Kevin Chapman

Artificial grass has been used in warmer climates for some time, but it’s also become more popular in Canada as an alternative to a natural lawn. The jury is still out as to which is best, and there are definitely pros and cons on both sides of the fence.

Natural Grass
Benefits:  There’s nothing like the lush, organic feeling of natural grass under your feet.  It’s affordable to install, and with maintenance, it can last a lifetime.

Things to consider:
Maintenance – A lot of time and effort is needed to cut, water and maintain the lawn.  It’s difficult to keep it looking good all year round.
Environmental Impact – Tons of water are used every day to get that ”green” look.  Harmful pesticides used also wash away into the water system.
Expense – Sod may be cheaper to install ($1-$2/ yard), but the monthly water bill is much higher than artificial turf.

Artificial Grass
Benefits:   Today’s artificial grass is like a carpet for your yard. The turf looks great all year round with virtually no maintenance, no water and no monthly cost.

Things to consider:
Expense: Artificial turf is very expensive to install.  Anywhere from $4-$9/ sq. ft, a small 500 sq ft area can cost upwards of $4500.
Environmental impact – Although it doesn’t need the water and pesticides and has a lifespan of 15-25 years, artificial grass is synthetic and does eventually end up in the landfill.
Animal waste – The turf can be watered and liquids pass through, but there are mixed reviews on how well Fido’s business washes away.

Whichever you prefer, you will start noticing artificial grass in more residential and public spaces. Artificial turf is being used in dog runs, playgrounds, on boats, trade show booths and golf courses.  Toronto is even installing artificial turf on its medians. It looks like it is here to stay.

Not long ago, in 2008, the mortgage rate in Calgary was 5.39%. This year, we have consistently seen posted rates under 3%. The low rates offer significant opportunities for buyers and sellers alike, but to take advantage of the trend, learn to evaluate your financing options.

Taking advantage of the lowest rates possible allows you to make real strides on interest payments. But if your mortgage is short-term and a variable rate, there is a possibility it could change with the market.

If you are looking to reside in a home for a while or invest in a long-term rental holding property, some lenders offer up to a 10-year fixed rate.  Fixed rates are generally higher than variable, but can minimize uncertainty and the risk of higher interest and payments in the future.

Refinancing an existing mortgage to a lower rate might also help you save. However, you are liable to pay penalties and administrative costs for breaking your mortgage.

A mortgage consultant can assess the specific needs of your situation and guide you in choosing the financing plan that will fit you best.

Upcoming Events & Festival

– Global Petroleum Show – Tuesday, June 9th – Thursday, June 11th

– Fishing at Bow Habitat Station – May 15th to Saturday, October 31st

– Safeway Father’s Day Walk/Run – Sunday, June 21st

– Pawsitively Fun Run – Sunday, June 21st

– Storybook Theatre Presents Roald Dahl’s Willy Wonka – Friday, May 22nd to Friday, June 26th

– 2015 Calgary Stampede – Friday, July 3rd – Sunday, July 12th

Market moves toward balanced conditions

Calgary housing prices change direction in May

For the first time since December 2014, Calgary’s residential unadjusted benchmark prices improved over the previous month. Within the city of Calgary, housing prices totaled $454,100 in May, a monthly and year-over-year increase of 0.55 and 0.96 per cent.

“For the third month in the row, new listings have eased compared to last year, helping push the market toward more balanced conditions, despite the current environment of slower sales activity,” said CREB® chief economist Ann-Marie Lurie. “This has helped prevent further declines in the unadjusted benchmark price.”

New listings in the city of Calgary totaled 3,161 units in May, a 27 per cent decrease over last year. Meanwhile, total inventory levels for the month were 5,342 units, 16 per cent higher than last year, but eight per cent lower than May levels recorded over the past five years and three per cent lower than average levels over the past 10 years.

Two measures of balance are the months of supply and the sales to new listings ratio. In May, the months of supply decreased to 2.43, while the sales to new listings ratio was 69 per cent, both within the norms for balanced conditions.

“Back in January, higher inventory levels relative to sales activity caused months of supply to rise above five months,” said CREB® president Corinne Lyall. “While some challenges continue to exist for sellers, depending on the property type, price and location, the decline in the months of supply points toward more stability for both buyers and sellers.”

Year-to-date the detached sector recorded the largest decline in new listings at eight per cent. While overall inventory levels are 12 per cent higher than last year’s levels, they remain well below the five and 10 year averages for May.

Detached sales activity in May totaled 1,366 units, with the majority of transactions occurring below $500,000. While conditions are not as tight as last year’s market conditions, which favoured the seller, over the first five months of this year activity in this price range has remained relatively balanced.

“This segment of the detached market continues to have a good amount of consumer activity, as many have taken advantage of the improved selection compared to last year,” said Lyall. “While some have waited for steeper price declines, to this point it just hasn’t happened across all areas of the market. This is partly related to activity in the under $500,000 segment.”

Meanwhile, year-to-date apartment sales and new listings totaled 1,383 and 3,229 units respectively. The May apartment benchmark price of $294,800 increased by 1.20 per cent compared to last month, but remains 0.2 per cent below May 2014 figures.

The apartment sector continues to remain the only sector where prices have contracted relative to last year’s figures.

“While the resale market has recorded an easing of upward inventory pressures, the new home sector has started to record some gains in inventory,” said Lurie. “Current new home inventories remain relatively low. However, the overall impact on Calgary’s housing prices will ultimately depend on the duration of the economic slowdown and the amount of inventory build-up in the new home sector.”