As released by the Saskatoon Region Assn of REALTORS®, on Feb 4, 2014, the market is off to a quick start. Unit sales appear to be strong so far in 2014. January recorded 331 sales compared to 297 year to date in 2013, an 11% increase.
The number of units listed also increased by 13%, with 958 new listings bring the total inventory in the Saskatoon market to 1324 properties currently for sale. In January 2013, there were only 1061 properties available on the market. Many homes priced between $500-$750,000 reduced their asking price late last year. The buyers appear to have responded accordingly with sales in this range increasing by 84%, with 35 units sold year to date.
Two other factors of interest are the sales-to-listing ratio and the months of inventory. These two indicators will vary greatly depending on the price range. The sales-to-listing ratio compares the number of newly listed homes to the number of sales for a given period. In homes priced between $350,000 and $650,000, the sales to listing ratio averages 28%. However, over $650,000 this formula drops to 14%. At the lower price range, one out of every two homes below $350,000 is selling. The number of months of invertory is simply determined by dividing the number of sales for a period by the number of properties avaiable on the market. When looking at inventory below $350,000, there is three months availability of homes. Between $350,000 and $550,000, there is just over 6 months of inventory, between $650,000 and
$750,000 the number jumps to 20 months. Overall the number of months of inventory in Saskatoon hovers just below six months. According to Jason Yochim, Executive Officer with the SRAR,"The more months of inventory, the longer a seller can expect to wait for a sale. This just means that there are a small number of sales relative to what is available for buyers to select from."
Information taken from the SRAR News Release, dated February 4th, 2014