House flipping in Calgary’s red-hot real estate market has surged to the highest level of any major metropolitan area in the country, according to new data from the Bank of Canada.
The latest statistics show 6.5 per cent of homes sold in the Calgary metropolitan area were resold within 12 months.
That’s the highest level in any major city at any point since at least 2014, which is as far back as the bank’s public-facing data goes.
The figures don’t surprise Jayson Shmyrko, a Calgary-based real estate agent who specializes in helping clients buy houses and resell them for a profit.
Asked what the market for flipping is like these days, he described it in one word: “Insane.”
“It’s crazy right now,” Shmyrko said.
He started flipping houses himself about 20 years ago, often renovating the properties before reselling them. These days, however, he says that’s not even necessary given how quickly demand — and prices — have risen.
“We’ve got some clients that have bought properties and they just rented them out for a couple of years with the intention of doing something [to renovate them],” he said. “And now they’re realizing that maybe they don’t really have to do anything. Maybe they can just sell it and and make a reasonable profit.”
The Calgary Real Estate Board’s latest monthly report shows double-digit price increases across various sectors of the city’s housing market in the past year.
Looking through real-estate listings and land title records dating back several years, it’s not hard to find examples of major price increases across numerous Calgary communities.
For instance, a bungalow in the southeast community of Acadia that sold for $432,500 in January 2022 just sold again earlier this month for $640,000. That’s a 48 per cent increase in just over two years.
The post ‘It’s crazy right now’: House flipping surges to new heights in Calgary’s red-hot real estate market first appeared on Insie Mesenza.