Calgary Real Estate Forecast 2018

Welcome to Renzo Real Estate's quick recap of The Calgary Real Estate Board's (CREB) Forecast for 2018. This year is expected to be very similar to 2017 with modest growth. 

Throughout the forecast, CREB's highly regarded, chief economist, Ann-Marie Lurie, highlighted that we are on a "bumpy" recovery. The ups and downs of the real estate market are no stranger to Calgarians, however, this recovery is expected to be much more gradual than in previous years. 

This is perfectly displayed in net migration patterns. Net migration is one of the strongest indicators of price growth in real estate markets. Have a look at Calgary's expected net migration. 

Calgary Net Migration

In 2010, there was a sharp decrease in net migration and sales eased dramatically, but look at the instant rebound in 2011. 

In 2016, there was another year of negative net migration, but the growth is telling a different story than in previous cycles. This points to the bumpy recovery path. 

CREB also drew attention to the changing mortgage rules and rising interest rates. Ann-Marie Lurie indicated that this could cause an increase in sales for the entry-level homes and attached sector. That said, the apartment sector is expected to continue to ease as the inventory levels are very high and more product is expected to come on the market in 2018. 

Have a quick look at the Calgary Real Estate Forecasts Recap for 2018

Download the full report

Watch the quick recap below. 

Stress Test - New Mortgage Rules

Broker and Co-Founder, Michael Montgomery had the opportunity to discuss the new mortgage rules implemented across Canada with Global National's Reid Fiest. 

As of January 1, 2018, buyers with uninsured (>20% down), as well as insured (<20% down) mortgages, are required to qualify at a higher rate. Buyers have to qualify at The Bank of Canada's Benchmark Rate (currently 4.89%) or 2% higher than their interest rate. This is The Bank of Canada's strategy to avoid buyers being in challenging positions if interest rates were to climb. Furthermore, it targets overheated markets such as Toronto and Vancouver. 

Here is a link to the further explanation of the rules. 

Real Estate Trends - Tech 2018

Real estate technology

There is a lot in store for real estate tech in 2018. The real estate technology is rapidly changing the industry, and with new tools coming out every day, 2018 is poised to be an exciting year for real estate tech. 

The rise of the technology startup appears to be accelerating with no sign of slowing down. These startups can provide incredible tools for the real estate industry, but some may also threaten the role of the real estate agent. 

Let's take a look at some of the technology driving forces in real estate for 2018. 

AI (Artificial intelligence) and Machine Learning
Artificial intelligence and machine learning have proven themselves as real forces in the technology scene. As it continues to expand, this technology is making its way into the real estate industry in a few ways. Artificial intelligence has that the "cool" factor and this likely will not change in 2018, but how AI will be used may vary. Up to now, the primary use of AI in real estate has been in the use of Chatbots. Chatbots are predictive/intelligent tools that interact with a customer. It is expected to see the use of Chatbots to increase with big teams and those that rely heavily on online leads. Chatbots provide an instant response to in our "On Demand" culture. 

We predict to see AI expanding on the pricing side of homes as data becomes more readily available. With the recent release of sold data in Toronto, Canada, it's likely we will see companies leveraging the sold data to provide enhanced CMAs. This can be for agents or direct to consumer. 

Finally, we expect to see agents interacting with AI systems to help them run their day to day business in 2018 and to help with targeted marketing campaigns. 

Virtual Reality (VR)/Augmented Reality (AR)
Of course, we are huge believers in this technology at Renzo Real Estate. However, we will keep this as unbiased as we can. 

Real estate tech

Although we have seen agents adopt VR, the news has been around large brokerages such as Engles and Volkers offering VR rooms to clients. Most agents and brokerages can see the value in having buyers experience the property before actually touring the home. It is also a huge benefit to those looking at properties in a different town/country. 

With cost-effective services such as Matterport, VR enhances an agent's marketing campaign for a property. With high-performance headsets, the rise of VR games, and lower cost headset options, we predict to see continued growth in VR. 

In 2018, we predict further exploration of Augmented Reality (AR) in listing as well. Every buyer's agent has heard, "I wonder how my table will look here." This is a question that could be answered with AR. Although the explosion of AR in real estate is likely beyond 2018, it is still a technology to watch closely. 

Cryptocurrency and Blockchain
You can barely turn a corner without reading some article about Bitcoin and Cryptocurrency. Some early adopters have made a lot of money with cryptocurrency, and new adopters remain hopeful. Bitcoin has been the main topic of conversation in 2017, but, as speculators jump to other forms of this currency, we predict other forms of cryptocurrency will begin taking off in 2018. 

The big question is will people be buying homes with cryptocurrency in the future? There is no doubt in our minds. Will this be widespread in 2018? Unlikely. There was a sale in Texas in 2017, so we will likely see more in 2018, but we don't anticipate this will be a game-changer this year. 

Smart Homes
Smart devices in one's home is not a new concept. The Nest Thermostat has been around for years and remember the lights you turn on when you clap? We anticipate that this technology will continue to grow in 2018 and more homes will become automated. 

