Modest price increases are expected in 2019, as the RE/MAX 2019 Housing Market Outlook estimates the average sales price to increase by 1.7 per cent. Housing markets across the country have stabilized in 2018, after the unprecedented increases in average sales price that many markets experienced in 2017.
It is anticipated that the market will continue to stabilize, as Canadians will start to feel the pinch of higher interest rates as they move forward with their home-buying plans in 2019. A recent survey revealed almost one-third (31 per cent) of Canadians said higher interest rates have not affected their ability to get an affordable mortgage thus far. However, this is expected to change in 2019. A separate survey of RE/MAX brokers and agents found 83 per cent predict rising interest rates will make it more difficult for Canadians to purchase a home next year.
As presented in the image above, average residential sale price in Edmonton is expected to go down another 5% in 2019. Edmonton is still a Buyer's Market with the typical first-time buyer being Millenials in the $300K-$350K price range.
It's predicted that the qualification process for home ownership has become much more controlled, limiting the diversity of types of buyers in the market.