One of the most common questions we get asked is "how's the market?".
That question always should be answered with a "it depends", because it truly does depend ion what market you're referring to. Red Deer is the largest Central Alberta Community but is surrounded by several other communities withing 30 km, such as Sylvan Lake.
Sylvan Lake is a great community and has a different market dynamic, and has been different than Red Deer for many, many years. Most recently the real estate boom that occurred in Alberta during, '05, '06 and '07 impacted the two communities differently. Being at "the lake" was very desirable for Calgary and Edmonton buyers and the investment and speculation component of the market greatly affected Sylvan Lake. The investors have slowed down considerably in Sylvan lake, and that community was left with a large supply of listings. Similar to Red Deer but proportionately higher.
Sylvan lake still struggles with higher inventory levels and sales ratios.
Red Deer is transitioning into a balanced market with sales volume at 50% of the new listing volume. We'd like to see that closer to 60% in a balanced and when it was a strong sellers market it was 80% and up.
Chart illustrates the single family home MLS® market form january 1 to July 1, 2011 for Red Deer real estate vs. Sylvan lake real estate.
Sylvan Lake on the other hand is only selling 29% of the new listing volume each month. 70% of the listings don't sell and are carried over into the next month. Creating downward pressure on price and increasing marketing time.
This chart show data for all residential MLS® listings and sales form january 1 - July 1, 2011 for Red Deer vs. Sylvan lake real estate.
Sylvan Lake is a great community, and is a short drive from Red Deer. Many residents work in Red Deer and commute to Sylvan lake just as the do from Springbrook, Penhold, and Blackfalds to Red Deer. However it is important to note that Sylvan Lake has also experienced an increased in retail and commercial growth that some of the smaller communities have not. You'll find a Wal-Mart Super centre, a Superstore, a movie theatre, hotels, an active water front business community, golf course, marina and so much more. Sylvan lake is more than a bedroom community, opportunities are there for buyers. Sellers will need more patience in Sylvan Lake and follow the guidance of their local professional.
Century 21 Advantage has agents that live and work in Sylvan lake and the expertise to assist you with your real estate needs, feel free to call us at (403) 346-0021.
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