Edmonton real estate buyers and sellers may think that the only factors affecting their home’s (or future home’s) value is the condition of the house, the neighbourhood, and even nearby amenities such as schools, recreational facilities, malls, and so on. And while these are certainly a part of the story, there’s another key consideration that both buyers and sellers should be aware of, and prepared for: increasing employment rates.
True, it may seem strange to think that the health of employment in Edmonton should matter to buyers and sellers –after all, we’re talking about selling a house, not hiring or firing an employee – but in the bigger picture, it makes sense. That’s because more employment typically means the following:
- More demand for both new and existing homes, as new workers relocate to Edmonton;
- More families deciding to transition into larger homes (e.g. from semi-detached to detached);
- More competition for houses on the market, which can drive up home prices;
- More concern about inflation, which can drive up mortgage interest rates.
And indeed, if this all seems interesting but kind of academic, it’s not: just last week, the Edmonton Journal reported on a Manpower Employment Outlook Survey, which anticipates a boost in Alberta employment.
Specifically, the survey expects a ‘net employment outlook of 16%’ which means that while 10% of employers anticipate employment cutbacks, a 26% anticipate new hiring. The net 16% employment growth in Alberta expectation is 3% higher than it was last year. Also, the 16% rate is a whopping 11% higher than the expected average rate across Canada.
“…I’m very pleased to see Alberta is leading the pack with respect to recovery and hiring expectations” noted Randy Upright, CEO of Manpower’s Alberta region.
What this Means to You...
If you’re thinking of selling your Edmonton home, then now is the ideal time to build a plan and position your home to benefit from the anticipated wave of increasing demand. There are key ways to make your home more attractive and valuable, and you want to focus on each one since maximizing value is your goal.
If you’re thinking buying an Edmonton home, then it’s important to take action now, not later – because more competition for available homes will make it harder for you to find your dream home at a price within your desired budget.
So overall, while it’s great news that Edmonton is gearing up for a wave of economic and employment growth -- and those of us who absolutely love this unique city and proudly call it home have reason to cheer -- you can see that it means different, but important, things to sellers and buyers.To create your unique selling or buying plan and ensure that you make this anticipated boost in Edmonton employment “work” for you, call me at 780-709-0811. I’m here to help!