The Gist:

  • Real estate in 2021 is going to be a bit turbulent.

    • Different parts of the market are not going to be moving in sync. The homes around the average price will likely do well, but the lower and the higher prices are going to have a rough time moving.

  • In 2020, many families had a change of income and spent a lot more time at home due to working and learning from home, and with no real chance to leave home for vacations.

  • We predict that work from home is here to stay, which is going to massively change our market. With no need to commute every day, the locations we want to live near are going to change.

    • In place of location, we think characteristics are going to be the most important aspect of homes going forward. without needing to live in a prime location in a smaller home, it may be that you will instead need a larger home in a more remote area. Imagine if you could turn a theatre room into a soundproof office?

  • Condo owners are going to have a rough go in selling, but this isn’t new. Since 2015 it has been difficult to sell an apartment-style condo.

    • Condo owners are the least established in many cases, and usually the most likely to have interruptions to income and without the savings to withstand it.

    • Investors in these properties had a rough year too, with many tenants unable to pay the full amount of monthly rent, and the investors unable to access the property at all due to COVID-19 restrictions.

    • Both of these reasons lead us to believe that there will be a large inventory of condos in 2021 with very few buyers.

  • We have not yet seen the full effect of the financial crisis that will follow the health crisis, and we can expect to see more foreclosures than usual in the coming year.

  • For Sellers:

    • If you own a home around or slightly higher than the average price in the Greater Edmonton Area, especially in St. Albert or Sherwood Park, you’re probably going to be in a pretty good spot.

    • There has been and will likely continue to be gaps for entry-luxury homes such as homes just under a million dollars, revealing a continued sign of turbulence.

    • For the luxury homes, you’re going to need to be one of two things: The best of the best in terms of characteristics, or the best of the best in terms of value for price.

  • For Buyers:

    • If you’re looking to buy an apartment style condo, it should be pretty easy! There will be an abundance of options available, and with a great agent at your side helping you to find out the true value of these properties, you should be able to get a great deal!

    • If you’re looking to buy a single family home in a popular neighbourhood, you’re going to need to get ready and act fast because they will be selling quick!

    • If you’re looking to buy a luxury home and are not looking for the best of the best in terms of either price or characteristics, this may be a good year to sit out and wait for the numbers to shift in your favour.

 

🎧💸 Affordable Investment Mix

Apartment-Style Condos in the $200-$300k’s

 

♨️🏘 Hot Property Playlist

Single Family Homes in the $400k’s

 

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