,134. This is approximately at 0.6% increase from December 2017, and a 0.64% increase from January 2017. So why the inconsistency?
The new Canadian mortgage rules could be playing a huge part in the market influx right now. The new rules state that there will be rising interest rates and that all borrowers will need to partake in a stress test. The stress test is a loan qualification test to see if borrowers can afford their current rate plus an additional 2%, or if they can afford the average bank 5 year posted rate of 4.89%. These changes have directly affected a lot of Canadians affordability. The housing market is still increasing although the government is hoping these new housing rules help ‘cool’ the market. If you are looking for an Edmonton mortgage, it is important to understand the new market trends and know your affordability.
Contact your local Edmonton mortgage broker today at 780.721.4879, to get started.