Ye Olde Real Estate Vintage August 19, 2008Posted by DustinRJay in Calgary real estate.
Tags: Calgary real estate, Vintaging
Bob Truman, at First Place Realty, is one of the sole providers of real estate information and statistics in Calgary besides the CREB. I use a lot of Bob’s data in my graphs, so he deserves a big shout-out for making this information available to the public!
The following is a graph comparison of the change in:
- Truman Index
- Average Price of SFH in Calgary
- Median Price of SFH in Calgary
Some of the primary points this graph makes are:
- Lots of spread in market value can create opportunities and risk as properties may be bought and resold for a gain or loss of +/- $80,000
- Value of a good REALTOR can add $40,000 of value per transaction, alternatively a poor REALTOR can cost you $40,000 of value per transaction
- Some flippers still appear to be making good money even in a market with high inventory
- Truman index seems to fit well with older vintage SFH average and median data but poorly with more recent sales. This may be due to changes in real estate market mix, recent profitable flippers skewing the trend or loss aversion.
- The majority of sales in 2006 and 2007 are still “in the black” as a total of 67% were resold at or greater than the previous sale price.
- A good deal on a purchase and sale may be worth the same value as perfectly timing the market
- Pulling the title and using a vintaging methodology can be another tool for assessing value
- Same sales pair data was from sales during the period August 1 – 14, 2008
- I apologize in advance for the “busy” graph.