Edmonton House Prices Are Increasing

Maybe it's because Daniel Smith is fighting for us Albertan's or maybe its because the prices of real estate in other provinces are no longer affordable. Either way, people are relocating to Edmonton Alberta and it is increasing our home prices!

Edmonton's winters may be cold, but our summers are awesome with all of our river valleys and cultural festivals. The average house price for a single family detached homes is about $450,000. Single family houses have a vast price range from mature bungalows under $300,000 to multi-million dollar properties.

 Thinking of relocating to Edmonton Alberta, feel free to reach out anytime if you have questions.

Below are the current real estate market for Edmonton in the last quarter of 2022.

For recently sold Edmonton house prices - click here.

Kaskitayo - South Edmonton

The best part about living in Kaskitayo is the proximity to several ravine trails which connect to Riverbend and Terwillegar. It is a few minutes to South Edmonton Common and Big Bear Park. Kaskitayo homes are built from the mid-1960s to the mid-1990s with an average asking price for a house at $475,000. They are a mix of upper-scale bungalows/ bilevels and two-story houses.

Twin Brooks is the newest community in Kaskitayo. It is nestled away from the busy streets between two ravines. House prices in Twin Brooks are based largely on the proximity to the Whitemud and the Blackmud Creek ravines. There are a few duplexes and condominiums here and a great place to purchase kaskitayo homes for sale when begining your real estate journey.

Sweet Grass is located south of the Derrick Golf and Winter Club. It is named for Cree Chief Sweet Grass, "who was one of the early west's first conservationists and instrumental in the protection of the Plains Bison.

Steinhauer is near the Southgate LRT and shopping center. Like most nearby Kaskitayo neighborhoods, Steinhauer dwellings are constructed in the seventies and offer a mix of townhouses and stand-alone properties with almost a quarter of townhouses and row houses.

Skyrattler is near the Kaskitayo ravine bounded by 111 Street, 23 Avenue, and the prominent Blackmud Creek Ravine. One of the most popular condo styles is the coach home for main floor living with a private entrance. Townhouses and low-rise apartments make the majority of residential housing in this portion of southwest Edmonton.

Keheewin is sometimes called "Yellowbird" with the majority of houses built in the 1980s. Single-detached houses are the predominant type of dwelling.

Also referred to as Petrolia, Ermineskin properties feature good-sized bungalows and luxury houses situated on larger than average lots. It is named for Chief Ermineskin of Hobbema, some of the first residential houses in the area were built in the 1960s with more development to follow in 1970.

Blue Quill Estates is a luxury community surrounded by the Kaskitayo Ravine, nestled between Whitemud Creek Ravine South off of 119 Street and 23 Avenue, across from the luxury community of Magrath Heights. Blue Quill Estates properties were originally constructed for an elite buyer and still attract the same demographics today.

Bearspaw is a highly sought neighborhood with houses overlooking the Blackmud Creek ravine making this an ideal place to purchase a beautiful property. Bearspaw house prices are a bit higher price per square foot than the average Kaskitayo house due to the proximity of its amenities.

Benefits of New Home Buying

From lower upfront maintenance costs to design flexibility, new construction provide opportunities for home buyers. While some buyers are holding out for the right house to become available – one with historic charm, outdoor space, square footage, or whatever they’re seeking – others are skipping the search and going straight to new construction. Not only can buyers customize the home to meet most or all of their needs as well as their wants, negotiating the contract can be less complicated.

One of the biggest advantages of new construction is that homes are sold on a first-come, first-served basis. That means usually no bidding wars or competing against another buyer. Another advantage is in the province of Alberta, most home builders will supply the Alberta new home warrenty free of charge.

New construction homes are more energy-efficient and requre less maintenance. This is a bonus when it comes to paying the high costs of our heating bills. New construction can offer the advantage of new technology from electrical outlets in your garage to charge your vehicle to nest thermostats to control lights remotely. 

The biggest benefit of purchasing a new build is that you are the original owners and everything is sparkling new from your heating ducts and hotwater on demand units to your gleaming hardwood floors and granite counter tops. 

