CARA July 2015 Statistics

Red Deer, Alberta – August 18, 2015 – Residential sales reported through the MLS® System of the Central Alberta REALTORS® Association numbered 509 units in July 2015. While this was a decline of 12.5 per cent from a record for the month last year, sales in July 2015 marked just the third time on record that activity has topped the 500 mark for that month.

Sales activity in all of Alberta fell 14.7 per cent from July 2014, and were running in line with the five and 10-year averages for the month.
New residential listings on the Association’s MLS® System numbered 858 units in July, down 7.9 per cent from levels in July 2014.

There were 2,955 active residential listings on the Association’s MLS® System at the end of July, down 5.4 per cent from levels at the end of July 2014.

There were 5.8 months of inventory at the end of July 2015, up slightly from 5.4 months reported at the end of July 2014 but below the long-run average for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

The dollar value of all home sales in July 2015 was $163.1 million, falling 7.9 per cent from the record July in 2014. This was still the second best dollar volume for the month of July. The dollar value of home sales in all of Alberta declined 14.9 per cent from July 2014.

Sales of all types of properties totalled 529 units in July. This was down 13 per cent compared to July 2014. The total value of all property sales amounted to $173.3 million in July, down 10.1 per cent on a year-over-year basis.
The Central Alberta REALTORS® Association is an MLS® listing co-operative, representing more than 560 REALTORS® located in Red Deer and throughout Central Alberta. Details and photos of all Central Alberta REALTORS® Association listings can be found on the national public web sites www.carassociation.ca, www.REALTOR.ca (residential properties) and ICX.CA (commercial and investment properties).

CREB® July 2015 Statistics

Market remains balanced despite easing in absorption rates

Supply gain in apartment sector threatens to impact price

Click here to view the full monthly stats package.

Declines in residential housing sales activity eased in July, creating, when combined with stable inventory levels, no change to the month-over-month price.

Year-over-year sales fell by 14 per cent to 1,995 units in July, compared to a 17.8 per cent decrease the previous month. Despite the decline, sales activity during the month was consistent with the 10-year average.

While sales decline eased, so too did the decline in new listings, causing the unadjusted sales-to-new listings ratio to edge down to 67 per cent in July and months of supply to increase to 2.53 months.

“As weakness in the energy sector continues, this is trickling into several other aspects of our local economy, including our housing market,” said CREB® chief economist Ann-Marie Lurie.

Despite weaker absorption rates, market conditions remained relatively balanced and helped maintain month-over-month stability in benchmark prices, which remained unchanged from the previous month at $455,400.

“Often, the focus is on home prices. In fact, Calgary has recorded significant gains in home prices over the past several years,” said Lurie. “And despite the recent retraction, we have not seen all those previous gains eroded.”

While benchmark prices exhibited some month-over-month resilience, they still declined by 0.15 per cent annually and one per cent lower than levels recorded in January. It represents the first time since 2011 that benchmark prices have posted a year-over-year decline.

Lurie attributes most of the year-over-year decline to the apartment sector, where prices fell by 1.61 per cent to $293,300 – nearly two per cent lower than the price at the beginning of the year – due to weak demand and growing supply.

Year-to-date new listings in the apartment sector declined by 4.6 per, while sales declined by 29 per cent over the same period, resulting in inventory gains. By July, the months of supply pushed up to 3.77 months compared to three months in June.

“The relatively weak demand for apartment product, combined with rising supply, continued to place downward pressure on prices for the second month in a row,” said Lurie.

CREB® president Corinne Lyall noted Calgary’s housing market is continuing to see some nuances in supply between the different segments of the market.

“These differences are really important to understand as it relates to consumer expectations,” she said. “Some buyers expect they will get major price reductions in this market, but that’s not always the case. In some areas, supply levels are more balanced with demand and that creates price stability.”

Meanwhile, detached home prices remained steady month-over-month at $515,300. While absorption rates eased in the sector, conditions remained relatively balanced.

“Many clients are optimistic about the long-term outlook and are less concerned about short-term fluctuations in the housing market,” said Lyall.

“They’re focused on taking the time they need to make the right choices for their lifestyle. Saying that, it’s important to stay current and become educated with the market dynamics in the communities where they may be making real estate decisions.”

CARA June 2015 Statistics

Red Deer, July 20, 2015 -Residential sales reported through the MLS® System of the Central Alberta REALTORS® Association were down on a year-over-year basis in June 2015.

Home sales numbered 544 units in June, a decline of nine per cent from June 2014. That said, sales have been steadily recovering after hitting a low in January. June sales were back above the five and 10-year averages for the month. They also hit the third highest level on record for the month of June.

Sales activity in all of Alberta fell 14.3 per cent from June 2014.

New residential listings on the Association’s MLS® System numbered 991 units in June, down 2.7 per cent from levels in June 2014.

There were 2,932 active residential listings on the Association’s MLS® System at the end of June, down 5.1 per cent from levels at the end of June 2014.

There were 5.4 months of inventory at the end of June 2015, up slightly from 5.2 months reported at the end of June 2014 but below the long-run average for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

The dollar value of all home sales in June 2015 was $176.8 million, falling 9.2 per cent from the record June in 2014. This was still the second best dollar volume for the month of June. The dollar value of home sales in all of Alberta declined 15.1 per cent from June 2014.

Sales of all types of properties totalled 569 units in June. This was down 10.1 per cent compared to June 2014. The total value of all property sales amounted to $186.6 million in June, down 13.9 per cent on a year-over-year basis.

The Central Alberta REALTORS® Association is an MLS® listing co-operative, representing more than 560 REALTORS® located in Red Deer and throughout Central Alberta. Details and photos of all Central Alberta REALTORS® Association listings can be found on the national public web sites www.cara.ca, www.REALTOR.ca (residential properties) and ICX.CA (commercial and investment properties).

CARA May 2015 Statistics

Red Deer, June 22, 2015-Residential sales reported through the MLS® System of the Central Alberta REALTORS® Association were down on a year-over-year basis in May 2015.

Home sales numbered 506 units in May, a decline of 23.6 per cent from the all-time record May set in 2014. That said, sales have been steadily recovering after hitting a low in January. May sales were back in line with the five and 10 year averages for the month.

Sales activity in all of Alberta fell 22.3 per cent from May 2014.

New residential listings on the Association’s MLS® System numbered 1,014 units in May, down 24.8 per cent from levels in May 2014.

There were 2,842 active residential listings on the Association’s MLS® System at the end of May, down 6.1 per cent from levels at the end of May 2014.

There were 5.6 months of inventory at the end of May 2015, up from 4.6 months reported at the end of May 2014 and slightly above the long-run average for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

The dollar value of all home sales in May 2015 was $167.5 million, falling 17.1 per cent from the record May in 2014. This was still the fourth best dollar volume for the month of May. The dollar value of home sales in all of Alberta declined 22.4 per cent from May 2014.

Sales of all types of properties totalled 525 units in May. This was down 23.6 per cent compared to May 2014. The total value of all property sales amounted to $176.4 million in May, down 16.7 per cent on a year-over-year basis.

The Central Alberta REALTORS® Association is an MLS® listing co-operative, representing more than 560 REALTORS® located in Red Deer and throughout Central Alberta. Details and photos of all Central Alberta REALTORS® Association listings can be found on the national public web sites www.carassociation.ca, www.REALTOR.ca (residential properties) and ICX.CA (commercial and investment properties).

CREB® May 2015 Statistics

Market moves toward balanced conditions
Calgary housing prices change direction in May Click here to view the full monthly stats package.

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.”

Click here to review key changes to CREB®’s monthly statistics products.