Despite a drop in year-over-year sales activity, month-to-month home prices reported through the Regina and area MLS® System in July are holding steady, said the Association of Regina REALTORS® Inc.
During the month there were 313 residential sales reported in all geographic areas, down 10% from 349 reported in 2015. This was also well below the five-year average of 371, and the 10-year average of 364. Sales inside the city were down significantly with 246 occurring compared to 290 in 2015 – a 15% decline.
Listing levels are continuing a downward trend, both in total inventory and new listings added to the MLS® System. Inside the city of Regina at the end of July, there were 1,263 properties for sale, almost 13% less than July of 2015's 1,449. There were 440 new listings placed on the MLS® System in the city during the month, down 20% from 549 in 2015.
In July, the MLS® Home Price Index (HPI), reported a composite residential price of $294,100 and index of 274.6 in the city. These are up 2.7% from last years levels of $286,300 and 267.3. The HPI indicates prices are essentially flat over the last three months, up nearly 5% over the past six months and 2.7% over the past year. Prices have also regained much of the losses incurred dating back to 2013.
The HPI is a much more accurate measure of housing price trends than average or median price and is not subject to large fluctuations based on a rare or unique high or low property sales. The average sales price in the city was $328,742, up 2.8% from last year’s $319,652. There is a variance of almost $35,000 between the average price in the city and the HPI composite price. The HPI measures residential price trends based on four benchmark home types, with the index set at a base of 100 for January 2005.
A total dollar volume of sales of $98.2M was reported in all geographic areas, down 9% from 2015’s $108.7M. Dollar volume in the city is down year-over-year from July 2015 to 2016 by 12.8%.
Homes that sold during July in the city, were on the market for an average of 40 days before selling at an average of 97% of the current asking price.
The ratio of firm sales to new listings for the month in the city was 56% and 53% in all geographic areas. Balanced market conditions are generally in the 40-60% range – below 40% is considered to be a buyer’s market – above 60% is considered to be a market favouring sellers.