CREB predicts 4% increase in home prices for 2022

A CIR Realty sign in Auburn Bay, Calgary on Monday, Feb. 7, 2022. CIR Realty is one of Canada’s real estate brokerages. (Photo by Abby Panes/The Press)

The Calgary Real Estate Board (CREB)’s annual forecast states that there will be a four per cent increase in prices this year. Chiquie Lebaquin, a Real Estate Agent in Calgary shares her insight on how the forecast means to her sales.

Interest rates have been low throughout the pandemic, but were raised by the Bank of Canada on Jan. 26, 2022.

“Even if we have the lowest rate, if there is no inventory, if there is no house to buy, what do we buy?” Lebaquin said.

Based on the CREB forecast summary, lending rates are expected to cool the demands this year, but rates will remain low.

“Even if the market is spiking high, it won’t always be high,” Lebaquin explained.

“At some point, the market will correct itself, which is why it is expected.”

Ann-Marie Lurie, CREB Chief Economist, said to also expect a four per cent increase of prices this year. However, Lebaquin says that nowadays, the prices are based on the value of the houses themselves.

“The question is, how much are you willing to pay to get the house that you want,” Lebaquin said.

“Even if we have the lowest rate, if there is no inventory, if there is no house to buy, what do we buy?” -Chiquie Lebaquin

Manel Magtanong, one of Lebaquin’s clients, says that her family is planning to sell their house, but will not look to buy a new house during this season.

“We’re not looking to buy a new house yet as these days are not a good time,” Magtanong said through a phone call interview.

“It’s hard to invest in one right now, because most clients are bidding to get houses,” she added.

“We’re just planning to sell our house and we will just rent and wait for the meantime.”

The CREB annual forecast was released on Tuesday, Jan. 25, 2022

About Abby Panes 1 Article
As a news reporting and communications major in the journalism program at SAIT, Abby Panes worked as a writer for The Press in 2022.