Calgary may not be booming quite like it did in 2007, but the city’s luxury home market is showing real signs of strength.
Sales of $1 million-plus properties are up 20% in the first half of this year, said Calgary Real Estate Board chief economist Ann-Marie Lurie, signifying a solid local economy.
“This is almost a testament to the long term prospects of the city,” she said.
“Nobody is really buying these homes with the intention of flipping them right away.
“They’re committed to Calgary, they’re going to be here for a while and they have a very strong long-term outlook.”
So far in 2012, there have been 339 sales above $1 million-plus properties compared to 281 in the same period of 2011.
This year’s number is even above the 325 sales in the first half of 2007, when property values went through the roof.
But just because the number of sales is rising so steadily doesn’t mean the price of high-end houses is skyrocketing too, as they did in 2007.
“If we look at what’s been selling in price ranges, it’s actually been a little lower than what we’ve seen in the past,” said Lurie.
“If we look at just $1 million-plus, in 2007, the median price was about $1.3 million and year-to-date, we’re running about $1.27 (million) so a little lower.
“What we’re seeing happening is there has been a lot more activity but our understanding is people are just getting more for what they used to get.”
And there are plenty of high-end homes available for those who can afford it.
A search of MLS listing shows hundreds of properties valued above $1 million, including two in the $8 million range and an $11.5 million behemoth in Aspen Woods — the most expensive house ever listed on Calgary’s MLS.
New rules enacted in June by the Canadian Mortgage and House Corp. mean a minimum downpayment of 20% is now required on $1 million-plus properties, which used to sit at 5%, said Lurie.
Not surprisingly, most looking to buy $1 million-plus luxury homes work in the oil and gas sector or are at the executive level of their industry.
“These people earn some good money, they make their big bonuses then they go out and buy a big house — that’s anecdotally what we hear,” she said.
“The fact we have that vibrant executive community is a good thing, it does encourage a lot of growth.”
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KING OF CALGARY’S CASTLES
You’ll need more than just champagne wishes and caviar dreams to move into this custom Calgary address up for sale.
With an $11,495,000 asking price, this custom estate in Aspen Woods is the most expensive ever found on the Multiple Listing Service (MLS) in Calgary.
“It’s a completely gated estate within the city limits,” said real estate associate Corinne Poffenroth with Sotheby’s International Realty Canada.
“It sits on just under an acre, which is unheard of, and it has a separate carriage house, which takes two building permits to get in the city, so that’s very rare as well.”
At 9,300 sq. ft., the sheer size of the five-bedroom, nine-bathroom home boasting a five-car garage makes it even more impressive, said Poffenroth.
“It actually took one year to design the home and 19 months to build it,” she said.
“One of the unique property amenities would definitely include a two-storey grand parlour when you enter the home with an eight-foot Swarovski Crystal chandelier.”
Custom designed and built by Pacer Signature Homes, building materials were brought in from around the world for the French country castle.
“The exterior of the house is wrapped in hand cut rundle stone from Golden, B.C.,” she said, adding it took 14 months for masons to produce enough rock for the home.
“There’s Indiana limestone from Texas for some of the featured stone work as well the fireplaces, hand cut marble floors from Brazil, designer wallpaper from England, commercial grade carpet from Israel and all of the chandeliers are Swarovski Crystal.”
And not just the esthetics of the home are impressive.
“The fence is sitting on concrete grade beam and concrete friction piles that go (five metres) into the ground,” said Poffenroth. “So it’s completely secure and gated.
“Hidden eavestrough are built into the walls of the home, you don’t see that a lot.
“There’s a 12-inch reinforced steel concrete foundation, and the main roof is recycled rubber slate.”
As you would expect, the floor plan includes a lot more than just a kitchen, living rooms, dining rooms, bathrooms and bedrooms.
“Along with the grand parlour, there’s a huge, gourmet kitchen decked out with professional appliances and an adjoining butler’s pantry,” she said.
“There’s a men’s parlour that is unique, it’s a games room and it’s also decked out in rundle stone and has a full-sized bar.”
And for the ladies — or more fashion-conscious men — the home also boasts 14 walk-in closets, not to mention a full-size yoga and dance studio and full spa facilities.
“That’s an open rain shower, steam room, dry sauna, jacuzzi and a massage room,” said Poffenroth.
“Then there’s even a spa lounge area outside of that.”
For movie buffs, there’s an in-home theatre with 10 leather lounge chairs. Wine lovers will enjoy the 500-bottle, cork-lined storage room.
“It’s designed, obviously, for grand scale entertaining, but also for modern living,” said Poffenroth.
“It has the smart home integration system, a full security system with 20 cameras, it’s got a full-size elevator servicing all three levels and three separate laundry rooms, one on each level.”