The Calgary Real Estate Board held its annual forecast meeting on January 8 and this year's Board president expects another good year for the resale real estate market in Calgary.

In her inaugural speech, president Rosalee Krygier remarked, "Taking into account our record-shattering year in 2002 and continued consumer confidence and low interest rates, we expect another strong and vibrant year for real estate in Calgary."

Other positive factors noted by Krygier included Calgary's status as an employment growth leader, steady in-migration, and rising oil and gas prices, which have historically been a positive factor for the Alberta economy.

Close to 500 Calgary Real Estate Board members and industry guests were on hand to hear Krygier report that last year marked the highest number of combined residential sales ever in Calgary at 25,054 units, and that the number of residential sales is expected to decrease in 2003 to 22,750 units. The combined residential number is single-family units and condominiums together. Broken out, in 2003 the Board expects 17,250 of the sales to be single-family units, with the balance of 5,500 being comprised of condominiums.

"While we are expecting the market to ease somewhat from 2002's blistering pace, any time over 20,000 units change hands in a year, it indicates a very healthy and vibrant real estate market," Krygier said.

She added that the projected decrease in sales would result in a more balanced market in the coming year.

The Calgary Real Estate Board is forecasting a slight increase in the number of residential listings coming to market in 2003, from 33,905 last year to 35,000 this year. Breaking out the categories on the listings front, 26,400 single-family and 8,600 condominium listings are expected to hit the market in 2003.

Calgary's condominium market had another strong year in 2002 and will remain a significant percentage of the overall market in 2003. Condominium sales for this year will account for about 25% of the resale market - this compares to 15% in 1994 and 10% in 1989.

"The concept of condo living has changed significantly over the past few years," Krygier said. "It's a lifestyle choice for many empty-nesters and people relocating to Calgary from larger urban centres," she continued.

The average residential sale price was up 8.8% in 2002 over 2001. The Board's 2002 year-end statistics showed the average residential selling price at $198,057. It is expected to rise about 3.5% in 2003 to $205,200. Broken out, in 2002, the single-family average price was $212,844 and the average condominium price was $151,337. For 2003, these average prices are expected to come in at $220,750 and $156,350 respectively.

Given the forecasted numbers, the total dollar volume for residential properties trading hands in Calgary in 2003 is estimated to be 4.67 billion dollars.

"If you add commercial and rural transactions to the residential side, the total dollar volume could be as high 5.2 billion dollars by the end of 2003," remarked Krygier. "This gives us a clear picture of just how powerful the MLS(R) marketing system is to the real estate industry," she added.

-The Calgary Real Estate Board is a professional body of 4,125 licensed brokers and registered agents, representing 250 member offices. All MLS(R) active listings for Calgary and area may be found on the Calgary Real Estate Board's website at www.creb.com.

Trish Carter is the Calgary Real Estate Board's Communications Supervisor