The 2013 Alberta Floods in Calgary
In June of 2013 a unique combination of high-pressure and low-pressure storm systems created perfect conditions for torrential rain, causing more than 200 millimeters (approx. 7.9 inches) of rainfall in under 2 days time. Southwest and West Calgary were unfortunately hit particularly hard during this time.
Now that all the hype and media attention has diminished, the question lingers…
How is Calgary’s economy looking today, almost three months after the flood devastated so many people in southern Alberta?
Thousands of people are still displaced from their homes, most in High River, as well as the wealthy neighbourhoods along the Elbow River, two of the hardest hit areas. Flood victims continue to face a difficult decision: do they attempt to sell their damaged home at a lower price, or take their chances with a full remediation and hope disaster doesn’t strike a second time?
The Calgary Real Estate Board’s (CREB) report for 2013 post-flood has shown that resale activity has remained strong, sales increasing by 4.6% since last year. However, listed inventory has actually seen a 17% decrease in Calgary, forcing home buyers to search in surrounding areas and keeping the overall market in favour of the seller. Although housing values have decreased in the flood zones, prices in other areas of Calgary have begun to increase due to high demand.
This is occurring particularly in the rental market. Flood zones have left numerous renting families without homes, pushing up the cost of rentals and compelling renters to seek housing in the outer districts such as Airdrie, Cochrane and Okotoks. Many of these would-be-renters are even choosing to purchase a home instead due to the tight rental market.
According to CREB’s quarterly report, single family dwellings are also in demand as Calgary has been supplying a shortage of affordable homes for the average family. This is once again causing a sales growth of up to 14% in surrounding communities despite the decrease in actual listings.
In conclusion, despite the decrease in actual listings, the demand for real estate is booming, regardless of the flood. Calgary and the surrounding districts are growing and flourishing and the demands for affordable homes and rentals are as strong as ever! Contact the amazing Alair Homes Calgary team today to renovate, rebuild, or build your home!