Fort McMurray
With the movements in the energy sector, many changes occur in the city including in the real estate market. With the rice in the prices of crude oil, the prices of the houses also increase. While if a decrease is observed in the prices of crude oil housing the prices of houses also drop.
At the start of the COVID-19 it was thought that a steep crash will be observed in the Canadian Housing Markets. This will result in considerable discounts on real estate prices and more especially in urban areas. But, after a six-week slump almost all the regions are again back on their path with increasing sales and the prices of the houses and other properties.
According to the Fort McMurray Real Estate Board, a 13% fall in sales is observed in August 2020 from the last year August. The average sale price has been decreased by 8% from year over year with the average price of now $361,971. Another factor that contributed to this pandemic is unemployment in the city.
As of October 10, 2020, there are 381 real estate listings in Fort McMurray. Out of these 381, there are 183 detached homes, 32 townhouses, 72 apartments, and 43 land areas. The average price offered for a property in the city is $403,657.16. The highest of the paid price is $3,840,000 while the lowest-paid price is $15,000.
The challenges that the market faced during the start of the year, there is an increased demand of crude oil. So, according to a detailed report of the Canadian Energy Research Institute that will be the growth of oil sands production. With the momentum in the energy sector, small investors will scoop up the city’s real estate market.
The realtors of Fort McMurray told that in April the real estate market statistics were similar to that when the wildfire was taken place in 2016. Also, the report presented the impact that flood due to the river break up had on the Downtown, Draper, and Waterways along with the COVID-19. All these have slowed down the real estate market. A decrease of 5% was seen in the average prices of the single-family detached homes from then January 2020 to April 2020. This decrease has set the average price at $500 K. As compared to 2019 this is a twenty-five thousand dollars drop in the price.
The number of homes that are sold this year is less than that of 2019. But there was also a decrease in the listings of new homes for sale by 17% this year. As the provisional government has eased the restrictions the market is getting into phase and the situation is getting better.
The latest average price of a house having a single bedroom is $144,744, while the average price of a house with two bedrooms is $154,968, three-bedroom house is of $369,296, four-bedroom house is of $526,787, and the price of five-bedroom house is $575,712.