Downfalls of New Home Buying

There are usually quite a few item which arise during the inspection (builders usually have these issues completed prior to possession and allow you to do a walk-through prior to your lawyer forwarding the funds)

The completion date on your new home more often than not is delayed (sometimes by a few months). If you are anticipating a bak to back move - have a back-up plan just incase you are homeless for awhile.

Unless you have chosen a builder who is willing to work with you outside of the designated land plots, you will have to choose a builder who is already under an agreement with the land owner. Builders rarely allow buyers to bring in their own contractors during the construction process.

If you are buying new, expect to be waken by the noise of construction workers and their big trucks. Prepare for a few flat tires caused by dropped nails. And expect your neighborhood to be dusty until construction is complete.

Normally in Edmonton, builders will complete the rough and final grade landscaping for you. But it will be your responsibility and cost to complete the sodding, fences and sometimes the deck.

The largest downfall of buying new is cost - price per square foot - new homes are more expensive.

What is the Right Asking Price for your Home

Not sure what to ask for your Edmonton (or surrounding area) home? First, you should know the numbers on your remaining mortgage balance, payout penalties, closing costs and real estate commissions and what you will need in your pocket to be able to sell your property.

Pricing any real estate accurately is based upon a few factors. One of the main factors right now in Edmonton and the rest of Alberta is the economic and political factors. If there is no consumer confidence, a few thousand dollars can make a big difference in today real estate market when buyers are contemplating between your home and the comparable one down the street. It doesn't matter if you have just renovated your bathroom. Pricing is a key factor in a "downturn", "soft", or "buyers market".

When pricing your property - from the start - you need to take a step back and look at it through the eyes of a buyer and do some research. A few of the key components in choosing a realistic price when putting your home for sale include these tools which a real estate agent can provide you:

Your tax assessment is only a starting point:

Do not base pricing your home on this alone, Your tax assessment is a good starting point, but may have been over or under assessed depending on the real estate activity in your community over the last few years. Were there lots of homes foreclosed upon near you? Did you originally pay too much for your property when you purchased it? Were there several homes sales at the turn of the market? All of these factors are taken into consideration when the city does your property tax assessment.

Know your community absorption rate:

A real estate absorption rate is the number of months it would take to sell the current inventory in your community assuming no other homes are added to the market. An absorption rate is a great tool used by Edmonton Realtors to predict the rise and fall of real estate prices. Knowing the absorption rate of a community can give home sellers an advantage to pricing a property, knowing how many days they should expect their home to be on the market.

Is your home worth the asking price:

Does your home offer value: Foreseen residual or potential income can increase the value of your home. If you have a garden suite or a basement suite, ensure that you have the permit documentation. Value can be in other forms as well, such as living in a community that is undergoing a transformation. Items such as an oversized back yard or outdoor swimming pool do not necessarily add any value.

Is your property a money pit: Some homeowners think changing the flooring and adding a fresh coat of paint will increase the value of a property? This is only a quick fix and should be done will help and if there are any concerns during a property inspection, the buyer will no go forward without compensation or not at all. If you have an older home, there are several items that should be repaired, replaced or upgraded including the shingles, windows, exterior grading, furnace, electrical and plumbing. If you have not been diligent with home maintenance, price your home accordingly.

Location! Location! Location!

If you are situated along or near a busy road, train track, or a factory, your house price will be worth a bit less - no matter how pretty your home is and vice versa, if you are situated along a ravine, park or green space, in a community which is undergoing revitalization or has a positive economic factor, or feature a great view, your home will be worth more money.

Comparative Market Analysis

A CMA or Comparative Market Analysis should not be confused with an appraisal. An appraisal is a price, usually completed by a financial institution and is based more upon what it cost to rebuild the current condition of the property. A Comparative market analysis is usually performed by an experienced Real Estate Professional, to determine a range of value for a Real Estate Subject Property.

