The sales of home property has slowed down by 35% in Calgary when compared to last year’s performance. The CREB report says that it is better than their original expectations. The June figures were much stronger than what was initially estimated. The new MLS Listings Calgary pulled back in the second quarter which caused inventories to trend down. This prevented a significant decline in the pricing.
When compared to the first quarter, the second quarter benchmark’s price came easing down by 2.3%. It was a little above the initial forecasted levels. The impact is not as severe as it was estimated 3 months ago.
Now with the new figures, they have revised the unemployment and job losses estimates too. It is being reported that though the rates of job losses and unemployment are still expected to be high yet it can be confirmed that the decline has eased.
Since the month of May, the oil prices have also improved thus one can say there has been a significant impact even though the West Texas Intermediate prices are back in the $40 range. It is important to note that the challenges haven’t passed away.
The local economy is and will face record high unemployment rates in the coming time. Shutdown can be expected in all the professional, scientific and technical services sector. Some job losses that have happened due to closure of sectors will return once the economy reopens full fledged.
The energy sector will have to face tough challenges and the effect of employment will linger. All these uncertainties in various sectors will definitely impact the house demand especially when it comes to the upper end of the market.
