The September real estate market showed an increase of 19 per cent over the previous year with sales in Calgary totalling 1,923 units. Sales have surpassed long term trends over the past three months but a bit less in September.
“The impact of the floods likely boosted sales throughout July and August, and it appears as though some of that additional demand is starting to ease,” said Ann-Marie Lurie, CREB® chief economist. “Nonetheless, sales growth remains strong, in part because net migration has been stronger than anticipated and rental product is in short supply.”
New listings have been declining since 2011 however there seems to be a slight improvement over the past three months. Although the growth is not enough to change the low inventory of the market, it has helped to relax the market just a bit.
“The increase in new listings has given buyers more choice,” said Becky Walters, CREB® President.
While it is a seller's market, buyers for lower-priced single family homes have more choices but still have higher expectations.
Condo apartments and townhouses offers a more affordable option to the single family home and a more than double sales growth reflects this trend. After the first three quarters of the year, the sales totaled 3,147, at an increase of 14.06 per cent over previous year, and 2,494, increase 21.01 per cent, respectively, while single family sales totaled 13,006 units, a 6.7 per cent increase over the previous year.
“The condominium market offer affordable options for consumers in the city, and the growth reflect that,” said Walters. “But keep in mind condominiums still represent less than onethird of residential sales within city limits.”
“While prices show strong year-over-year gains, if the level of new listings continues to improve relative to sales activity, prices should level off for the remainder of the year.”
Condominium apartment benchmark pricing of $272,900 in September, a 9.47 per cent increase over 2012 while both single family and condo townhouses showed an increase of just over 7 per cent.