Residential Sales in August are at Record Levels
Based on activity through the Regina and area MLS® System, residential sales in August are at record levels and up substantially over 2015. Despite the number of new listings being up for August over last year as well, buyers still have less inventory to choose from said the Association of Regina REALTORS® Inc.
There were 401 residential sales reported in all geographic areas, up 21% from 2015 when 330 sales were posted. The number of sales is above both the immediate past five-year average of 356 and the 10-year average of 344. This was the highest number of sales ever recorded for August. Inside the city, 314 residential sales were reported in August, a 21% increase.
In August, the MLS® Home Price Index (HPI) reported a composite index level of 274.8 and residential benchmark price of $294,300 for the city. This is up 3.7% from last year’s levels of 265.1 and $283,900. This indicates that residential selling prices have risen in the Regina market over the past year. The HPI shows the Regina market has recovered much of the losses in sales value from 2012 to 2015 decline. Prices are down 2.8% from three years ago, and up 8% over five years. The HPI is a much more accurate measure of housing price trends than average price.
The average sales price in all market areas for the month was $311,487, essentially level from August of 2015. The average in the city was $314,494, down 1.7% from last year’s $319,879. There is slightly more than a $20,000 difference between the HPI composite price and average price for the city – the higher average price figure is entirely attributable to a larger proportion of higher priced homes selling and should not be interpreted as an indication of property values.
Sales in all areas totaled $124.9M compared to $102.7M in 2015 – a 21% increase. Dollar volume in the city of $98.7M was down 20% from last year’s $82.5M.
2,496 sales for the year-to-date to the end of August, have been reported in all areas – a 4.8% increase from 2,382 in 2015. In the city, 2,031 sales have been reported, an increase of 4.5% from last year’s 1,944. YTD sales volume stood at $788.7M, up 5.5% from the previous year’s $747.7M.
During the month of August, homes which sold in the city were on the market for an average of 44 days before selling at an average of 96.9% of the asking price. This is the same as last year at this time.
In the city there were 1,221 homes for sale at the end of the month, a decrease of 10.8% from last year’s 1,369. Close to one-quarter of active listings in the city are condominiums. There were 510 new listings in the city placed on the MLS® System during the month, up 13% from 450 in August of 2015.
The ratio of firm sales to new listings for the month in the city was 61% and 56% 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.