Fall is supposed to be the second most frenzied time of activity in Calgary's housing market. Some will tell you (as I did recently) that business is still brisk at the under 500K level and to a certain degree that is true. However, the news keeps getting worse on Canada's economy and that makes both buyers and investors nervous. Suddenly, this past few days, there is a flood of new homes on the market, after a somewhat slow month. It seems sellers are getting nervous and are putting the house on the market now, whereas last month many were thinking maybe spring.
It all adds up to more inventory, and less buyers. Prices have dropped, and will likely to continue through the winter, even in the 500K range. However it is very important to note that most buyers, as instructed by savvy Realtors, will list low in accordance to the market. I'm seeing, in most cases, prices already adjusted to the realities of the market. That said, there is wiggle room still in purchase price vs list price ratios, but it will be unlikely a huge difference, especially if there are price drops occurring after listing. Again, depending on the desperation of the seller, low-ball offers may or may not work, and often increases a seller's resistance to negotiate.
To conclude, the buyer's market is officially here and likely to stay for a while. It will definitely be a good winter if you are a buyer.