It is the current value or price range of residential property in a community that has been compared to properties that would be your competition if you were selling in today's real estate market, properties nearby which have recently sold, and properties that were listed, but did not sell. Adjustments are made to these comparable properties to reflect the tangible and non-tangible differences in value between the comparable homes and the sellers' property.

The Real Cost of Selling a House in Edmonton

Although the Edmonton real estate market is still soft with dormant house prices, buyers are starting to come out of hiding to look in anticipation of our economic optimism and 2023 looks to be a better year to sell your Edmonton house.

If your planning on selling your Edmonton home this year, do your homework and estimate your closing costs to ensure you have enough money to make your move. There is nothing worse than sitting with your lawyer and not having enough funds to close your sale.

When a home is sold, the seller incurs various closing costs in addition to paying out the remaining balance on their mortgage and payout penalties. Typical closing costs for a seller may include any property taxes which are in arrears, encumbrances, the cost of a real property report with compliance and/or title insurance, any permits which were not obtained earlier, real estate commissions, any provincial, GST revenue, agricultural or business taxes, liens and legal fees. If the property is a condominium, the seller may also have costs of condominium documents, unpaid condo fees, levies and the estoppel certificate. When selling a house in Edmonton, the seller's costs vary from a few hundred to several thousand.

Since our Edmonton economy is not in the best shape and buyers have become nervous about making large purchases, there are several ways to maximize the value in your home without major renovations including staging and a little bit of home maintenance. Pricing your home correctly in today's Edmonton Real estate market is crucial and timing is also a factor. Read more on your community absorption rate and find out how long it will take to sell your home in Edmonton.

If you are not sure if you have enough equity in your home, contact one of our real estate experts for a free home evaluation.

Are You Paying too Much for Your Property?

Before you offer any seller a price for a property, there are a few facts you should know. The asking price or the city assessment of a property does not necessarily reflect the "market value" of the home. Below are a few questions you should check into prior to making an offer.

Is the property tax assessment accurate? If not, find out why

For the city of Edmonton, you can find out the tax assessment value of any residential property at https://maps.edmonton.ca/map.aspx. Although the amount the city thinks the property is worth does not necessarily reflect the true value. It is only used as a starting point.

Are real estate prices going up or coming down?

What is the latest real estate trend in that community? To determine if Edmonton community property values are going down or to tell if it is becoming one of Edmonton's hot spots, use the absorption rate tool.

How much was the bank property appraisal?

Financial institutions base their appraisals on the "Emily System", which is an accumulation of recently sold comparable properties. If there are no relevant sold Edmonton properties or if your home is more unique, independent appraisers can do a "cost to replace" appraisal.

Ask your REALTOR® to complete a CMA for you before you make the offer?

A good agent will complete a "Sold Comparative Market Analysis" (CMA) for you, prior to submitting an offer to purchase. This will let both you and your agent know what nearby properties have recently sold and for what price.

Is the property staged to avoid any defects?

Don't be fooled by the staging in a property. This is one of the biggest mistakes a buyer can make. When viewing a home, overlooking the nice furniture and freshly painted walls. Take a close look at the overall condition of the property. An easy way to know if a dwelling is shifting is to open and close the windows and doors.

Do you know what a realistic offer should look like?

No matter if you are buying a home in Edmonton in a buyers market or a seller's market. Submitting a realistic offer is important. When a home is priced accordingly to the real estate market, don't try to "low ball" the seller, you will end up paying more because you have insulted them. Do your research.

For more information on submitting in Edmonton and find an experienced buyer's agent, contact an Edmonton Remax Agent.

What is a CMA & How to Use it

Edmonton real estate agents can provide comparative market analysis, also known as a CMA, for any property including properties subject to divorce, civil enforcement, foreclosures, estate sales, city tax purposes, etc. It takes time for real estate agents to complete accurate home evaluations. Unless you have plenty of experience in buying and selling real estate, online home evaluations may be completely misleading and should never be used as a realistic asking price.

