The condominium market here in Calgary is red hot right now due to the limited number of new and resale homes that are on the market and due to price increases. The market is tight for single-family homes across the city and the benchmark price for single-family homes was up 10.6% on a year-over-year basis in May.
Condos have become a viable option for a lot of potential first-time home owners in Calgary. Last month, the average price for a single-family dwelling in the city was $554,652 while you'd only have to pay an average of $315,953 for a condo. As well, you'll have a much better choice if you're in the market for a new condominium apartment.
Last month, the existing listings for condos went up to 1,051, which was a rise of 13.1% when compared to the numbers in May 2013. Almost 25% of the home listings in Calgary are for condos. At the same time, as the supply continues to go up, the demand for condos remains strong.
Although the market remains on the side of the seller right now in the single-family home sector, there is some relief in sight. In May, there was a year over year rise of 16.5% for new listings.
With 100,000 Canadians moving from their home province to Alberta last year along with migrants from other countries, it's a sure bet that a lot of these people decided to call Calgary their home. With a 5% unemployment rate and 4% job growth annually, Calgary becomes a natural attraction for a variety of people.
The rental market in the city also remains tight with close to a 1% vacancy rate for condo rentals. This is also driving up the price for renting an apartment, which makes condo ownership all the more attractive.