MLS® activity in January was very solid with the third highest sales total on record for this month. It also ushered in a new January monthly dollar volume high of over $150 million. New listings coming on to the market remain robust with a 25% increase over 2014. This increase is even more significant considering the rise in new listings is at 40% when you compare it to a ten-year average. Not surprisingly, active listings or the inventory available for buyers to choose from is up 25% as well over 2014.
January MLS® unit sales were up 4% (588/565) while dollar volume rose 4% ($151.6 million/$146.0 million) in comparison to the same month last year.
“At our annual forecast breakfast last month we said 2015 would be a more balanced market and January results bear this point out, “ said Dave MacKenzie, president of WinnipegREALTORS®. “The healthy influx and overall supply of listings is keeping prices in check. It therefore makes it more affordable for buyers wanting to capitalize on such favourable mortgage rates.”
Mackenzie added, “All real estate markets are local so national commentary about overheated Canadian real estate markets does not apply here. The law of supply and demand is solidly entrenched in Winnipeg’s market.”
Single family homes had a particularly strong month with an 11% increase over January however the upper end market was quieter than usual.
In January 2014 there were 2 homes sales of one million or more, 4 from $750,000 to $999,999 and 21 from $500,000 to $749,999. There were no sales this January of $1 million or more, 1 sale from $750,000 to $999,999 and 15 sales from $500,000 to $999,999. The next lower price range of $450,000 to $499,999 shows a distinct contrast with January 2015 outselling January 2014 by 9 sales or over 50% in comparison.
The single-attached property type which was flagged last year as one to watch given it offers more affordability than a single family home or condominium had a sales increase of 39% over January 2014.
“With supply levels well above the norm and mortgage rates so conducive to financing a property in light of the recent reduction of the Bank of Canada overnight rate from 1.0 to .75%, prospective buyers should be contacting their REALTOR® now to find out first- hand what possibilities exist for them to move ahead with a purchase,” said Mackenzie.
The most active residential-detached range in January was the $200,000 to $249,999 one at 22% while the usual frontrunner price range of $250,000 to $299,999 fell back to second busiest at 20%. The average days on market for residential-detached sales was 41 days, 2 days quicker than January 2015.
For condominium sales activity in January, the $150,000 to $199,999 price range was by far the most dominant at 37% of total sales with the next two higher price ranges each capturing 17% of sales. The average days on market for condominiums in January was 46 days, 1 day slower than January 2014.