Seller Comparative Market Analysis

When working with sellers, a comparative market analysis is used to determine a realistic and accurate asking price. A Seller CMA is based on comparable properties which are currently active (homes for sale), recently sold homes (usually within the last six months), expired (homes that did not sell for various reasons) and the history of these homes. Other factors will include the current market, supply and demand, condition of the property, location, community absorption rate and many other factors. Experienced, professional agents will take the time to go through all of this data with you, together with determining a true asking price for your Edmonton Home.

Buyer Comparative Market Analysis

When working with buyers, a comparative market analysis is similar to a bank appraisal and is used to write a reasonable offer to purchase. A buyers CMA is based on both current homes for sale and recently sold home price in Edmonton taking into consideration all relevant factors including the condition, size and location. For new builds, this process is a bit different and is based more on the cost to build, economic factors, building quality, and the reputation of the builder.

Free Comparative Market Analysis

If you are thinking about selling your home or if your home did not sell due to other factors, feel free to contact us for a professional no-obligation Edmonton home evaluation. We also service Morinville, Bon Accord, Gibbons, St. Albert, Spruce Grove, Beaumont and Devon. Our Edmonton Houses and Homes Agents will take the time to help, educate and inform you on all real estate aspects of your property to determine the right value for your home, ensuring you receive the highest possible price.

Prepping Your Edmonton Home For Sale

Edmonton is a large municipality which means you will have plenty of nearby competition and making your home the prettiest will bring the highest offers, especially in a slower or buyers real estate market and an undesirable location, it is very important to show your Edmonton home at it's very best to maximize its value. Below are the top five actions you can take.

Disassociate Yourself With Your Property

No matter how long you have lived or how much love you put into your home, look at your property as a commodity and decorate as though, you are giving it away to your favourite member of your family. Make your house appeal to as many buyers as possible by neutralizing every room of the house.

Declutter as much as possible

Declutter as much as you can including your kitchen cabinets, linen and coat closets and your garage. As a rule of thumb, if you won't use it in the next three months, pack it away. Yes, this includes those boxes in your basement which have not been opened since your last move. This is also a great time to donate everything you haven't actually used in the last ten years or have a "priced to sell" garage sale.

Go on a shopping trip

Your home deserves a little freshening up and a shopping trip to spruce up your homes is also on your selling checklist. Purchase colour coordinated linen for your bedrooms and bathrooms. This will add both a warm ambience and a fresh, clean feel to your rooms. If your furniture is dirty - clean it or replace it.

Clean everything inside and outside

Serious buyers will be snooping in your home. They will be looking in your oven, fridge, cabinets, and closets. Make sure these are clean, neat and tidy. You don't want potential buyers to think there is a shortage of storage space, or think your home is not taken care of. A dirty house will be reflected in the price of a buyers offer to purchase. Don't neglect the backyard, garage, and storage sheds. Make your home sparkle!

Have a pre-sold dinner party

Celebrate your hard work of getting your property ready to sell and invite over your closest friends and open the wine. Ask them to walk around your home, point out any imperfections and for their honest opinions. Bring a notebook. You will be amazed by the feedback. If you have any questions about getting your home ready to sell, contact us.

Does Your Bank Require an Appraisal?

Appraisals are an important part of buying and selling homes in Edmonton. Real estate appraisals establish Edmonton sold properties market value prices. Banks and financial institutions require property appraisals when buyers require a mortgage on their new homes as security and provide financial institutions with a cost-effective assurance of the properties value for lending purposes. 

Appraisals are detailed reports compiled by licensed real estate appraisers. Don't confuse a comparative market analysis, or CMA, with a real estate appraisal. A CMA is a sales report based on data entered into the multiple listing service, or MLS. Real estate agents use CMAs to help their clients determine realistic asking and offering prices.

An appraisal is also not the same thing as a property inspection. Home inspectors test appliances and outlets, check the plumbing and electrical, confirm heating and cooling system are in working order, use inspection tools to look for any moisture issues, missing insulation, etc. Such information is helpful for the buyer to know before moving in.

If your real estate appraisal comes in low, the bank may not lend you the money you need to satisfy your finance condition. You may need to come up with the difference in cash or re-negotiate the sale price of the property.