A Gorgeous Fall Leads To An Expected Steady Market
With the leaves changing colour and falling we are welcoming the fall market. We have seen some amazing weather and with the return on snow on the mountain peaks fall has arrived and ski season will soon follow.
While the number of sales in July, August and September look very strong they also include 80 sales combined of preconstruction hotel condo units. If we remove those sales 2023 looks quite consistent with an average number of sales per month at 34 and a low in January of 22 and a high in July at 45.
You will hear us speaking of comparing our current market to pre-covid numbers and currently we are very close to 2018 numbers but about 20% lower than sales in 2019.
I feel a large part of this reduction is lack of choice for buyers. The total number of active listings on the market is dramatically less with a 54% less active listings on the market in 2023 compared to 2019. With less choice more buyers are being forced to be patient.
Looking at the Quarterly numbers we continue to see stability in the number of sales with prices increasing over the last few years with the pandemic and increased activity. As we expected last year, the market is starting to see some consistency again with the lack of inventory being the major factor in holding back the number of sales. We do expect that to continue this year while it would make sense to see a balancing of the active listings to move us closer to a balanced market (although we would have quite a way to go to get there)
We are still getting the question on interest rates and still feel that rising interest rates affect a smaller part of the Canmore market than elsewhere but higher interest rates will slow the 1st time buyer and move up local buyer market back down to the long term sales trend line.
Please read through the rest of our newsletter to get the added information on both the Underused Housing Tax Act along with the resent decision by the courts on the future of the Three Sisters Development.
Underused Housing Tax Filing - October 31st, 2023 filing deadline!
What is the tax for and who does it apply to?
The Underused Housing Tax is an annual federal 1% tax on the ownership of vacant or underused housing in Canada that took effect on January 1, 2022.
The tax generally applies to foreign national owners of housing in Canada. However, in some situations, this tax also applies to some Canadian owners (such as certain partners, trustees, and corporations).
Vacancy Tax and underused House tax- Does it apply to you?
You may have heard about a new vacancy tax in certain provinces and municipalities in Canada. These vacancy taxes have been implemented by provincial and municipal governments and are different than the federal Underused Housing Tax.
You must determine if you are affected by each of these taxes separately. If you are exempt from one tax, you may still be required to file a return and pay the other tax
Alberta Court of Appeal Rules in Favour of Three Sisters Mountain Village Properties!
Today, the Alberta Court of Appeal announced its decision on Canmore (Town of) Three Sisters Mountain Village Properties Ltd., in which the Court upheld the May 2022 decisions of the Land and Property Rights Tribunal (LPRT) and dismissed the Town of Canmore’s appeal. In May 2022, the LPRT issued decisions that the Area Structure Plans submitted by Three Sisters Mountain Village to the Town for approval are consistent with the terms of its provincial approval by the Natural Resources Conservation Board. The LPRT overruled both of the Town of Canmore Council’s spring 2021 decisions and ordered the Town of Canmore to adopt two Area Structure Plans that provide for development in Three Sisters to proceed.
Three Sisters Mountain Village (TSMV) has been working diligently for many years on the long-planned vision for the Three Sisters Mountain Village community to be realized, and this decision brings clarity and certainty to the future development of Three Sisters.
“We are pleased to see this decision from the Alberta Court of Appeal. In the coming days, we will be reviewing the decision in its entirety and immediately undertaking the next steps in the process that lead to physical development on the property,” said Chris Ollenberger, Director, TSMV Strategy and Development. “We believe that the Court’s decision is not only good news for Three Sisters Mountain Village but for the entirety of Canmore and the Bow Valley. This decision is timely given the discussions on housing supply occurring in the community as Three Sisters is the main source of many types of housing in the valley.”
TSMV has been working in Alberta for the past 30 years, ensuring that their developments are not only environmentally sustainable but also built considering current and future residents and businesses. Since first breaking ground in Canmore, TSMV has worked diligently to find opportunities to protect the environment while maximizing opportunities for all Albertans to explore and enjoy the Bow Valley. In addition to adding to the sorely needed housing supply, Three Sisters continues the vision of Alberta to diversify its economy and provide the opportunity for new jobs and families to add to the fabric of the Bow Valley.
“This decision brings exciting news to Three Sisters Mountain Village and all those eager to see more opportunities to live, work, and play in the Bow Valley,” commented David Taylor, President of TSMV. “We appreciate the court's due diligence in making this decision and look forward to moving ahead in the coming weeks and months to help enhance the Canmore experience through Three Sisters Mountain Village. We’re excited to continue working to develop world-class, livable communities in the heart of Alberta’s Rocky Mountains.”