COVID-19's Impact on our Local Real Estate Market 

COVID 19's Impact


After a promising start in March, real estate sales have significantly slowed down since Covid-19. As we continue to physically distance to help flatten the curve, the real estate industry is also flattening. We were curious too just how much sales have decreased since the onset of Covid-19. Specific to our community of Leduc, I pulled a 30-day sales stats from the time of this writing (March 22 - Apr 20). In 2019 we had 51 sales compared to only 21 sales this year, representing a 58.8% decrease year over year.  This was not good news.In a CBC new release, Chief Economist of the Alberta Real Estate Association, Ann-Marie Lurie shared, "This is an unprecedented time with a significant amount of uncertainty. It is not a surprise to see these concerns also weigh on the housing market."There is however really good news for home buyers! The Bank of Canada has dropped their prime rate to 2.45%. This is a full percent reduction, with the intent of keeping Canada’s economy moving. If you have steady and dependable employment, one major benefit to buying a home today is that you can take advantage of substantial interest savings. Let’s consider for example you want to buy a property priced at $400,000. With 10% down and an interest rate of only 2.49%, compared to 3.49%, you’d save $190 every single month in interest alone. This amount tallied over a 5 year term is equivalent to over $11,400 saved. Imagine what you could do with these extra savings!  In the same way one takes added safety precautions when purchasing groceries and gas, so are added measures being taken when buying houses. From previewing houses online, to using hand sanitizer, gloves, masks etc., there are many things that can be done to prevent the spread of Covid. We currently have many fantastic properties on the market at great prices. If you want discuss how we can most safely help you purchase a home so that you can save money, contact us today at 780-919-0004. It’d be our honour to assist you.  Jason Rustand  Jason Rustand with RE/MAX Real Estate serves with the highest level of integrity and excellence every time.  If you want to know more about the market, or plan to buy or sell a home, call or text Jason at 780-919-0004. You can also email jrteam@shaw.ca, visit www.Facebook.com/JasonRustandTeam/ or WeSellLeduc.com.