There’s an interesting thing happening with the real estate market in Red Deer. Sales have been up substantially over the last two months and that hasn’t happened for awhile. December 2017 had sales up 30% over the same month a year earlier and January 2018 saw sales 40% higher.
Sales were up during 2 months in 2017 but they appeared to be for no apparent reason. However, over the last two months we have witnessed substantial increase over the same months 12 month earlier.
Could this be a turning point since the market slowed mid 2014? It could be for a few reasons.
- There are more companies hiring and more people working.
- Oil prices have gradually increased (see chart to the right)
- Consumer confidence has improved.
- People negatively impacted by the economic slow down have had time to improve their financial position.
Its hard to say what will happen but I predict we see higher sales numbers almost every month in 2018. The local real estate market here’s seen gradual improvement over the last decade (see chart to the left) but as a whole things have been fairly flat.
With the information compiled so far 2018 is off to a good start. If inventory levels stay remain low we might witness some positive growth this year.