Orange is the New Black

Ok – so maybe tangerine! But man this brazen, fire-licked hue has been popping up everywhere this summer.  Garden and home accessories, clothing and sunglasses, I even saw a cute bike in happy creamsicle.

Adding a dose of 70’s style to your home with a mid-century modern piece will be sure to wow your friends and family.  This colour is like adding a hit of spice to your summer. It’s hot, hot, hot!

Best Advice

“Add visual interest with bold pattern. Your main pattern should have no more than two colours. Then, bring in a multi-coloured patterns that harmonize without being too matchy. And don’t just think fabrics; pattern can come from accessories like lamps of vases” Richard Ouellette

Savour la vie en…mandarine!

The Next Step

Move-up homes driving construction activity, community development, say local housing officials

The head of Calgary’s new home industry believes move-up products have become the go-to sector within Calgary’s residential construction industry, and will be the backbone of new communities moving forward.

Allan Klassen, who is the newly minted chair of the Canadian Home Builders’ Association – Urban Development Institute Calgary Region, said buyers’ focus over the last several years has been increasingly focused on detached product priced over $500,000.

“It is the prominent driver in terms of overall growth of new construction,” said Klassen, who is also senior vice-president of Calgary housing for Brookfield Residential, which is behind the mixed-use Seton development in the southeast and the recently announced Livingston community in the city’s north.

He noted move-up homes provide the foundation behind many of Calgary’s newer communities, such as Auburn Bay, Cranston and expansions in Tuscany.

Klassen describes the typical move-up home buyer as young. He estimates nearly half of these buyers are between 25 and 34, while their average household income is around $125,000.

“WHEN A FAMILY IS GROWING, PARENTS ARE LOOKING FOR SCHOOLS, PARKS, KIDS PLAYING ON THE STREET. THEY’RE LOOKING FOR A SENSE OF BELONGING.”

Their reasons for moving up vary, but are primarily driven by lifestyle changes, such as a growing family. As such, the adage that real estate is about “location, location, location” still holds true when considering move-up buyers.

“When a family is growing, parents are looking for schools, parks, kids playing on the street. They’re looking for a sense of belonging,” said Klassen, adding that, once those locational needs are met, features such as increased square footage, more bedrooms and storage space come into play.

Stephanie Myers, who is Jayman BUILT’s vice-president of single-family housing operations in Calgary, estimates 55 per cent of the company’s sales year-to-date fall into the move-up category.

“This is a higher rate than we would see in a typical year,” she said, noting the price band for move-up homes has widened. She added move-up homes used to be $500,000 and up; now, however, they’re available for around $450,000.

Stephanie Myers, Jayman BUILT
Stephanie Myers, Jayman BUILT

“Given the incredible price points in the current market, and with interest rates running as low as they are, we have seen a number of buyers skipping the traditional starter homes and jumping right into the move-up segment,” said Myers. “The first-time buyer is more prominent in this group than ever before.”

Klassen agrees, saying Brookfield currently sees more than half of its move-up buyers coming directly out of rentals.

According to both Klassen and Myers, move-up buyers will typically settle into their homes for five to seven years before looking to move up again – often within the $600,000-$800,000 price range.

Don Barrineau, Mattamy Homes’ division president in Calgary, said his company is seeing similar demand within the move-up sector. Mattamy has currently released new floor plans within its master-planned communities in Calgary and Airdrie that offer larger square footage (up to 3,400 square feet) and larger lots (up to 43 square feet).

“We want to have a large variety of consumer segments and product types in our communities,” said Barrineau, noting that offering move-up homes allows buyers to go through the majority of their life cycle in one community, should they so choose.

Barrineau encourages move-up buyers do their homework and market research to determine, “what changes will happen within a person’s life that will instigate a move to a different product type, and what will they be looking for in that different product type.”

In Cityscape in northeast Calgary, for example, Barrineau said move-up buyers are seeking more bedrooms and an option to include a spice kitchen.

 

CREBNow By: Kathleen Renne

Just Listed : 171 Elgin Terrace SE

Welcome to desirable McKenzie Towne, an award winning community! This is an amazing family home with a cozy front porch, top floor balcony and landscaped private backyard. See yourself living here? Fall in love and start making memories today!

As you walk into the home you’ll appreciate the well-designed floor plan, the 9 foot ceilings, the large windows offering plenty of natural light, and the practical tiled floors. The open concept great room has a gorgeous kitchen where your friends will gather, a sunny dining nook, a large island with a breakfast bar, and plenty of storage, including a corner pantry. Features include a spacious living room with a corner gas fireplace, separate front den/office, a 2 piece bathroom and the main floor laundry room.

Upstairs on neutral plush carpet, you’ll find a gorgeous bonus room complete with full length windows and opening onto a balcony. Imagine yourself having your morning coffee here! There is a large master bedroom retreat with a spa like ensuite. Includes an oversized glass shower, jet tub and a walk-in closet. Two other bedrooms and a 4 piece bathroom complete the upper level.

The lower level is partially finished and features a large recreational room, and plenty of space to add another bedroom.

Back lane gives you access to your immaculate fully fenced backyard, a large deck and double detached garage.

For more details click here

Demand Down with Net Migration

Prices similar to last month, down more than four per cent from last year.

In step with City census data on declining net migration levels, housing sales activity totaled 1,741 units in July, a 12.6 per cent decrease over last year and the 20th consecutive month of year-over-year sales declines.

“Continued pullback of sales activity is a sign of economic conditions,” said CREB® chief economist Ann-Marie Lurie. “The number of unemployed workers keeps rising and when you combine job losses with declining net migration, the result is going to be weaker housing demand.”

Slower sales were accompanied by declining new listings in July. This helped prevent further inventory gains and minimize the downward pressure on benchmark prices. By months end, the residential benchmark price was $440,000, similar to last month, but 4.2 per cent below July figures from the previous year.

While detached prices seem to be leveling, this is not the case for all property types. With over six months of inventory in the apartment sector, oversupply continues to create steep price declines.

The apartment benchmark price totaled $277,000 in July, a 0.4 per cent decline over the previous month and 6.6 per cent below last year’s levels.

City-wide benchmark prices for detached product totaled $502,300 in July, which is similar to last month, but 3.4 per cent lower than last year’s levels. Meanwhile, semi and row attached product recorded a year-over-year decline of 3.1 and 5.5 per cent for July prices of $385,200 and $310,300.

“To buyers and sellers that have been paying attention to the housing market in Calgary and surrounding areas, it should come as no surprise that we continue to see a slowdown in sales activity,” said CREB® president Cliff Stevenson. “Buyers are expecting further declines in sold prices, and sellers are adjusting to softer demand with price decreases. When these expectations intersect, we’re seeing sales activity in the market, but not at the level realized over the last several years.”