Giant companies like Google and Amazon have developed devices to simplify your life at home, and we think others will follow suit. In 2018, we will see more homes that are automated and have advanced technology built right into the house. 

We also believe smart features to homes could provide a great ROI for sellers as more buyers are looking for these features in a property. 

Automated Real Estate
In today's society, everyone needs everything now. As time marches on, the gap between when a lead comes in and when an agent needs to respond is closing rapidly. Some ISAs are expected to reach out to the lead in less than 1 minute. 

Given the pace that is required, automation in your real estate practice will become increasingly important. Startups leveraging automation in real estate are starting to take off as we see agents demanding more complex/automated CRM services. Furthermore, with all the social media channels that an agent is expected to maintain, a lead can come in from anywhere. Automation helps avoid any leads sneaking through the cracks. 

This could also lead to a further rise in on-demand real estate agents and brokerages. 

Video
It sounds like a broken record when trainers are pushing the importance of video in 2018, but the numbers don't lie. YouTube is the second largest search site, and Facebook has hinted that most of their content could be on video in the next few years. So, if you aren't using video, get on it ASAP. 

Calgary Real Estate Market Update [December 2017]

As we close off 2017, the Calgary real estate market saw an uptick in sales. This is great news as it is showing there is consumer confidence in the Calgary market. On the other side of the coin, inventory increased causing downward pressure on prices. 

From The Calgary Real Estate Board:

"Sales activity for all product types improved in December and pushed monthly sales to long-term averages for the second month in a row. However, new listings also rose, keeping inventory elevated compared to typical levels for December. With more supply remaining compared to sales, benchmark prices edged down for the fifth consecutive month. “Many of the economic indicators continue to post modest improvements, including improving sales. However, demand gains have not outpaced the additional supply coming into the housing market. This is creating some of the bumpiness in terms of price recovery,” said CREB® chief economist Ann-Marie Lurie, who added that prices have stayed comparable to last year. The gap between detached supply to demand closed in the first half"

Awesome Administrative Assistant Needed

We are a fast-growing real estate company seeking an experienced Administrative Assistant who is organized, methodical, and passionate about eliminating inefficiencies in the workplace.

Renzo Real Estate Careers

The ideal candidate will have experience in administration in a real estate office or related environment. You’ll play a vitally important support role to our sales team. You are a “doer” and when needing to get a lot of things done, they get done! You are organized with details along with an ability to look at the big picture. You keep everyone up to speed with all the details, come up with ideas that are researched in advance and follow through is your middle name. You earn respect and show respect, have a high capacity to manage multiple projects with a “bring it on” attitude, are self-motivated and find time to learn in spite of your busy schedule.

In supporting our agency, you’ll be in charge of operations and procedures including general admin work, reviewing contracts, managing deadlines, scheduling appointments, keeping in touch with clients and answering questions, researching, assisting with marketing tasks, update client databases, and drive to properties to name just a few responsibilities.

You like to document and follow through and love systems that keep everyone on track. You enjoy brief customer contact and solving problems, with a desire to be excellent in all you do. To be considered for this job, you must text Michael at 587-227-6204 and introduce yourself. No applications without this initial text will be considered - Why? Because you need to have read this far and have the attention to detail.

Responsibilities and Duties

  • Build, implement and manage all systems for clients, lead generation, database management and back office support
  • Coordinate marketing events and client activities
  • Oversee all listing files and listing marketing (brochures, flyers, online marketing, etc.)
  • Manage website, blog sites and social media
  • Act as a liaison between clients and agents
  • Compile and distribute weekly/monthly reports to clients (buyers and sellers)
  • Manage contract to close process
  • Be the first point of contact in handling customer inquiries
  • Create, maintain and utilize a complete lead follow-up system
  • Provide concierge level customer service to clients and customers
  • Work with preferred vendors including professional photographers, lawyers, stagers, home inspectors, contractors, etc.
  • Continue to take day to day office tasks away from agent, organizing workflow and reducing inefficiencies.

Qualifications and Skills

  • Technologically savvy, able to learn new programs quickly, and able to troubleshoot common issues
  • Proficiency in Google G Suite (Gmail, Calendar, Drive, Docs, Sheets, etc.)
  • Have excellent attention to detail and high-level accuracy
  • Be able to work independently and take an active learning role
  • Flexible in daily routine; ability to prioritize and manage shifting responsibilities
  • Deadline driven and extremely organized
  • Open to new ideas and systems
  • Able to make quick and effective decisions, solve problems, as well as maintain confidentiality
  • Excellent verbal and written communication skills
  • Experience with real estate specific software and a general understanding of the home buying and selling process considered an asset
  • Valid Driver’s Licence
  • Extreme attention to detail
  • Highly proficient with technology
  • Quick learner
  • Self starter

Benefits

  • Bonuses on every home the team sells
  • Competitive Salary 

Job Type: Full-time

Apply:

Email Resume to hello@renzorealestate.com